American Cinema’s Close-Up Moment—U.S. Filmmakers Want Movies Made Here, Too!

“The quest stands upon the edge of a knife.” Galadriel’s words in The Fellowship of the Ring, warning the group on their quest, now ring true again—but this time, for the American movie industry.

On May 4, POTUS announced a 100% tariff on foreign-made films, stating, "We want movies made in America, again!" The comment, and the sweeping policy behind it, are sparking a fierce debate. While protectionist in tone, the announcement also presents an unexpected inflection point: Can we turn this precarious, high-stakes disruption into a creative and economic revival?

Hollywood's Close Up?

Global Roots, Local Opportunity

As film industry analyst Stephen Follows noted in his recent report, How Many Hollywood Movies Are Made in the U.S.?: “Films typically have multiple countries of origin... a global supply chain.” A movie today might be developed in Los Angeles, shot in Toronto, edited in Berlin, and finalized in Mumbai. While global production has driven efficiency and lowered costs, it has also hollowed out jobs and infrastructure within the U.S.—especially for independent filmmakers.

Tariffs may shift the global production landscape, but this isn’t about nationalism—it’s about opportunity. The moment is ripe to reinvest in creative labor, training, and resources at home—without isolating ourselves from international collaboration.

Indie Film at Risk—and Ready for Reinvention

Independent cinema has struggled mightily since the pandemic. According to Indy Film Library, the indie box office shrank by 17.3% in 2024, its steepest drop in five years. Budget inflation, shrinking theatrical windows, and shifting viewer habits have hit small and mid-tier productions hardest.

Meanwhile, global streamers continue to surge. Netflix co-CEO Ted Sarandos recently commented that “cinemagoing is an outmoded habit,” signaling the company’s full embrace of a streaming-first future (The Guardian, April 24, 2025).

What’s more, public funding for the arts continues to shrink. The NEA’s budget in 2025 was slashed to just $155 million, barely 0.004% of the federal budget. At a time when the government is proposing tariffs to protect domestic film, it is paradoxical—and short-sighted—to cut support for the very creators meant to benefit.

Finance Must Lead—and Follow Through

Today’s U.S. economy remains unpredictable, but many private investors are cash-rich and eager to diversify. Film has always attracted interest from equity partners seeking prestige and upside—but viable distribution remains the missing link. Without clear pathways for production and marketing, many promising projects stay just that: ideas on paper.

However, regional ecosystems from Georgia to New Jersey, Hollywood to New Mexico to upstate New York have all of the resources - in equipment, people infrastructure, and sound stages. With the right support, these areas could become the foundation for a more diversified, self-sustaining American film economy. The next step is to incentivize and support filmmakers with funding to make movies.

Bold Solutions

Rather than letting protectionism dictate the narrative, now is the time for bold, forward-thinking policies to reimagine the American film industry. Two initiatives could change the game:

1. A National Film Innovation FundThis public-private initiative would provide low-interest loans, forgivable grants, and equity-matching investments for U.S.-based productions—especially in underserved communities and emerging regions. Modeled after successful efforts in Canada, France, and South Korea, such a fund would lower barriers to entry while seeding long-term industry growth.

2. Federal Production Tax Credits for InvestorsWe’ve seen state incentives like Georgia’s drive billions in local spending—$4.4 billion in direct spend in 2022 alone. A federal credit for investors backing U.S.-based productions could unleash even greater impact, encouraging both big studios and indie producers to stay—and grow—onshore. The JOBS Act and Section 181, which were supposed to support, in part, native movie investment, have fallen well short.

2. Federal Film Festival & Media InvestmentIgnite patriotism and the movie industry with actual funding for the type of movies that people want to see, and a way to see them with a virtual and real-world film festival celebrating our filmmakers. This is well within reach, resources and imagination of the current administration.

A Renaissance Within Reach

Hollywood has always rebounded from disruption. It did so during the rise of television, the 2008 financial crisis, and the streaming explosion triggered by COVID. This is another turning point—but not a death knell. If tariffs trigger a shift, let’s meet it with strategy, support, and innovation—not fear. The goal is not to exclude foreign stories, but to elevate domestic creators and rebuild an industry where artists can afford to live, work, and thrive. This isn’t about closing doors. It’s about opening new ones—across the country, from the ground up.

If we act now—with courage, clarity, and a substantial funding commitment by the government—this could be the start of a new American film renaissance.