Trump Threatens 100% Tariff on Movies Not Made in the US
Once again, President Trump has made a economic decision with little thought at all. The President announced that he would penalize films made in foreign countries with 100% tariffs, which will of course be paid by consumers and not the studios or theaters. He authorized the commerce department to start the process to impose the tariffs. The reason for decision is due to the American film industry dying “a very fast death.” The industry hasn’t fully recovered since COVID-19 closed theaters and their eventual reopening.
2024 saw the domestic box office gross $8.6 billion, down 3.8% from the previous year’s $8.9 billion. In 2019, the industry saw $11.4 billion at the domestic box office, down from the high in 2018 of $11.9 billion. 2020, the year COVID hit, things dipped to $2.1 billion and then over doubled in 2021, increased 64.4% in 2022 and an increase in 2023 which was $8.9 billion.
Worldwide, 2024 grossed $24.9 billion, down from 2023’s $28.2 billion. 2019 saw a high of $39.1 billion before a drop to $8.6 billion in 2020 and then over doubling in 2021 to $19.5 billion with a steady increase the next two years.
During COVID, movie studios focused on streaming, releasing new films on digital platforms, which clearly changed habits that haven’t reverted back to pre-COVID viewing.
After his announcement Sunday, Trump softened his stance saying he’d meet with “the industry” to “make sure they’re happy.”
It’s unclear what would see a tariff.
- Would a movie from a US studio filmed overseas be tariffed?
- Would a movie from a US studio that films part of the movie overseas be tariffed?
- Would movies from studios outside the US be tariffed? What if they were filmed in the US?
- How do films on streaming services get tariffed?
- Is it determined by how a movie is financed?
- Would tickets now be different prices based on where a movie was made?
As usual, an announcement is made with little detail, thought, or logic.









