A Surprising Alliance: Newsom, Schiff, and Trump Seek to Revitalize Hollywood
In a surprising turn of events, California’s Democratic leaders, Governor Gavin Newsom and Senator Adam Schiff, are extending an olive branch to the Trump administration, proposing a collaborative effort to reignite the American film industry. This unexpected partnership emerges amidst concerns over the increasing trend of U.S. production houses venturing overseas, impacting middle-class Hollywood workers and undermining the industry’s historical dominance.
Previously staunch critics of President Trump, Newsom and Schiff are now advocating for federal tax incentives to attract film production back to the United States. This move comes as Trump himself has voiced concerns about the decline of Hollywood, attributing it to foreign incentives and, pointedly, the leadership of California’s governor.
Newsom, who recently sued the Trump administration over tariff policies, seems to be shifting his approach, recognizing the potential for a mutually beneficial solution. He acknowledged California’s historical role in building the film industry and emphasized the state’s readiness to bring more jobs back home. In a post on X (formerly Twitter), Newsom called for a "real federal partnership" to "Make America Film Again," directly tagging President Trump.
His proposal involves a substantial $7.5 billion federal tax credit program designed to bolster television and film production in the U.S. This would mark the first federal-level incentive program specifically for the film industry. While many states already offer their own incentives, none come close to the scale Newsom is suggesting.
Senator Schiff, while initially critical of Trump’s idea to impose tariffs on foreign films, also expressed a willingness to collaborate on a federal film tax credit. He acknowledged the administration’s desire to bring movie making back to the United States, while warning that blanket tariffs could have "unintended and potentially damaging impacts." Schiff believes a federal tax credit would provide a globally competitive incentive, effectively re-shoring American jobs in the film industry.
The White House, however, remains cautious. While acknowledging that the administration is exploring all options to fulfill Trump’s directive to safeguard national and economic security and "Make Hollywood Great Again," they have stated that "no final decisions" have been made regarding tariffs on foreign moviemaking.
Trump’s initial proposal, announced on Truth Social, involved authorizing the Department of Commerce and the U.S. Trade Representative to impose a 100% tariff on movies produced in foreign lands. He has also publicly criticized the state of Hollywood, blaming a "grossly incompetent governor" and the lure of "big money" offered by foreign nations to attract U.S. production companies.
Adding another layer to the situation, President Trump has been receiving counsel from his "Hollywood ambassadors," most notably Jon Voight. Voight, along with special advisor Steven Paul, presented the president with a "comprehensive plan" to revitalize the film and television industry during a meeting at Mar-a-Lago.
According to White House spokesman Kush Desai, it was Trump himself who initially conceived the idea of using tariffs to "Make Hollywood Great Again." However, the plan presented by Voight and Paul encompasses a broader range of initiatives.
The Voight-Paul proposal includes federal tax incentives, significant changes to various tax codes, the establishment of co-production treaties with foreign countries, and infrastructure subsidies for theater owners, film and television production companies, and post-production companies. It also includes a focus on job training and, notably, tariffs "in certain limited circumstances."
Voight stated that he and Paul met with "dozens of leading film and television organizations (guilds, unions, studios, and streamers)" to gather input on changes needed to increase domestic film production. The meeting was held in person with Trump and included Scott Karol, President of SP Media Group/Atlas Comics.
The potential collaboration between Newsom, Schiff, and the Trump administration signals a significant shift in the political landscape surrounding the film industry. While ideological differences remain, the shared goal of revitalizing Hollywood and bringing jobs back to the United States appears to be driving a willingness to work together.
The success of this potential partnership hinges on several factors, including the specific details of the proposed federal tax incentives, the administration’s final decision on tariffs, and the willingness of all parties to compromise and prioritize the long-term health of the American film industry. Whether this unexpected alliance can overcome political divides and deliver tangible results for Hollywood remains to be seen. However, the mere possibility of such collaboration represents a notable development in the ongoing debate over the future of American filmmaking. The stakes are high, with the livelihoods of countless middle-class workers and the cultural influence of Hollywood hanging in the balance. The coming months will likely prove crucial in determining whether this bipartisan effort can truly "Make America Film Again."