Trump’s 100% film tariff drama could quickly come to an end say legal and film experts
UK film industry freelancers, producers and MPs have all been in a quiver since Sunday when US President posted on Truth Social that he was proposing a 100% tariff on non-US produced films. However, US film and legal experts say it is unlikely to come to fruition any time soon or even at all.
President Trump is concerned that the US film industry is already dying a “very fast death” due to the incentives that other countries are offering to draw American filmmakers.
“This is a concerted effort by other Nations and, therefore, a National Security threat,” he said. Trump said in the Truth Social post. “It is, in addition to everything else, messaging and propaganda!
“WE WANT MOVIES MADE IN AMERICA, AGAIN!” Trump added.
CNBC reported that US actor Jon Voight and his manager met with President Donald Trump to propose a series of policies, including tariffs to boost homegrown film production. Trump’s comments sparked concerns among Hollywood studios and streaming services.
Voight wants to create “the right environment” through smart incentives, updated policies, and much-needed support, he said in a statement.
Film indusry in flux
However, President Trump is softening his stance and looking to talk to the industry, “I’m not looking to hurt the industry, I want to help the industry,” Trump said Monday. “We can ensure that American production companies thrive, more jobs stay here at home, and Hollywood once again leads the world in creativity and innovation,” he added.
Since Sunday, White House spokesman Kush Desai said that “no final decision on foreign film tariffs have been made.”
Industry figures on both sides of the Atlantic have reacted with dismay, branding the proposals as a grave threat to the UK film sector and freelancers, which has thrived in recent years thanks to attractive tax incentives and a wealth of skilled professionals.
Kirsty Bell, chief executive of production company Goldfinch, cautioned that while the entertainment industry is facing a downturn globally, tariffs are not the solution.
Speaking to the PA news agency, she explained, according to The Standard, “The issue isn’t that foreign films are taking precedence over domestic films. Firstly, films are cheaper to make overseas due to a lack of tax credits in certain places, the unions, lower labour costs, and drastically reduced buying budgets over the past two years, all driven by changing viewing habits.”
Bell highlighted the shift in how people consume entertainment, with decreased cinema attendance and subscription service decline, alongside the rise of social media content creators. “The answer is not tariffs if he’s trying to kick-start the industry in Hollywood. It’s developing an ecosystem for film-making that is entirely different to what has been before. There are seismic changes in how the entertainment industry is structured needing to happen.”
She also questioned the practicality of the tariff, pointing out that even major US studio productions like Barbie were filmed extensively in the UK.
Legalities not holding up
Unlike tangible products, films are digital transmissions and are not to be taxed as such, according to the World Trade Organization. Marketwatch reported:
Congress nearly 40 years ago passed a law explicitly barring the president from regulating in any way the import or export of things like movies, books and music.
“The statute couldn’t be more plain,” said Anupam Chander, an expert in international trade and global regulations law at Georgetown University. “Congress in 1988 specifically said the president does not have the power to regulate this.”
Discussions were set alight on social media platform X. Even Grok has had a view, noting tariff on foreign films may prove difficult and potentially backfire on Hollywood:
“The 100% tariff on foreign movies, framed as a national security threat, has sparked debate. On one hand, Trump aims to protect the U.S. film industry, which has seen a 40% drop in domestic production since 2022, potentially boosting local jobs.
On the other hand, legal experts argue using emergency powers for economic policy may overstep presidential authority, as these powers are meant for sudden crises, not trade issues. Economically, it risks higher consumer costs and retaliation, like China reducing U.S. film imports, which could hurt Hollywood. The situation is complex, balancing industry protection with legal and global trade concerns.
Freelancers working in film will still be on edge until more clarity is made. Until then, the UK film industry and policy makers must plan for even more sector-driven negotiations with the Trump organisation and Mr. Voight.
Keep informed on the latest news impacting freelancers.
Sign up for The Freelance Informer newsletter:
