When asked if it is nationalism or fear, Ajay said, "Both.
When it comes to nationalism, as I said, I stand by the country. When it comes to politics, an industry man gets a little scared. He gets scared because if today you say anything against a group, your film will be stopped, something will happen.
"We are very vulnerable where politics is concerned. Where nationalism is concerned, I don't think it (Bollywood) is divided." he added.
Devgn was speaking at a special event of Aaj Tak's 'Manthan' here along with wife Kajol.
His statement comes against the back of Karan Johar's directorial project "Ae Dil Hai Mushkil" being at the receiving end of MNS' ire for casting Pakistani actor Fawad Khan.
MNS said it won't allow the release of the film slated on October 28.
Johar has also issued a statement saying he will not work with Pakistani actors again and has the highest respect for the nation.
The The 47-yer-old actor said many people are scared to voice their opinion when it comes to politics as they may end up facing unnecessary backlash.
"We want to stay away from politics because we are vulnerable. But when it comes about the nation, there I stand by it. But when politics is concerned, sometimes you say it but most of the time 'aap darr ke chup ho jate ho' (you are scared and keep mum)."
He said just like the society, Bollywood is divided too but the film industry has never faced any issue when it is about religion, something which is its "biggest credit."
"Film industry is divided, just like the society. But when religion is concerned, it is not...'Religion ka problem aata hi nahi hai entertainment mein'. Whatever the political or religious situation be, people working in our films are Hindus, Muslims, Parsi, Christians." .