• Source:JND
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US President Donald Trump to impose a 100 per cent tariff on all movies produced outside the United States, a move that could have serious consequences for the global film industry, especially Indian cinema. Trump made the announcement through a post on Truth Social, calling foreign films a threat to America’s own movie-making industry.

Trump wrote that the US film business had been “stolen” by other countries and justified the decision as a way to protect American jobs and production houses. However, the measure has raised concerns about how such a tax could be applied in practice, since modern film production is increasingly digital, with financing, post-production and visual effects spread across multiple countries.

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Trump’s 100 per cent Tariff On Foreign Films: Impact On Indian Cinema

The decision is expected to hit Indian movies hard. According to the Producers Guild of India, the Indian diaspora in the US spends nearly $100 million annually to watch films in Hindi, Telugu, Tamil, Malayalam, Punjabi, Bengali and other regional languages. Telugu cinema accounts for the largest share of Indian releases in the US, followed by Bollywood and Tamil films.

Recent hits such as Baahubali 2, Kalki 2898 AD, RRR, Pathaan, Jawan, Pushpa 2 and Animal have all grossed between $15 million and $22 million in the US market, making America one of the most lucrative territories for Indian filmmakers.

Distributors warn that with the new tariff, ticket prices could rise sharply. The Hindustan Times report cited Trade expert Sreedhar Pillai as explaining that, a film bought for Rs 5 crore to screen in the US may now cost Rs10 crore, with ticket prices doubling from the current $10–15 to around $20–30. This would significantly affect footfalls in theatres.

Global Reactions

The announcement has drawn criticism from trade experts and film business analysts. Paolo Pescatore told Reuters that the move raises more questions than answers, as costs will inevitably increase and be passed on to consumers.

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Hollywood studios, which often work with overseas partners, are also expected to face challenges. American giants like Warner Bros Discovery, Paramount Skydance and Netflix, which co-produce with Indian studios, have not issued statements yet. The uncertainty leaves filmmakers in both the US and abroad unsure about how to proceed with cross-border projects.

This is the latest in a series of protectionist trade measures Trump has introduced since resuming office. Indian goods already face tariffs of at least 50 per cent, half of which is a penalty for India’s purchase of Russian oil despite the ongoing Ukraine war.