Trump’s tariff war targets Bollywood: Fears rise over U.S. market loss

Dubai: US President Donald Trump’s proposal to impose a 100% tariff on foreign-made films has sparked intense debate across the global entertainment industry—sending Bollywood into a state of high alert. The plan, announced earlier this month, is being positioned as an attempt to “protect American movies from unfair foreign advantage.”

Indian filmmakers, however, have criticised the idea as unworkable and damaging. They argue that cinema is now a profoundly globalised industry, with Hollywood itself relying heavily on international shooting locations, talent, and post-production hubs. “Every second Hollywood film is shot outside the USA, with its VFX executed in India or elsewhere. Where exactly will you draw the line?” asked director Kabir Khan.

For Bollywood, the stakes are high. The US remains one of its most lucrative overseas markets, with Hindi, Tamil, Telugu, and Malayalam blockbusters regularly grossing millions at the North American box office. Recent hits, such as RRR, Pathaan, and Jawan, have showcased how both diaspora communities and mainstream audiences are embracing Indian spectacles. A 100% tariff, industry analysts warn, could instantly double ticket prices or distribution costs, making Bollywood films far less competitive in the US.

The timing is critical. In 2025, Saiyaara became the year’s top-grossing Indian film overseas, powered by strong US screenings. The historical epic Chhaava also saw solid returns, while Rajinikanth’s Coolie broke records by earning USD 6.22 million in just five days in North America. These successes underscore what could be lost if tariffs are implemented.

Industry voices also warn of a domino effect. Director Pan Nalin noted: “If every country thinks the same, the whole order will collapse.” A tariff war, they say, could invite retaliatory measures against Hollywood, shrinking the very cultural bridges cinema has built.

While the White House later clarified that no final decision has been made, the uncertainty itself is rattling film industries worldwide. Trade experts predict that any such policy would face hurdles at the World Trade Organisation, but even the suggestion has cast a shadow over India’s cinematic ambitions.

For now, Trump’s move may be as much political theatre as policy. Yet the threat underscores how Bollywood—with its rising global profile—is no longer just India’s pride, but also a player caught in the crossfire of international trade battles.