President Donald Trump issued a warning to the film industry on Sunday, urging them to halt the shift of productions overseas or face significant tariffs. In a post on his Truth Social platform, Trump expressed concern over the decline of the movie industry in America, attributing it to tax incentives offered by other nations to attract film production. He emphasized the impact of this trend on Hollywood and other areas in the U.S., labeling it as a national security threat and propaganda tool. Trump proposed imposing a 100% tariff on foreign-produced films to encourage more productions in America.
The move comes amidst reports of numerous foreign films and TV shows being shot in Canada, with Hollywood being a major contributor to this trend. Additionally, Los Angeles has witnessed a decline in productions moving not only to international locations but also to other parts of the U.S. due to tax breaks and incentives. Efforts are being made in California to make filming easier and increase financial incentives to retain productions in the state.
Trump expressed concern over the loss of movie-making capabilities to other countries, stressing the need to revitalize the industry in the U.S. He criticized California Governor Gavin Newsom for allowing this trend to continue, calling him “grossly incompetent.” The future of American cinema production remains uncertain as discussions around tariffs and incentives continue to unfold.