The classic Western Shane warns that you can only learn some lessons once. America has learned that lesson repeatedly: neglect an industry, and its jobs, revenue, and expertise migrate overseas, never to return. Now, the film and television sector—a rare export industry with a $9 billion trade surplus—is at risk of following that same script.
In 2025, 45% of U.S. films and scripted TV shows were shot abroad, up from roughly one-third three years earlier. That's not just a change of scenery; it's skilled labor, artistry, and investment leaving the country. States have fought back, with Georgia as a prime example. Its up-to-30% incentives built a booming production hub, attracting billions in spending and nurturing a skilled workforce. Marvel alone poured over $3 billion into Georgia over nearly a decade, including Black Panther and two Avengers films, before shifting much of that work to the United Kingdom, where national incentives proved more attractive.
Georgia did what it was supposed to do—build a formidable screen industry. But a state can't match a country. States can influence where projects land, but they can't guarantee they stay in the U.S. That's why the newly introduced Motion Picture, Television, and Entertainment Revitalization Act proposes a federal tax incentive to complement state programs.
The bill offers a 20% tax credit for U.S. production labor, including crew wages, rising to 30% for independent productions, projects in rural opportunity zones or federally declared disaster areas, or those returning from overseas. The goal is straightforward: bring more work home and create lasting American jobs.
Each production employs hundreds and supports countless small businesses. Nationally, the industry supports over 2 million jobs and $202 billion in wages, with 93% of its nearly 162,000 businesses employing fewer than ten people. These are working- and middle-class jobs—camera operators and editors earn a median of around $75,000 annually. When production leaves, those paychecks and purchase orders vanish.
This is a national industry. Nearly 40 states offer film incentives. Oklahoma reports over $531 million in economic impact; Kentucky notes nearly $795 million in production expenditures since 2022; Pennsylvania projects $1.1 billion in activity from its 2025-26 credits; Utah's rural incentive has driven over $200 million in spending. Yet even strong state programs can be outbid by countries offering more competitive packages—65 countries now have national production incentives. Some, like Canada, Australia, and Japan, combine them with regional programs, gaining an even greater edge. A federal incentive won't stifle state competition; it will strengthen their ability to compete globally while rewarding innovation.
The bill must also include commercials, a vital economic pillar. When commercials go abroad, they take a reliable source of income and benefits—health insurance, pensions—for thousands of middle-class professionals. Many states, including Texas, Pennsylvania, Arizona, Ohio, and Nevada, include commercials in their programs because they create well-paying jobs. A federal credit can amplify that, making domestic production competitive without forcing workers to accept lower rates. The current bill excludes commercials—that needs to change.
Taxpayers deserve accountability. The credit should remain tied to verified U.S. employment, with clear metrics so the public can see results. The industry is evolving—global competition, shifting audience habits, and new technologies are rewriting the script. Disruption can be an opportunity if America fortifies the infrastructure built over generations and prepares for the next act. New filmmakers and formats will emerge from studios, independents, and platforms yet to be invented. The question is whether workers, artists, and businesses can build that future here. The next great American story can come from anywhere. Let's ensure it gets made in America.
