Goebbels ministry took over the film industry in Germany in the 1930's, UFA became mostly a tool for propaganda, and American opinion was not all
that negative, the English were wishing for appeasement, 1939 would end the delusion, at least for the UK. Hollywood's attitude would change also.
The Charlie Chan at the Olympics (1937) was pretty much neutral, Jesse Owens according to one report shook hands with Hitler (by his request), so
things change, the ugly would surface, and end in 1945.