Donald Trump said on social media that he will impose 100% tariffs on movies produced outside the U.S., calling them a “threat to national security,” without giving further details.
Large American studios often prefer filming outside the U.S., resulting in the loss of 18,000 jobs over the past 3 years, mainly in California. This is due to countries like Canada, the U.K., Hungary, and Greece offering incentives (e.g., tax rebates), and their labor costs being lower than in the U.S.
An international production with a budget of €20+ million filmed in Greece could increase GDP by €39 million, according to 2014 data from IOBE.
Nevertheless, according to a 2023 report from the Motion Picture Association, based on government data, the U.S. film industry maintained a trade surplus in every major global market.
The proposal raises several unanswered questions, according to the New York Times, as it is unclear whether the tariff will apply to all foreign-produced films, including independent films and those available only via streaming, or just to those receiving tax incentives from abroad.
There is also uncertainty about whether films partially shot abroad or using international services at other stages of production (e.g., editing) will be affected, as modern film production often involves global collaboration.
