Indian Entertainment Stocks Tumble Up to 5% on Trump's 100% Tariff Threat to Foreign Films

Shares of key Indian media and entertainment firms plunged on Tuesday following U.S. President Donald Trump's renewed pledge to impose a 100% tariff on all movies produced outside the United States, reigniting concerns over the global film trade. In a post on Truth Social dated Monday, September 29, Trump decried the U.S. movie industry as "stolen" by foreign competitors, likening it to "stealing ‘candy from a baby’" and vowing to enact the steep levy to protect domestic production. This marks a revival of the tariff idea he first proposed in May 2025, though no implementation timeline has been specified, leaving Hollywood and international filmmakers in limbo. The announcement sent ripples through Indian markets, where Bollywood and regional cinema enjoy robust exports to the U.S., particularly among the diaspora.

X Ltd., India's largest multiplex chain, saw its shares drop nearly 3% to Rs 1,072.1, while visual effects and post-production giant Prime Focus Technologies Ltd. tumbled 5% to Rs 175.95. Other players like Mukta Arts Ltd. also slipped about 2% to Rs 68, reflecting broader sector jitters over potential barriers to U.S. distribution deals. Industry experts warn the policy could disrupt lucrative overseas revenue streams for Indian filmmakers, who rely on multilingual releases in the U.S. for significant box-office hauls. As the White House offers no further details, stakeholders brace for prolonged uncertainty in an already volatile entertainment landscape.