After meeting with actor Jon Voight, U.S. President Donald Trump announced his 100% tariff on films that “enter our country making”, discussing his proposal to bring film production back to the United States – which only recommends the use of tariffs in certain limited circumstances.
The midnight Cowboy and Heat actor was appointed by Trump as "special ambassador" for Hollywood, and has been meeting studios, streamers, unions and guilds for months, creating a plan to attract film and television productions back to the United States. Manufacturing companies often seek more cost-effective locations or tax benefits in other countries such as Canada, Australia, the United Kingdom, New Zealand, Hungary, Italy and Spain.
Over the weekend, Voight and his manager and filmmaker Steven Paul met with Trump in Mar-A-Lago to achieve his "integrated plan" - just before Trump shocked the international film industry, they imposed 100% tariffs on all films in all films, "entering our foreign countries to make our country."
On Monday, only the highest details of the Voight proposal were revealed, but the only tariffs mentioned in the plan were that they could be used “in some limited circumstances” – contrary to Trump’s widespread announcement. His main recommendations involve federal tax incentives, changes to tax laws, joint production treaties with other countries, and infrastructure subsidies for theater owners, and production and post-production companies.
Hollywood productions are often filmed in countries such as Canada, Australia, the United Kingdom, New Zealand, Hungary, Italy and Spain to take advantage of local tax benefits, talent pools and landscapes, which look geographically similar enough to stand in more expensive U.S. locations.
Voight said in a statement Monday that the White House is now "reviewing" his recommendations.
“The president loves the entertainment business and this country and he will help us make Hollywood great again,” Voight said. “We look forward to working with governments, unions, studios and streaming media to help develop a plan to keep our industry healthy and bring more production back to the United States.”
The White House then announced Trump's announcement, saying "no final decision on foreign film tariffs."
According to Filmla, film production in Los Angeles has dropped nearly 40% over the past decade, but not all of these businesses have gone abroad: Other states such as New York and Georgia have long provided generous tax incentives to attract production.
Without details, Hollywood's response to Trump's announcement was different. It is not clear how to determine which movies will qualify as "foreign". For example, Marvel's new film Thunderbolts* was mainly produced in the United States, but had some shooting in Malaysia and scores were recorded in London. Tariffs will not solve the relatively high cost of shooting in the United States.
The American Performers Union, SAG-AFTRA, seems to be broad, said “support efforts to increase film, television and streaming production” and “promote policies to strengthen our competitive position, accelerate economic growth and create good middle-class jobs for American workers.”
The International League of Drama Stage Employees (IATSE) calls for a "balanced federal response", Matthew Loeb, international president of the International Islamic International Commission, said the crew coalition "recommends the Trump administration to implement federal film production tax incentives and other internal tax regulations to increase the competitive area for American workers."
But IATSE also represents Canadian workers, Loeb said, “will continue to be firmly convinced that any ultimate trade policy must not harm our Canadian members – the industry as a whole.”
Australia responded to fear: The country attracted US tent pole production through various discounts, including a 30% discount on large budget film projects shot in Australia by the federal government. Half of the $1.7 billion spent on screen production in Australia during the 2023-24 period was international production.
Australia's art secretary Tony Burke said he is closely monitoring the situation.
"No one has no doubt that we will stand up explicitly for the rights of the Australian screen industry," Burke said.
Voight, Mel Gibson and Sylvester Stallone were appointed by Trump as "special ambassadors of Hollywood" and the president called it "a great but very troubled place."