Trump Endorses U.S. Tax Incentive to Keep Hollywood Production: ‘Let’s Get This Done!’

President Trump on Monday endorsed a federal tax incentive for film and TV production, a move long sought by Hollywood studios and unions.

In a statement posted to Truth Social, Trump said he will push for a bipartisan bill to save the industry.

“I am going to suggest that Republicans and Democrats get together, and immediately craft Legislation to save the Movie, Television, and Entertainment Business in America,” he wrote. “Congress should approve, immediately, a Federal Production Incentive to create Entertainment Jobs in America. It can be done quickly, accurately, efficiently and, importantly, will benefit ALL of America. What we watch on the Silver Screen should be made in what was once the Movie and Motion Picture Capital of the World. Let’s get this done!”

Since last year, Trump had repeatedly threatened to impose a 100% tariff on films made overseas. Industry stakeholders have sought to redirect his attention toward a tax credit, much like those offered by Canada, the U.K., and by 39 U.S. states.

Several Democratic lawmakers have gotten behind the idea, notably including Sen. Adam Schiff, who held a hearing on the topic in March. But Schiff and others have said that Republican lawmakers were waiting on a positive signal from the White House getting on board.

Charles Rivkin, the CEO of the Motion Picture Association, applauded Trump’s move in a statement.

“For over a century, American studios, casts, and crews have produced the films and series that the world wants to see,” Rivkin said. “A federal incentive would be a landmark step toward bringing more production to local communities in all 50 states, strengthening our nation’s economy, and making our country a more competitive place to produce, create, and tell great stories. We applaud President Trump’s support for this vital action, and we look forward to continuing to work with the White House and bipartisan leaders in Congress to enact a meaningful and effective national incentive into law.”

Supporters of the measure have cited a dramatic drop in domestic production since the streaming bubble burst in 2022. Around 73,000 jobs have been lost nationwide, about two-thirds of them in Los Angeles.

Schiff circulated draft legislation last year that would have provided a 15% credit on labor costs incurred in the U.S. The MPA has been working with Jon Voight, Trump’s “special ambassador” to Hollywood, to push for a 20% credit.

In his Truth Social post, Trump said he had recently met with Voight on the issue.

“He is a fantastic man who loves our Country, and feels strongly about the Motion Picture and Television Industry,” Trump wrote. “He hates what’s happened to it! It is being dissipated in its entirety. It has moved to Canada, and other Countries, with very little work being done anymore in the United States. Hollywood is a Complete and Total Disaster! Despite the name, it is getting very little work. There is no incentive to be there, and it is hurting California very badly.”

Trump argued that a federal incentive would generate a positive return on investment.

“Jon, and many others in the Industry, are suggesting we do Federal Tax Incentives in order to Make our Movie and Television Production Business GREAT AGAIN, perhaps GREATER THAN EVER BEFORE!” he wrote. “The amount of money spent on Tax Incentives will be made up tenfold by the money pouring into the Treasury’s coffers.”

Some lawmakers have also been working to revive Section 181, a much more modest tax code provision that allowed independent producers to accelerate depreciation of film investments. That provision expired last year.