Film & Television Industry Clocks Up USD 108.4 Billion Contribution To Chinese Economy
Film & Television Industry Clocks Up USD 108.4 Billion Contribution To Chinese Economy
OTT leaps 191% to reach USD 10.2 billion
LOS ANGELES/SINGAPORE: On October 30, Motion Picture Association President and Managing Director Asia Pacific, Mike Ellis, previewed a new report on the economic contribution of the film and television industry in China during keynote remarks delivered at the Asia Society’s U.S.-China Entertainment Summit in Los Angeles.
The Economic Contribution of Film and Television in China in 2017 report found that the film and television industry contributed a total of USD 108.4 billion (749.5 billion Yuan) to the Chinese economy in 2017. The overall economic contribution increased by USD 22 billion (152.1 billion Yuan), soaring 25.5% in a single year. The sector supported a total of 4.6 million jobs and generated a total tax contribution of USD 21.3 billion (147.3 billion Yuan).
Over The Top (OTT) services, which include Subscription Video On Demand (SVOD), Advertising Video On Demand (AVOD), online rental and download to own, contributed a substantial total economic contribution of USD 10.2 billion (70.5 billion Yuan), and supported 430,000 jobs. The OTT business grew by USD 6.7 billion (46.3 billion Yuan), an increase of 191% since 2016.
“The economic growth of the movie and television sector in China is tremendous, but not surprising given the enormity of the Chinese market,” said Mike Ellis. “With more than 751 million Chinese citizens connected to the internet as well as widely available quality local content and vast potential for increased international content, this is a region and industry to watch with close interest.”
Gong Yu, CEO of iQiyi said, “The online video industry in China is continuing to flourish by innovating for the future, using Artificial Intelligence to help curate and predict an individual’s viewing habits, and delivering a highly satisfying entertainment experience. The sector attracts highly creative professionals who help to evolve the business, often leading the world in new offers and services. I expect the economic contribution generated by OTT to continue its growth curve.”
The report demonstrates a continued growth trend for the industry, highlighting the economic contribution of the core film and television sectors and the emerging internet streaming services. Updated data on the economic impact of box office revenue by city, indicated that in 2017, total box office revenue attributable to tier 3-5 cities amounted to 40 per cent.
Key statistics include:
Total Contribution (billions) Direct Contribution (billions)
Economic contribution of film & TV USD 108.4 710.8 Yuan USD 47.6 312.2 Yuan
Tax USD 21.3 139.5 Yuan USD 10.2 67.1 Yuan
Employment 4,692,000 1,272,000
The Economic Contribution of Film and Television in China in 2017 one page summary infographic in English, and Chinese, are available to view and download from our website. The total economic contribution represents the impact of direct industry jobs and spending, along with indirect jobs and wages in thousands of companies with which the industry does business. This includes caterers, dry cleaners, hotels, florists, hardware and lumber suppliers, software, and digital equipment suppliers, as well as those doing business with consumers, such as home entertainment distributors, theme parks and tourist attractions.
The report was prepared by Oxford Economics and developed in partnership with China Film Distribution and Exhibition Association, China Film Producers’ Association, China Film Copyright Association, and China Audio-Video and Digital Publishing Association. The data was based in part on official statistics in the “Blue Book of China’s Radio, Film and Television” published by the National Radio and Television Administration (NRTA). The report was launched at the 2018 U.S.-China Entertainment Summit hosted by the Asia Society, Southern California, at the Skirball Cultural Center, Los Angeles.
Access photos to the Asia Society’s U.S.-China Entertainment Summit
Also see the China Movie Industry Research Report developed by the China Film Association, launched during the Shanghai International Film Festival in June.
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About the MPA: s
Promoting & Protecting Screen Communities in Asia Pacific
The Motion Picture Association (MPA) and the Motion Picture Association International (MPA-I) represent the interests of the six international producers and distributors of filmed entertainment. To do so, they promote and protect the intellectual property rights of these companies and conduct public awareness programs to highlight to movie fans around the world the importance of content protection. These activities have helped to transform entire markets benefiting film and television industries in each country including foreign and local filmmakers alike.
The organizations act on behalf of the members of the Motion Picture Association of America, Inc (MPAA) which include; Paramount Pictures Corporation; Sony Pictures Entertainment Inc.; Twentieth Century Fox Film Corporation; Universal City Studios LLC; Walt Disney Studios Motion Pictures; and Warner Bros. Entertainment Inc. The MPA and the MPA-I have worldwide operations which are directed from their head offices in Los Angeles and Washington, D.C. and overseen in the Asia Pacific by a team based in Singapore. For more information about the MPA and the MPA-I, please visit www.mpa-apac.org.
For more information, please contact
Stephen Jenner
MPA Asia-Pacific
(65) 6253 1033
June Tan
MPA Asia-Pacific
(65) 6253 1033