Trump Issues New Demand To Congress

President Donald Trump is calling on Congress to create a new federal tax incentive aimed at keeping movie and television production—and the jobs that come with it—inside the United States.

Trump urged Republicans and Democrats on Monday to work together on legislation designed to strengthen America’s entertainment industry as U.S. productions face growing competition from overseas locations.

The president said Congress should quickly consider a federal production incentive that would encourage studios and production companies to make more movies and television programs in America.

The proposal could potentially affect thousands of workers who earn their living behind the scenes, including electricians, carpenters, drivers, camera crews, set builders, costume designers and other skilled professionals.

Trump Wants More Entertainment Jobs in America

Trump announced the proposal after meeting with actor Jon Voight, a longtime supporter who has been advocating for policies intended to strengthen domestic film and television production.

According to Trump, Voight recommended using federal tax incentives to encourage entertainment companies to bring more production work back to the United States.

The proposal closely follows Trump’s broader economic message of encouraging businesses to invest and create jobs in America rather than sending investment and employment opportunities overseas.

Although Hollywood is best known for celebrities, directors and major studios, the entertainment industry supports a much broader network of American workers and businesses.

A major movie or television production can require construction crews, transportation companies, hotels, restaurants, equipment suppliers, caterers and hundreds of other workers and vendors.

That means the economic impact of a production can extend far beyond the actors appearing on screen.

Jon Voight Has Been Pushing for a Federal Tax Credit

Voight previously advocated for a federal tax credit to support U.S. film and television production during a meeting with Trump in February.

The veteran actor rose to national prominence following his performance in the 1969 film Midnight Cowboy and has remained active in Hollywood for decades.

Trump named Voight as one of three special ambassadors to Hollywood in January 2025. Sylvester Stallone and Mel Gibson were also selected for the effort.

Their mission has centered on examining ways to strengthen an American entertainment industry that has faced increasing competition for production work.

Voight has since worked with a coalition involving major entertainment organizations and labor groups.

The effort reportedly includes the Motion Picture Association, the Directors Guild of America and unions representing actors, writers and other entertainment professionals.

The coalition is particularly noteworthy because the issue crosses traditional political boundaries.

Hollywood may lean heavily Democratic politically, but workers, unions, studios and conservative supporters of Trump can share an economic interest in keeping American entertainment production from moving abroad.

Proposal Calls for a 20% Federal Production Tax Credit

One proposal would establish a 20% federal tax credit covering qualifying labor expenses for movies and television shows produced in the United States.

Steven Paul, CEO of SP Media Group and Voight’s agent, and SP Media President Scott Karol have promoted the idea.

The goal would be to reduce the financial disadvantage American production locations can face when competing against foreign countries offering their own incentives.

For a large production employing hundreds of people, labor represents a substantial portion of the overall budget.

Reducing some of those costs through a tax incentive could make producing a movie or television series in America more financially attractive.

Supporters believe that could translate into additional American jobs.

Critics, however, may question whether taxpayers should effectively subsidize an industry containing some of the world’s largest entertainment companies.

That debate could become important if Trump’s proposal advances in Congress.

Why Are Movies and TV Shows Being Filmed Outside America?

The competition to attract movie and television production has intensified considerably.

Entertainment companies routinely compare the costs of shooting in different states and countries before deciding where to produce a project.

Financial incentives can play a major role in those decisions.

Several U.S. states already offer substantial incentives to attract entertainment productions. Georgia, New York and New Mexico are among the states that have used tax programs to compete for film and television projects.

Foreign countries also offer attractive production incentives, creating another layer of competition for American workers.

When a major production moves overseas, the economic consequences can extend beyond the studio itself.

Local businesses can lose spending on hotel rooms, meals, transportation, construction materials, equipment rentals and other services.

The workers affected may include everyone from highly specialized production professionals to small-business owners who never appear anywhere in the movie’s credits.

Could Trump’s Plan Bring Hollywood Jobs Back?

That is the central question.

A federal production incentive could make the United States more competitive, particularly when combined with existing state incentives.

But the effectiveness of such a program would depend heavily on how Congress designs it.

Lawmakers would have to decide which productions qualify, which expenses can be claimed, whether there should be spending limits and what safeguards would prevent abuse.

Congress could also consider requirements ensuring that federal incentives actually support American employment.

For example, lawmakers could debate whether companies receiving the tax benefit should be required to meet specific domestic hiring or production thresholds.

Those details could determine whether the program becomes an effective job-creation tool or simply another corporate tax benefit.

An America First Policy for an Unexpected Industry

Trump’s involvement also creates an interesting political contrast.

Hollywood has historically been hostile territory for Republican presidential candidates, and some of the entertainment industry’s biggest stars have been outspoken Trump critics.

Trump, however, is making an economic rather than cultural argument.

His position is essentially that American entertainment jobs are still American jobs—regardless of the political views of celebrities or studio executives.

That argument could resonate with older conservative voters who support Trump’s efforts to encourage domestic manufacturing, energy production and investment.

The same basic principle is now being applied to entertainment: if a movie or television program can be produced in America using American workers, Trump wants the United States to compete for that business.

Fiscal Conservatives Could Raise Questions

The proposal may not receive automatic support from every Republican.

Fiscal conservatives have traditionally been skeptical of government incentives that favor particular industries.

They could argue that Hollywood studios should compete without federal assistance and that taxpayers should not shoulder the cost of making movie production more profitable.

Supporters can make the opposite economic argument.

If competing countries are already using tax incentives to lure productions away from the United States, they may contend that America risks losing jobs, wages and business activity by refusing to compete.

That sets up a larger debate over whether the proposed tax credit should be considered a government subsidy or an investment designed to keep American jobs at home.

What Happens Next?

For now, Trump’s proposal is a call for congressional action rather than an established federal program.

Congress would need to draft and pass legislation before a nationwide entertainment production tax incentive could take effect.

Any bill would likely address the size of the tax credit, eligibility requirements, domestic labor rules and limits on how much individual productions could receive.

Whether Democrats and Republicans can reach an agreement remains unclear.

The proposal does, however, create an unusual opportunity for bipartisan cooperation.

Democrats have traditionally maintained close relationships with Hollywood and entertainment unions, while Republicans could be attracted to the proposal’s emphasis on domestic jobs and American competitiveness.

Bottom Line

Trump is pushing Congress to consider a federal tax incentive designed to make producing movies and television programs in the United States more competitive.

A proposal backed by Voight and his associates calls for a 20% federal tax credit on qualifying U.S. production labor costs.

Supporters believe such an incentive could help protect American entertainment jobs, strengthen local economies and prevent additional productions from moving overseas.

Opponents may question whether Washington should provide another tax benefit to major corporations in an already wealthy industry.

That debate will ultimately be up to Congress.

For American workers, however, the larger issue is straightforward: when a movie or television production leaves the United States, many of the jobs and much of the spending associated with that project can leave with it.

Trump’s proposal seeks to change that equation by giving entertainment companies another financial reason to hire, build and produce in America.