Newsom offers to work with Trump on $7.5bn tax credit plan to boost US films

California governor unveils idea after president threatened tariffs on films made abroad

The California governor, Gavin Newsom, has proposed a $7.5bn tax credit program and offered to work with Donald Trump to boost US film production after the president threatened to slap 100% tariffs on films made abroad, alarming industry executives in Hollywood and abroad.

Newsom - who has had an often fractious relationship with Trump - unveiled his idea after Hollywood reacted nervously to the president's tariffs plan, which sent share values in some film and media companies plummeting.