U.S. President Donald Trump on Sunday announced a 100% tariff on movies produced outside the country, saying the American movie industry was dying a "very fast death" due to the incentives that other countries were offering to lure filmmakers.

The announcement, which confounded film executives and foreign leaders, would escalate Trump’s trade war by including services. What happens next remains unclear.

Trump said he is instructing members of his administration to "immediately begin instituting a 100% Tariff" on films produced overseas.