What started as a vague Truth Social rant may now become a high-stakes economic earthquake for Hollywood—and the ripple effects are already reaching Main Street Disney.
Former President Donald Trump declared he will authorize 100% tariffs on all foreign-made movies entering the United States, calling overseas film production a “National Security threat.” The move, while not yet official, has already spooked studio executives, jolted Wall Street, and caused travel cancellations from international Disney fans who see the move as another sign of escalating hostility toward America’s allies.
Hollywood’s Global Footprint Under Fire
The film industry’s reaction was swift—and not subtle. Disney’s stock dipped to $89.70, while Comcast (Universal’s parent company) slid to $34 early Monday after Trump’s post called out foreign nations for luring productions away with tax breaks and incentives.
If the tariffs come to fruition, blockbusters like “Avengers: Doomsday” (currently filming in England) and the upcoming “Fantastic Four: First Steps” (shot partially in Spain) could face inflated distribution costs or delays. Same goes for Universal’s “Jurassic World: Rebirth”, filmed across the U.K. and Thailand, and even “Wicked,” which wrapped production in London but still has a year of post ahead.
The ambiguity of the announcement has only added to the confusion. Producers and financiers are unclear whether movies already in the can, or deep in pre-production, would be impacted. As one London-based producer told Variety, “There’s no logic here. Do we halt everything now? Rewrite plans? This has serious global consequences, and it was dropped like a political grenade.”
Fallout Beyond Film: Tourists Are Opting Out
But perhaps the most unexpected side effect? A wave of cancellations from would-be tourists—especially Canadians—who are pausing or backing out of Disney vacations as tensions between the U.S. and its allies mount once again.
Agents in Ontario and British Columbia are reporting a “measurable uptick” in trip cancellations for both Walt Disney World and Disneyland, citing frustration over trade war rhetoric and unease about traveling south amid perceived cultural hostility.
“For some families, Disney was a yearly tradition,” said one Toronto-based travel coordinator. “But now I’m getting messages like, ‘We’re going to stay in Europe this year instead.’ That didn’t happen before.”
The economic fallout could be significant. Canadians consistently rank among Walt Disney World’s top international demographics. If that market starts to shrink, it could cut deep into post-pandemic park recovery efforts already slowed by inflation, high ticket prices, and uneven domestic attendance.
Post-Strike Industry in a Holding Pattern
All of this lands just months after the SAG-AFTRA and WGA strikes left Hollywood scrambling. Film production in the U.S. is still down more than 40%, and many studios have relied on international locations to keep costs in check while navigating a turbulent labor landscape.
The proposed tariffs would effectively punish that strategy—possibly doubling budgets, delaying premieres, or worse: driving production even farther from American soil.
Even the “America-made” myth doesn’t hold up under scrutiny. Star Wars series like “Andor” and films like “Gladiator”, “Schindler’s List”, and even “The Aviator” all depended on international shoots. “It’s not just about budgets,” one U.K. executive said. “It’s about landscapes, infrastructure, union flexibility. This policy throws all of that into chaos.”
What’s Next?
Trump has yet to release formal policy language, and the Commerce Department has made no public comments. But studio heads and travel industry insiders alike are watching warily. If these tariffs go through, it could reshape how—and where—American stories are told, and who still wants to come experience the magic of Disney in the process.
Until then, uncertainty is the name of the game. And Hollywood, already bruised, just took another hit it didn’t need.
