Rama Krishna Sangem
American market of Indian movies has hit a road block. Almost all big budget films have been till now grossing 25-30 per cent of their revenues from the US screenings. Special promotions too are being organized to make woo audience. So called Pan India movies, in fact, banked on Pan America markets till now.
But, President Donald Trump has launched a full-blown assault on foreign films, announcing a 100% tariff on all movies made outside the United States, a first-of-its-kind strike that could impact Indian cinema’s booming business in North America. Each big budget film collects revenues from Rs 25 crore to Rs 80 crore from the North American market.
In a late-night post on Truth Social, Trump accused other countries of “stealing” Hollywood’s dominance and vowed to punish foreign productions with sky-high import costs.
Our movie-making business has been stolen from the United States of America by other countries, just like stealing candy from a baby,” Trump declared. “Therefore, I will be imposing a 100% tariff on any and all movies that are made outside of the United States.”
The tariff, if implemented, would be the first U.S. tax on cross-border delivery of digital entertainment—a move that directly targets the now-digital pipeline of global cinema, from theatrical Digital Cinema Packages (DCPs) to streaming giants like Netflix and Amazon.
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The U.S. is one of the most lucrative overseas markets for Indian films, generating an estimated $100–150 million annually across Hindi, Tamil, Telugu, and Malayalam releases. That revenue stream is now under threat. Because, all big budget filmmakers prepare plans keeping the US market in view while allocating budgets to the films. Now this goes haywire.
A 100% tariff would instantly double ticket prices in U.S. theatres—turning a $20 movie night into a $40 ask. For Indian films, which rely heavily on diaspora audiences, such a spike could wipe out mainstream footfall overnight.
“It’s a bloodbath waiting to happen,” said a Mumbai-based film distributor. “Margins are already thin. This kind of pricing will break the model. Most Indian films just won’t be viable in the U.S.”
The impact would be widespread. Massive blockbusters like Baahubali 2, Kalki 2898 AD, Pathaan, and Jawan have raked in tens of millions from U.S. audiences. Under the new tariff, such success stories could become rare exceptions. And it’s not just theatres feeling the heat—streaming is on the chopping block too.
