Sen. Adam Schiff (D-CA) detailed the Hollywood decline by noting that roughly 45 percent of all U.S. films and scripted shows are being shot abroad.
Schiff shared his concerns about the state of the film industry during a Burbank City Hall chambers that was reportedly “packed with Hollywood union workers, community advocates and journalists,” per the Los Angeles Times.
Schiff said more 42,000 jobs have been lost along with livelihoods and careers, adding that entertainment projects are being “lured abroad” by “foreign governments that have invested aggressively in building their own film industries.” The senator noted that 45 percent of all U.S. films and scripted television shows last year were shot abroad – a full 12 percent spike from 2022’s 33 percent. While Schiff appreciated some of the incentive programs that California politicians have implemented keep production in state, he called for a federal tax credit.
“State programs cannot simply substitute for the kind of global, federal and competitive tax incentives that are needed to bring production back to American soil and stop its offshoring,” he said at the event. “The urgency could not be greater.”
Industry leaders have voiced support for a U.S. federal incentive program that would potentially help keep production in state.
“Theoretically, it just makes a lot of sense,” said Joe Chianese, senior vice president at Entertainment Partners. “If it were to happen, it would definitely help not just California, but U.S. production in general.”
The Los Angeles Times, however, noted that the “U.S. still captures the bulk of big budget productions, but its market share in that category is shrinking.”
“Last year, the U.S. led all countries with a total of $12.15 billion in production spending, but that was down 20% from 2024, according to ProdPro,” it added. “The United Kingdom has long been a magnet for Hollywood, but its allure has only grown in recent years thanks to expanded film incentives, experienced crews and new facilities.”
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