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Newsom proposes to work with Trump to ‘Make America Film Again,’ floats $7.5B federal tax credit

Two of President Donald Trump’s staunch critics – California Democrats Gov. Gavin Newsom and Sen. Adam Schiff – are now offering to work with the Republican administration on federal tax incentives to bring back movie-making from overseas. 

Newsom sued the Trump administration in federal court last month over what he said was “an unprecedented tariff regime” and said he was “reaching out to our international partners to protect California jobs and industries.” But as Trump called attention to how U.S. production houses are increasingly going international – at the detriment of middle-class Hollywood workers who make a living off of Los Angeles-area shoots – Newsom took a more collaborative tone. 

“California built the film industry – and we’re ready to bring even more jobs home,” Newsom wrote on X Monday. “We’ve proven what strong state incentives can do. Now it’s time for a real federal partnership to Make America Film Again.” 

“@POTUS, let’s get it done,” Newsom added, tagging the account for the president of the United States. 

WHITE HOUSE SAYS ‘NO FINAL DECISIONS’ MADE ON FOREIGN MOVIEMAKING TARIFFS AS TRUMP WEIGHS ‘NATIONAL SECURITY’

In a statement to the New York Times, Newsom said he wanted to work with the Trump administration on a $7.5 billion federal tax credit program to bolster the TV and film production industry. 

It would be the first federal-level incentive program for the film industry in the U.S. While more than three dozen states already have incentive programs, none top a billion, according to the Times. 

Schiff, D-Calif., meanwhile, criticized Trump’s proposed idea of implementing tariffs to curb foreign movie-making. 

“I share the administration’s desire to bring movie making back to the United States. While blanket tariffs on all films would have unintended and potentially damaging impacts, we have an opportunity to work together to pass a major federal film tax credit to re-shore American jobs in the industry,” Schiff said in a statement to Deadline. “I welcome the opportunity to work with the administration and my Republican colleagues to pass a globally competitive federal film incentive to bring back run-away production.”

The White House said Monday that “no final decisions” had been made as the administration was “exploring all options” to deliver on Trump’s directive “to safeguard our country’s national and economic security while Making Hollywood Great Again.”

Trump first announced in a Truth Social post on Sunday that he was authorizing the Department of Commerce and the U.S. trade representative “to immediately begin the process of instituting a 100% Tariff on any and all Movies coming into our Country that are produced in Foreign Lands.” 

PRESIDENT TRUMP’S HOLLYWOOD AMBASSADOR JON VOIGHT ROLLS OUT PROPOSAL TO ‘MAKE HOLLYWOOD GREAT AGAIN’

Speaking to reporters outside the White House, Trump further asserted that Hollywood was “being destroyed” by a “grossly incompetent governor” and foreign nations shelling out “big money” to attract U.S. production houses. 

Over the weekend, one of Trump’s Hollywood ambassadors, Jon Voight, along with special advisor Steven Paul, delivered to the president a “comprehensive plan” to save the film and television industry during a meeting at Mar-a-Lago. 

“While President Trump regularly corresponds with his Hollywood Ambassadors, including Jon Voight, to restore America’s cultural dominance, it was President Trump himself who formulated the idea of using tariffs to Make Hollywood Great Again.” White House spokesman Kush Desai said in a statement to Fox News on Monday. 

Voight and Paul met with “dozens of leading film and television organizations (guilds, unions, studios and streamers) about what changes need to be made to increase domestic film production,” according to a statement. 

The meeting was conducted in person with Trump at Mar-a-Lago and included SP Media Group/Atlas Comics President Scott Karol.

“The proposal includes federal tax incentives, significant changes to several 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,” the statement said. “The proposal also includes a focus on job training, and tariffs in certain limited circumstances.”

“The president loves the entertainment business and this country, and he will help us Make Hollywood Great Again,” Voight said.

Fox News’ Tracy Wright and Lawrence Jones contributed to this report.

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