Lights, camera… confusing tariff action!
What happened: President Donald Trump aims to implement a 100% tariff on foreign-made movies in a bid to revive slumping U.S. film production. In a Truth Social post, Trump said the U.S. film industry was dying and called foreign tax incentives a national security threat.
- The idea is reportedly the brainchild of Jon Voight, the Oscar-winning actor turned direct-to-video trash staple, whom Trump made a special ambassador to Hollywood.
Big picture: How this tariff will be implemented is anyone’s guess, as films aren’t physical goods (maybe he thinks canisters with film reels are still shipped around the globe). It’s also unclear if it will include television, post-production work, or U.S.-international co-productions.
Why it matters: If these tariffs come to pass, it would absolutely decimate the Canadian film industry. Generous tax credits have made Canada a top location for U.S. productions, from blockbusters (including parts of 2025’s highest-grossing film) to Hallmark Christmas movies.
- Between April 2023 and April 2024, almost half of all TV and movie productions in Canada were shot locally but financed by foreign producers (usually Hollywood).
- Plus, 100% Canadian-made productions could suddenly be walled off from their main foreign market.
Yes, but: There’s doubt that the tariffs will happen given Trump’s tendency to walk back lofty claims, not to mention the White House is probably getting furious calls from the likes of Disney and Netflix, who saw their shares drop and reportedly got zero warning about the plan.—QH