Dear Colleagues and Industry Partners,
We have read with interest the recent open letter to President Trump, co-signed by SAG-AFTRA and other U.S. industry stakeholders, calling for enhanced federal support for domestic film and television production. It’s a well-crafted appeal which is no surprise given the signatories, and there are several parts we can relate to deeply. Like many unions and industry organizations across North America, ACTRA Toronto is familiar with the pressure of fighting for jobs, protecting members, and sustaining a vibrant screen-based industry in increasingly unpredictable times.
There is a lot in the letter worth acknowledging. For one, it’s encouraging to see labour and producer organizations jointly advocating for the sector, reminding us that when workers and employers find common cause, the message carries farther and lands louder. Their focus on tax provisions, particularly the expansion of Sections 199, 461, and 181 of the U.S. tax code, is smart strategy. Rather than pitching a politically volatile new incentive program, their arguments are wrapped in broader “domestic manufacturing” rhetoric, which is something we’ve said for years: film and TV production is manufacturing, just with storyboards and call sheets.
The letter also lays out some hard truths. The U.S. does run a cultural trade surplus. Other countries, including Canada, have been stepping up competitiveness. And yes, production is a high-value, high-impact industry for local economies.
That said, the devil is always in the deductions. The tax tools proposed, particularly 199 and 461, offer little direct benefit to working performers or below-the-line workers. These are corporate levers: mechanisms that might shift studio accounting practices, but don’t necessarily shift productions. The Section 181 adjustment is more tangible, but unless there is an increase to the per-production cap, it is largely a restatement of the status quo.
In the short term, the most significant changes are likely to occur at the state level. New York, New Jersey, and California are increasing their competitive edge through revamped tax credits. In fact, reports suggest that studios are offering post-production services at cost to sustain their local workforce. This situation transcends tax codes; it revolves around pressure, survival, and strategic goodwill. However, despite these factors, the outcomes remain mixed. For all the talk about rebuilding film production in LA, industry members are skeptical that corporate sentiment will genuinely lead to long-term job creation.
As for the letter’s “Hollywood Ambassadors” … let’s just say the overtures are a little theatrical—even by our standards.
From where we sit, it’s unclear how the proposals in this letter effectively support workers in the way unions are intended to advocate. This looks more like an effort to showcase action, demonstrating to members that something is being done, rather than defining a clear path to reversing runaway production. This raises an important question: what if these proposals are implemented and production doesn’t increase? That would be a tough spot for a union to find itself in.
At ACTRA Toronto, our strategy remains steady, and we’re doubling down on the basics:
- Defending and growing Canadian domestic production.
- Collaborating with our provincial partners to ensure Ontario remains one of North America’s most attractive production hubs.
- Diversifying the markets our performers can work in, because the future isn’t built on any one jurisdiction, but on a resilient, skilled, and well-protected workforce.
We’re also watching the global chessboard. If the U.S. starts looking at co-production treaties as a lever to keep work at home, we’ll be asking what that means for Canada, and what it means for our trade relationships with the EU and UK. But that’s a conversation for another day.
In the meantime, we are committed to supporting our members with honesty, clarity, and a focus on long-term stability, not just short-term headlines.
In Solidarity,
Alistair Hepburn
Executive Director