Gavin Newsom Backs $750M Hollywood Stimulus to Support California's Film Industry Amid Trump Tariffs

Courtesy of Justin Sullivan/Getty Images.

Los Angeles, more specifically Hollywood, has been facing a challenging stretch — not just recently, but over the past few years. However, there's some encouraging news on the horizon for film and television productions that qualify for California’s recently expanded tax credit program.

That optimism was on full display in Burbank at The Ranch Lot Studios, where a mix of state and local officials, union leaders, and Hollywood figures gathered to celebrate the legislative approval of Governor Gavin Newsom’s proposal. The plan boosts annual incentives for film and TV projects from $330 million to $750 million.

During the event, Newsom took a jab at former President Trump’s “Alligator Alcatraz” press conference held July 1 in Florida, before shifting focus back to the film industry. He expressed hope that Trump might collaborate with the entertainment sector to help bring more production work back to the U.S. — “We’re going to need Trump,” he noted. So far, though, there’s been no sign of any concrete federal initiatives from the White House or from Trump’s appointed trio of special envoys — Jon Voight, Sylvester Stallone, and Mel Gibson — turning up in proposed legislation.

The increased cap puts California ahead of states like New Jersey ($430 million), New Mexico ($130 million), and Louisiana ($125 million), though it still trails New York ($800 million). Georgia remains a major competitor with no set limit on its incentive spending. Assemblymember Rick Chavez Zbur, a key advocate for the bill, highlighted that this expansion brings long-overdue stability to workers throughout the state.

“Four out of ten people that visit the state of California announce they visited the state of California because of the images you produce,” the Governor stated to his crowd, encouraging Hollywood productions.

L.A. Mayor Karen Bass chimed in to say, “This is a wonderful day for the industry after several very tough years. “From watching production slip away to the point where other states develop their own capacity — where people didn’t have to come home anymore, they could relocate.” The Mayor then noted, “I know production, which is already beginning to return to L.A., is going to flourish.”

The number of shoot days in Los Angeles has dropped, especially for scripted television as episode orders shrink, and soundstage occupancy has followed suit. Bureaucratic delays and a burdensome permitting process have been cited as reasons productions have moved elsewhere. In response, Bass issued executive directives on May 20 to streamline permitting and make city-owned filming locations, such as the Griffith Observatory, more accessible.


TRENDING NEWS


Next
Next

Timothée Chalamet, Emily Blunt, Demi Moore Among Actors to Receive Stars on Hollywood Walk Of Fame