Hollywood Faces Headwinds: China Chooses Its Own Heroes

As tensions between the U.S. and China persist, Beijing seems to hold back from taking drastic measures against Hollywood. Major American films like Thunderbolts and Lilo & Stitch are still lined up for Chinese theaters, but the audience’s interest has notably declined.

American Films Lose Their Magic

Although Hollywood still has access to the market, it’s clear that Chinese audiences are turning their attention toward local films.

Big bets like Captain America: Brave New World have disappointed, while local hits like Ne Zha 2 draw large audiences.

Foreign films accounted for only 21% of box office revenues in China in 2024—a significant drop from 35% in 2019. Hollywood hasn’t had a single film surpass 1 billion yuan for two consecutive years.

Politics and Market Go Hand in Hand

Experts consider the announcement of fewer American films largely symbolic. “I don’t see any reason to cut back drastically,” says Zhou Mi from a state-affiliated think tank. Any potential restrictions might instead open the door for films from Japan, India, and Europe.

Chinese Cinema on the Rise

The Chinese government has launched the “China Film Consumption Year” campaign to bolster theaters and stimulate the economy.

With strong government support and increasing production quality, it seems that domestic productions will continue to dominate both the screens and the hearts of audiences.

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