Trump’s push for federal film tax incentives puts AMC, IMAX, Cinemark and Disney in focus, as cinema attendance recovers.

  • Trump said he spoke with Jon Voight about creating federal tax incentives to bring film and TV production back to the U.S. 
  • He stated that overseas production has hurt Hollywood and California.
  • Trump is seeking bipartisan support for film tax incentives as U.S. production declines and thousands of jobs disappear. 

AMC Entertainment (AMC), IMAX (IMAX), Cinemark Holdings (CNK) and Walt Disney (DIS) stocks are in focus after President Donald Trump called for federal tax incentives to bring film and television production back to the U.S., saying the move could create jobs and strengthen Hollywood. 

Trump Pushes For Federal Incentives For Hollywood

In a Truth Social post, Trump said he discussed the issue with Hollywood actor and presidential entertainment ambassador Jon Voight, whom he described as a strong supporter of the U.S. film and television business. Trump said Voight and others in the industry favor federal tax benefits that could make domestic production more attractive.

“It is being dissipated in its entirety. It has moved to Canada and other Countries, with very little work being done anymore in the United States. Hollywood is a Complete and Total Disaster! Despite the name, it is getting very little work.”

He said the decline in domestic production has weakened California, where Hollywood has historically played a major economic role. Trump said the government could recover the cost of production incentives through increased economic activity and tax collections. 

“Jon, and many others in the Industry, are suggesting we do Federal Tax Incentives in order to Make our Movie and Television Production Business GREAT AGAIN, perhaps GREATER THAN EVER BEFORE! The amount of money spent on Tax Incentives will be made up tenfold by the money pouring into the Treasury’s coffers. Meetings are being set up with the Leaders of both Parties in order to get this done.”

AMC Entertainment, IMAX, Cinemark Holdings stocks gained 0.1% each, while Walt Disney stock edged 0.01% overnight, ahead of Tuesday. 

Trump Makes Bipartisan Appeal

Trump urged Republicans and Democrats in Congress to work together on legislation. He said discussions with lawmakers from both parties are being arranged and added that the issue should receive bipartisan backing because states across the political spectrum are competing for film and television projects.

“What we watch on the Silver Screen should be made in what was once the Movie and Motion Picture Capital of the World. Let’s get this done!”

According to the Variety report, supporters of tax incentives say domestic production has fallen sharply since the streaming boom faded in 2022. The decline has contributed to roughly 73,000 lost jobs across the country, with Los Angeles accounting for about two-thirds of those losses.

As streaming growth slows, movie theater companies such as IMAX, Cinemark and AMC are gaining momentum this year as more audiences return to cinemas, driven by a strong lineup of movies, including Christopher Nolan’s “The Odyssey” and Sony’s hit “Spider-Man: Brand New Day.” A federal program could further benefit these entertainment companies, encouraging more releases and jobs. 

So far this year, AMC, IMAX and CNK stocks have gained between 38% and 69%, while DS stock has dropped 5%. 

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