Monterey County Film Commission responds to potential film tariffs

MONTEREY COUNTY, Calif. (KION-TV) -- The Monterey County Film Commission is reacting to President Trump's suggestion, adding a 100 percent tariff on foreign-made films. Governor Newsom is proposing a tax credit instead.

We all enjoy watching movies, yet sometimes Hollywood tricks us into thinking certain scenes were filmed in other countries. Monterey County has been chosen as an alternative backdrop many times. 

“We have doubled for many other places, like Ireland for Big Sur, Vietnam for Fort Hunter Liggett, when 'We Were Soldiers’ came to film.”

Commissioner Karen Nordstrand said a tariff on foreign-made films would be difficult to enforce. 

“Along the last few years, it's been very common for film productions to follow the money,” she said. “They've been going to places like Canada, New Zealand, Australia, (the) UK, where they can find tax incentives and other subsidies that can sometimes reduce their budget by 30 to 40 percent.”

Nordstrand is responding to recent talk by President Trump to impose tariffs on foreign-made films.

“I want to help the industry uh, but uh they're given financing by other countries, they've given a lot of things, and uh the industry was decimated," said President Trump.

Film commissioner Nordstrand saying the commission itself has generated $138 million since its inception in 1987. All this for local communities. Still, she says a better solution would be federal rebates.  

“If they had a federal incentive program, I think that would be more helpful.” She adds that many local commercials and smaller budget films choose Monterey County as their backdrop. “As it is, we've had scenes in more than 200 movies filmed here in Monterey County, and TV shows, and we've been very active in attracting and assisting film productions.”

She says the commission generates an average, $4 million a year for Monterey County. Nordstrand adding a tariff would make more harm than good for an already aching industry.  

“If there is a tariff that comes in, it would be bad timing. The industry has endured COVID and wildfires, and two strikes. And so it's kind of down at least 25% in Los Angeles this first quarter. So the impact is already strong, and a tariff or a confusing message about tariffs certainly cannot help.” 

The Trump administration has yet to confirm details on these potential tariffs.