The trade war reaches the cinema: Trump wants to impose a 100% tariff on foreign films.

U.S. President Donald Trump announced Sunday that he plans to impose a 100% tariff on foreign-produced films, extending his restrictive trade policies on U.S. imports to the entertainment sector for the first time.

In a post on Truth Social, the US president said he was ordering the Department of Commerce and his trade representative to "immediately begin the process of instituting" the tax on foreign films. "WE WANT MOVIES MADE IN AMERICA, AGAIN!" wrote Trump, a big fan of using capital letters in his social media posts.

The president also positioned foreign productions as a threat to national security , saying that other nations were using films to introduce messages and spread propaganda.

Trump's post follows meetings the president held over the weekend with actor Jon Voight and his manager, Steven Paul. They met with Trump at his Mar-a-Lago residence, according to sources familiar with the matter, who asked not to be identified because the conversations were private.

Voight and Paul presented their plans to the president to increase federal tax incentives for American film and television production. Their proposals included expanding existing tax credits and restoring expired ones. Voight's group did not propose tariffs as part of their plan, but the president mentioned them in his meetings. No specific details regarding the tariffs were discussed.

In January, Trump appointed Voight, along with actors Mel Gibson and Sylvester Stallone , as special ambassadors to Hollywood with the goal of boosting US employment.

It's not entirely clear how such a tariff would work , nor how such films would be valued for tariff collection purposes. Many Hollywood studio films involve global production, including filming locations in foreign countries and post-production work that can take place anywhere in the world. Other unanswered questions include whether the fee applies to films that have already been shot but not yet released, or only to new productions.

Upcoming releases featuring numerous foreign locations include Walt Disney's Fantastic Four: First Steps , filmed in the UK and Spain, and Universal Pictures' Jurassic World Rebirth , with locations in Thailand, the UK, Malta and the US.

Many big-budget Hollywood films have been shot, in part or in large part, outside the US. One of the highest-grossing US films, 2009's Avatar , was filmed primarily in New Zealand, while Avengers: Endgame relied heavily on international locations, such as Scotland and the UK.

The president of the New Zealand Film Producers Guild, Spada, Irene Gardiner, has responded by pointing out that Trump's statements are somewhat confusing.

"You seem to be concerned about American films being shot and post-produced in other countries, but then you talk about films produced outside the US being subject to tariffs," Gardiner said. "So, does this mean that films produced in New Zealand wouldn't be able to be released in the US without a 100% tariff? Or does this mean that US-produced films shot here (and elsewhere) would be targeted?"

"In any case, it would be a terrible shame. We love having American productions working here: it's great for the economy and the film industry," Gardiner added.

New Zealand Prime Minister Christopher Luxon also commented that the country's film industry has "incredible people, incredible technology, great jobs, and we're going to continue to champion it very strongly."

New Zealand has served as a filming location for several American films due to its spectacular scenery and production incentives. The Lord of the Rings trilogy and The Hobbit trilogy were filmed extensively on the country's North and South Islands.

In Australia, the lobby group Screen Producers Australia, which represents more than 750 companies, said the announcement would "send shockwaves around the world." "For the Australian industry, it reinforces the need for the government to focus immediately and swiftly on building a resilient local industry that can withstand global shocks like this," CEO Matthew Deaner said in a statement.

Trump's move comes after China decided last month to "moderately reduce" the number of Hollywood films allowed into the country in retaliation for Trump's aggressive tariffs on its US rival . The China Film Administration said in April that the restrictions would "inevitably further reduce domestic audiences' favorability toward American films."

Although the American film industry is the most influential in the world, foreign films have experienced a surge in popularity in recent years, garnering accolades. The South Korean thriller Parasite , for example, won four Oscars, including Best Picture in 2020.

According to the Motion Picture Association, the film and television industry will support 2.3 million jobs in the U.S. in 2023. The association did not respond to a request for comment on Trump's tariffs, which were made outside of regular business hours.

Film and television production in the U.S. has contracted in recent years for several reasons. Media companies have cut spending in an attempt to boost profits by shifting from traditional television to streaming services. These streaming services are expanding worldwide and seeking to produce more films for foreign markets.

Spending on film and television production in the US fell 28% between 2021 and 2024, according to data from research firm ProdPro. Other countries, such as Canada, Australia, and the United Kingdom, are experiencing increased film and television production , due in part to attractive tax incentives and lower production costs.

Film and television production in the Los Angeles metropolitan area declined 22% in the first quarter, reflecting the continued loss of business from California to other areas.