President Trump vows to tariff foreign-made films declaring national threat, what this looks like for Louisiana

LOUISIANA (KTAL/KMSS) – Louisiana’s film industry, widely recognized as “Hollywood South,” is gearing up for a major shake-up following recent social media announcements from President Donald Trump.

“The movie industry in America is dying a very fast death,” President Donald Trump candidly says online about the industry’s current state. Over the weekend of May 4, the president took to Truth

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Social to raise a high alert about the national threat he says is caused by foreign-made films.

During this message, he announced that he has authorized the Department of Commerce and the United States Trade Representative to immediately implement a 100 percent tariff on all movies produced in foreign lands coming into America. This is becoming one of his most recent industries to be affected by tariffs in his latest round of tariffs, which he believes will help the country.

“Other countries are offering all sorts of incentives to draw our filmmakers and studios away from the United States…This is a concerted effort by other Nations, and therefore, a National Security Threat,” Trump stated. 

With a new tariff increase, what does this mean for the Louisiana film industry? 

The Louisiana State Senate has been actively working to bolster the state’s film industry and encourage greater collaboration with filmmakers from outside the state to bring their productions to Louisiana.

Most recently, on April 22, 2025, the Louisiana Senate Revenue and Fiscal Affairs Committee made amendments to Senate Bill 232, a bill that covers the movie tax credit program and the management of motion picture production incentives. 

Two significant changes were made: 

1. Authority was transferred from statutory law, where decisions must go through the state legislature, to the Louisiana Economic Development Department. This allows for more administrative flexibility and less legislative involvement.

2. The Senate maintained the current cap on the Louisiana Tax Credit Program, currently set at $125 million.

The Louisiana Motion Picture Tax Credit Program helps attract movies and TV shows to the state by offering financial incentives. Productions can get up to 40% back on money spent in Louisiana, including costs for local workers. There’s also an extra 5% credit for visual effects work done in the state. To qualify, productions need to spend at least $300,000 in Louisiana. The program has a yearly limit of $125 million in total credits given out.  
 
This program boosts the local economy by bringing in film projects and creating jobs.  

What does the 100 percent tariff potentially change for Hollywood South?

The change potentially could come with both positive and negative effects on the state’s film industry.

Positives: 

• Increased domestic productions: To avoid high tariffs, productions may be more inclined to film entirely in the U.S.  This means more opportunities for films to be made in Louisiana, given the state’s film-friendly reputation.

• More economic growth: This means job creation, more local services used, and a higher need for investment in local film studios and equipment that are here in Louisiana.

Negatives: 

• The film industry is currently at a standstill. Confusion regarding tax regulations and the definition of foreign production may cause filmmakers to hesitate in moving forward with projects due to potential tax implications. Defining what constitutes a foreign-made film could prove complex, especially for productions filmed across multiple countries.

• The rising demand for domestic resources, including crew, equipment, and locations, could raise the prices for these resources.
• Your trip to the movie theater may cost you more than usual. Higher production costs may result in higher ticket prices for consumers.

The impact of President Trump’s proposed tariffs on foreign films remains to be seen. However, the president’s position remains clear, as Trump ended his post with, “We want movies made in America, again!”

As Louisiana continues to foster its film industry, the state must navigate these new challenges to maintain its status as Hollywood South. The coming months will reveal how these changes will shape the future of film production in Louisiana and across the United States.