Chongqing Revives Wartime Film Legacy with Bold New Incentives for Industry Growth

Chongqing - At the closing ceremony of the 2025 Shanghai Cooperation Organisation (SCO) Film Festival in Yongchuan, Chongqing rolled out major incentives—including tax breaks and box office bonuses—to accelerate the growth of its film and television industry.

A glimpse of the Cooperation Forum on Chongqing Yongchuan Tech-Film Industry. (Photo/ SCO Film Festival)

Chongqing returns to the international spotlight as it hosts the 2025 SCO Film Festival in Yongchuan from July 3 to 7. Marking China’s first time as host in seven years, the event gathers over 1,500 filmmakers from SCO countries under the theme “Technology & Film · Charm of the SCO.”

Today's policy push is rooted in legacy: Chongqing served as China’s film capital during the Second World War, when filmmakers innovated locally and told stories of resilience. The China Film Studio produced Light of East Asia (1940), featuring Japanese POWs to expose fascist propaganda as Japanese bombers hover over the city. 

During wartime supply blockades, technicians at the Central Film Studio converted limestone caves into film-processing labs, recycling scraps to produce vital documentaries. The city also served as a major hub for both domestic and international film distribution.

Now, Chongqing is again a favoured cinematic locus with its neon-lit skylines and historic neighborhoods, but it aspires to go beyond being a filming location. In recent years, the city has transformed Yongchuan Sci-Tech Film City into a comprehensive production hub that spans script development, virtual production, filming, post-production, and distribution. More than 100 films and series have already been made in Chongqing, marking a national benchmark.

However, Chongqing’s film facilities remain scattered across isolated districts like Yongchuan, Dadukou, and Jiangjin. This fragmentation leads to splintered workflows that necessitate outsourcing high-value VFX and post-production to coastal cities, limiting economic benefits and talent retention despite over 100 annual shoots.

 Festival ambassador Zhang Ziyi reflects on her career and memories of filming “House of Flying Daggers” in Yongchuan at the opening ceremony of the 2025 SCO Film Festival. (Photo/Deng Qihai)

To energise the buzz at the SCO festival into a full momentum for the local film industry, Chongqing has introduced one of the most comprehensive incentive programs for the film industry in China. 

Projects can receive up to 10 million yuan for facility development and another 10 million for using local resources and services. A new highlight offers up to 35% in subsidies for filming and post-production done in Chongqing, with additional support for post-production and digital effects—encouraging more of the production value chain to stay in the region.

The city is also betting big on technology. Companies purchasing cutting-edge filmmaking equipment or engaging in research and development will be rewarded, with individual technology investments eligible for support of up to 6 million yuan. Chongqing-based service providers, such as those offering location support or post-production, can also receive subsidies of up to 35% of qualified service fees, further incentivizing the growth of the local production ecosystem.

At the center of this drive is a new talent policy that promises not only practical support for filmmakers who relocate to Chongqing but also cash rewards of up to one million yuan for professionals or teams who commit to long-term local projects. The goal is to make Chongqing not just a stopover for film crews but a home base for world-class storytellers and technical experts.

The city is equally keen to reward success. Box office hits produced in Chongqing can earn bonuses of up to 8 million yuan. For every 100 million yuan in box office revenue after the first 100 million, producers receive an additional 1 million yuan reward—an incremental structure designed to encourage sustained commercial performance. 

Films that win major national awards can receive up to 400 thousand in additional bonuses. Outstanding scripts and acclaimed productions are also eligible for national-level recognition and cash incentives. Organizers of major film festivals, premieres, and road shows in Chongqing may receive up to 10 million yuan support, underscoring the city’s aim to become a year-round cultural destination. 

Beyond subsidies, the policy offers full-chain support, from supporting relocation to Chongqing and subsidizing hardware purchases to boosting script trading, film distribution, and talent development. The initiative is designed to strengthen every link in the local film ecosystem.

The SCO Film Festival itself embodies many of these goals. For the first time, both opening and closing ceremonies were staged entirely inside Yongchuan’s 5,000-square-metre virtual production studio, equipped with high-resolution LED volumes and real-time rendering systems. More than 40 Chinese film tech companies showcased new technologies during the festival.