President Donald Trump’s surprise announcement of a 100% tariff on foreign-made films has ignited fierce debate, drawing sharp criticism from Hollywood and prompting a swift response from industry leaders, unions, and California lawmakers.

In a Truth Social post on Sunday, Trump warned that the proposal is a defense against a "national security threat."

“The Movie Industry in America is DYING a very fast death. Other Countries are offering all sorts of incentives to draw our filmmakers and studios away from the United States," the president wrote. "Hollywood, and many other areas within the U.S.A., are being devastated. This is a concerted effort by other Nations and, therefore, a National Security threat.

"It is, in addition to everything else, messaging and propaganda!" Trump continued. "Therefore, I am authorizing the Department of Commerce, and the United States Trade Representative, to immediately begin the process of instituting a 100% Tariff on any and all Movies coming into our Country that are produced in Foreign Lands. WE WANT MOVIES MADE IN AMERICA, AGAIN!”

The announcement, reportedly inspired by a plan from actor Jon Voight, one of Trump’s “special ambassadors” for Hollywood alongside Sylvester Stallone and Mel Gibson, caught the industry off guard.

Voight, alongside producing partner Steven Paul and SP Media Group/Atlas Comics President Scott Karol, met with Trump at Mar-a-Lago over the weekend to present a "comprehensive" proposal.

The plan includes federal incentives for production and post-production, co-production treaties, infrastructure subsidies for theaters, job training, tax code changes, and tariffs in "certain limited circumstances."

In a statement, Voight said, "The President loves the entertainment business and this country, and he will help us make Hollywood great again."

In a video message to “my fellow Americans and my peers of Hollywood,” Voight, standing before an American flag, emphasized the industry’s struggles.

"Many Americans have lost jobs to productions that have gone overseas," Voight said. "[We] have brought forward recommendations to the President for certain tax provisions that can help the industry, some provisions that could be extended and others that could be revived or instituted. This would help the movie and television production and our beloved theaters that are so important to the American family experience."

He praised Trump as the greatest president since Abraham Lincoln, adding, "and yes, Sly, George Washington," referencing Stallone’s comparison of Trump to the first president.However, Trump’s tariff plan has faced widespread condemnation.

The proposal, which has led to accusations of economic overreach, while the president has since signaled openness to dialogue with film industry stakeholders to address concerns and revitalize American filmmaking.

Late-night hosts Jimmy Kimmel and Jimmy Fallon mocked the proposal, with Kimmel questioning whether foreign films pose a “national security threat” and joking,

"This is where he reportedly got the tariff movies idea – from Angelina Jolie’s 86-year-old father she won’t talk to. What a great idea. Next year, The White Lotus is gonna be set at a Hampton Inn.” Fallon quipped, “Gonna be fun seeing the next Lord of the Rings filmed in Bayonne, New Jersey,” and suggested replacing Emily in Paris with Emily in Des Moines.

California Governor Gavin Newsom announced in April a $750 million boost to California's state film and television tax credit.

The Democrat lawmaker, a vocal Trump opponent, issued a statement Monday proposing to partner with Trump by launching a $7.5 billion federal tax incentive scheme to bolster domestic production.

"Building on our successful state program, we’re eager to partner with the Trump administration to further strengthen domestic production," a spokesperson for the Democrat lawmaker told Variety.

"Governor Newsom continues to champion California’s iconic film and television industry – recognising it as a cornerstone of the state’s economy, one that sustains hundreds of thousands of good-paying jobs across every sector around the state," the statement continued, adding, "If the President announces a proposal with more details, we will review it."

California Senator Adam Schiff blasted Trump's plan to revamp Hollywood, warning that "blanket tariffs on all films would have unintended and potentially damaging impacts."

Schiff, who is pushing for a federal film tax credit, added, “We have an opportunity to work together to pass a major federal film tax credit to re-shore American jobs in the industry. I welcome the opportunity to work with the administration and my Republican colleagues to pass a globally competitive federal film incentive to bring back runaway production.”

Industry unions, including SAG-AFTRA and the International Alliance of Theatrical Stage Employees, expressed cautious support for efforts to boost U.S. production while opposing blanket tariffs.

SAG-AFTRA’s Duncan Crabtree-Ireland stated, “SAG-AFTRA supports efforts to increase movie, television and streaming production in the United States. We will continue to advocate for policies that strengthen our competitive position, accelerate economic growth and create good middle-class jobs for American workers. We look forward to learning more about the specifics of the plan announced by the President and to advancing a dialogue to achieve our common goals.”

IATSE’s Matthew Loeb called for a “balanced federal response,” recommending a federal film production tax incentive while emphasizing that trade policies must not harm Canadian members or the industry overall.

In a sign of backtracking, Trump softened his stance on Monday, telling reporters, “I’m not looking to hurt the industry; I want to help the industry. We’re going to meet with the industry. I want to make sure they’re happy with it, because we’re all about jobs.”

White House spokesman Kush Desai clarified that, "no final decisions on foreign film tariffs have been made."

The administration is "exploring all options to deliver on President Trump’s directive to safeguard our country’s national and economic security while Making Hollywood Great Again," Desai said.

With Newsom, Schiff, and unions pushing for tax incentives over punitive tariffs, the stage is set for high-stakes negotiations that could reshape the future of American filmmaking.