Yesterday, UK Culture Minister Ed Vaizey and Chinese Vice Minister Tong Gang of the State Administration of Radio, Film & Television, signed the long-awaited UK / China co-production treaty.
The new bi-lateral treaty will allow qualifying co-productions to access national incentives in both countries, such as the film tax credit in the UK. Additionally, qualifying co-productions will not be subject to China’s quota system for foreign films, which currently only permits 34 non-domestic titles to be screened in Chinese cinemas on a revenue sharing basis each year.
To qualify for co-production status, a film will need to meet all of the requirements specified within the treaty and be approved by the competent authorities in the UK and China. The main requirements for qualifying status are:
(i) the film must involve co-producers based in both the UK and China; and
(ii) each co-producer must contribute a percentage of the finance and production spend for the film from their respective countries.