The New Zealand Government has promised to continue paying international filmmakers billions of dollars worth of incentives despite President Trump's threat to impose 100 percent tariffs on foreign-made movies.
New Zealand has become famous as the shooting ground for blockbuster productions like Lord of the Rings and Avatar. This year's release of A Minecraft Movie was the latest to receive subsidies, which play a crucial role in supporting the local film industry. These subsidies can refund up to 25 cents in the dollar for production costs.
"Last year was our biggest year ever, and we had some of our biggest productions ever. So obviously, we're very keen for that to continue," Matt Horrocks, manager for Screen Auckland.
Minecraft created over one thousand jobs and led to new investment, including the creative hub in West Auckland that provides training opportunities and career pathways for indigenous Maori seeking work in the creative sector.
"I think the opportunities are just limited by our imagination. So we are teaching people how to use state-of-the-art technology, so then they can go out into the industry with up-to-date knowledge," said Robin Taua-Gordon, Co-Chair for Te Puna Creative Innovation Quarter, a creativity hub in west Auckland.
Over the past decade, New Zealand has attracted eight major Hollywood productions by offering 1.5 billion New Zealand dollars in subsidies. Now, the government has decided to increase that funding by an additional billion dollars over the next four years.
New Zealand's screen sector employs about 24 thousand people and generates annual revenue of 3.5 billion dollars, so the increased subsidies are welcome news in the country's business community.
"The screen industry in New Zealand is very healthy and we know that international productions enjoy coming here, the confidence that they can have now that the rebate is sustained and increased is really important," said Pam Ford, head of business development for Tataki Auckland, an economic development agency.
There's little doubt that the film incentives have delivered strong returns. The government says that for every dollar spent on movie subsidies, foreign film companies have invested an additional 5 dollars in New Zealand, injecting a total of 7.5 billion dollars into the economy over the past ten years.
Meanwhile, successful productions like Minecraft help cement New Zealand's reputation in the film industry.
"It really positions us as a creative hub of world-class quality," said Horrocks.
However, U.S. President Donald Trump's threat of retaliation against foreign-made U.S. movies has cast a shadow over the screen industry, risking the destabilization of New Zealand's movie industry.
"I think the whole world is looking at what will happen. It's certainly too early to tell what the impact might be in the screen industry," said Ford.
Auckland's indigenous community has voiced strong opposition to the U.S. threats.
"We're strong in our intent and we stick to the values of our people, and as long as we work with integrity and honesty we'll be fine," said Taua-Gordon.
New Zealand boosts movie production incentives amid Trump's tariffs
