California Governor Gavin Newsom is seeking to partner with U.S. President Donald Trump on a sweeping new proposal to boost domestic film production by combining federal tariffs and state tax credits, The New York Times reported Monday. Trump announced plans Sunday to impose a 100% tariff on all foreign-made films. Newsom responded with a proposal for a $7.5 billion federal tax credit — by far the largest government aid package for the film industry— to bring movie production back to the U.S.
“We’re eager to partner with the Trump administration to further strengthen domestic production and Make America Film Again,” Newsom said (paywalled interview). The partnership marks a rare moment of alignment between the Democratic governor and Trump, who have clashed on numerous issues, including trade. The White House said details of the tariffs are still under review. The move follows Trump’s January launch of a pro-Hollywood initiative led by Jon Voight, Sylvester Stallone, and Mel Gibson.