Trump Announces 100 Percent Tariff For Foreign Films

JAKARTA - US President Donald Trump will charge 100% of all films produced outside the United States (US).

Trump did not specify when or how the tariff would be imposed.

If Trump actually followed up on his threats, it would mark the first time he imposed a tariff on the service instead of goods.

The US president initially threatened 100% tariff for foreign film production in May, arguing other countries offer tax incentives that have attracted filmmakers abroad.

In his upload on Truth Social on Monday, September 29, Trump particularly highlighted California, saying the state was "deeply hit!"

Meanwhile, the state has proposed and implemented many tax incentives, as have other American cities.

Hollywood was really surprised when Trump first previewed the rate in May.

"For some reason, this is surprising and will lead to an almost total production shutdown," a source in the industry told CNN at the time.

"But in reality, he doesn't have jurisdiction to do this and it's too complicated to enforce," he added.

American actors and directors generally prefer to work near home.

However, "the fact is, it's cheaper for Hollywood studios to pay everyone to board a plane, pay hotels, because labor costs, lack of rebate, and the ability to produce goods abroad are much cheaper," Jay Sures, deputy chairman of the United Talent Agency, told CNN in May.