Japan is ready to build even more incentives for overseas projects. We’ve seen this drive rising over the last few years (it’s what brought us The Smashing Machine). 2026 will bring new incentives and expanded offers, and Blake & Wang P.A. one of top entertainment law firms Los Angeles USA, Brandon Blake, has them to share.
New Scheme Updates
These updates come from Japan’s Ministry of Economy, Trade and Industry, the program’s owner. They, together with the Japan Film Commission (as coordinator), and with operation from the Visual Industry Promotion Organization, manage the full program.
The new changes allow for greater expense reporting flexibility. This is quite a major update, as the prior timeline was widely seen as rigid and difficult to work with. Originally, single-year productions were only able to claim expenses during one Japanese fiscal year. In other words, from the end of March to the end of January. Under the new rules, productions can use two fiscal years.
Revitalizing Projects
These film incentives began in 2023. They rebate up to 50% of production and post-production expenses expended in Japan. The Japanese Film Commission will bring in the refreshed incentives to launch around late spring next year.
To date, it has supported 18 projects, with The Smashing Machine likely the highest profile one so far. However, Rental Family, showcasing Brendan Fraser as an American actor out of depth in a quirky Japanese “family rental” agency, and Apple’s second season of the French-Japanese thriller TV series, Drops of God, have both made modest splashes themselves.
It seems that the Japanese film industry will finally get its wish for less rigid structures and more flexibility, with several other reforms to its often staid processes also around the corner. This should do a lot to improve the country’s competitiveness as a destination, as well as revitalize local production.
