US President Donald Trump said on Monday that he would impose a 100% rate at all foreign manufacturing films, an unprecedented decision that extends his protectionist sales program in cultural industries and risks disrupting the world cinema sector.
The announcement, made in an article on Trump’s social social platform, said that the American films creation industry was stolen by international rivals.
“Our film production company has been stolen in the United States of America, by other countries, just like stealing candies for a baby,” he wrote.
Register For Tekedia Mini -MBA Edition 18 (September 15 – December 6, 2025): registration continues.
Tekedia ai in Business Masterclass opens registration.
Join Tekedia Capital Syndicate and Co-Investment in large world startups.
Register For Tekedia Ai Lab: from technical design to deployment.
The measure, if applied, would directly threaten Hollywood’s dependence on international co-productions and box office income while hitting the foreign cinematographic industries that depend on the export of films to the Lucrative American Market. Netflix shares dropped 1.5% at the start of negotiations after the announcement.
We still do not know which legal authority Trump would use to apply a price on the movies. But commercial lawyers emphasize that films are often classified as intellectual property or services rather than goods, which complicates the use of prices. Studio leaders expressed their confusion as to how the measure could be applied at a time when films are funded, shot and published through several borders.
The president had first launched the idea in May without offering details, leaving the “disconcerted” industry, in particular on how co -productions would be classified. Modern blockbusters often combine American funding with European post-production, Asian special effects and international talents, which raises questions about how the border between foreign and national films would be established.
Shock waves beyond Hollywood
Although politics has alarmed Hollywood studios, its training effects will extend far beyond the United States. Foreign cinematographic industries that have regularly increased their footprint on the American market are now faced with the prospect of losing access or looking at the prices of tickets double under the prices.
- China, now the second largest film market in the world, has long used cultural exports like Soft Power. Big budget titles such as The Wandering Earth and Wolf Warrior 2 have found the public abroad, while Chinese studios are increasingly joining forces with American distributors. A 100% price would make these imports much more expensive, eroding their competitiveness and perhaps pushing Beijing to retaliate against American films in search of Chinese theaters.
- India, which houses Bollywood, Tollywood and a sprawling regional cinematographic ecosystem, is also affected. Indian films like RRR and Pathaan have been a revolutionary success with the American public in recent years, strengthening the global profile of industry. A price would burn this momentum, especially for mid-bundet productions based on the diaspora market in North America. For Indian studios, which already operate on thinner margins than Hollywood, double the cost of entry into the American market could prove prohibitive.
- Nollywood in Nigeria, the second film industry in the world in volume, has built an expanding audience base in the United States through streaming platforms and theatrical outings targeting African communities in the diaspora. Films like the Wedding Festival and the King of the Boys have acquired an international traction. With a 100%price, Nigerian films could lose the affordability and the exhibition in American cinemas, slowing Nollywood’s global expansion at a critical moment where he begins to gain recognition.
- Europe has long been a regular exporter of prestigious cinema, with French, British, Italian and Spanish films which regularly guarantee American theatrical outings, the recognition of awards and the distribution of festivals. The co -productions between Europe and Hollywood are also a pillar of industry, from Arthouse dramas to streaming tubes. A price would complicate financing structures and undermine cultural exchanges, potentially reducing the flow of European films in the United States while inviting reprisal measures from Brussels.
Global dependence of Hollywood
The irony is that Hollywood itself depends strongly on foreign markets. Publics abroad represent the majority of box office receipts for many blockbusters, while production is often outsourced abroad for costs and tax advantages. Commercial analysts warn that targeting foreign films could trigger reprisals from China, India or Europe, which makes American studios more difficult to distribute their own international films.
Trump has introduced uncertainty into one of the most efficient export sectors in America by venturing into the cultural industries. Films and related services have traditionally provided a trade surplus for the United States, Hollywood productions dominating the world markets. The prices, according to analysts, may undermine this advantage.
