US President Donald Trump on Monday promised to impose 100% tariffs on foreign-made films, as he promised in May, stating that the film industry had been "stolen" from the US, UNN reports with reference to Axios.
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Such a duty, as indicated, could lead to serious upheavals in the entertainment industry, given the volume of media production outside the United States.
It is unclear when and how the duty will be imposed, and whether the burden will fall on producers, distributors, or someone in between, the publication notes.
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In January, Trump appointed Hollywood veterans Jon Voight, Sylvester Stallone, and Mel Gibson to bring Hollywood back "bigger, better, and stronger than ever before."
Film and television production has been leaving Hollywood for years, heading to locations with tax breaks that make filming cheaper.
Governments around the world have increased credits and cash rebates to attract production and capture a large share of the $248 billion that Ampere Analysis predicts will be spent globally in 2025 on content production.
All major media companies, including Walt Disney, Netflix, and Universal Pictures, shoot films abroad in countries such as Canada and the United Kingdom.
According to research firm ProdPro, in 2023, about half of the spending on film and television projects with budgets over $40 million was spent outside the US.
According to FilmLA, a non-profit organization that tracks production in the region, film and television production has decreased by almost 40% over the last decade in Hollywood's hometown of Los Angeles.