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By Max Towey

In 1994, after decades of cultural isolation under Mao, China cracked open its doors to foreign films. But the first Hollywood movie that made it to the Beijing big screens was a far cry from the Marvel superhero flicks and animated sequels that typically make waves over there: It was The Fugitive, starring Harrison Ford and Tommy Lee Jones.

Prior to The Fugitive, Chinese theaters had tested American movies sporadically, like Superman, which they released in theaters in 1986, eight years after the film’s debut in America. Authorities pulled it immediately, condemning the title character as a “narcotic which the capitalist class gives itself to cast off its serious crises.” This headline from the LA Times’ Jim Mann said it all: “‘SUPERMAN’ SHANGHAIED IN PEKING SCREEN TEST.”

While Clark Kent didn’t receive much love in China, Dr. Richard Kimble, Harrison Ford’s character in The Fugitive, did. The LA Times wrote:

For the first time in 40-plus years, a recently produced American movie, Warner Bros.’ “The Fugitive,” is being shown in Chinese theaters in general release. 

Calling it a “runaway hit,” the LA Times continued: 

In Shanghai alone, according to Li Guoxing, manager of the Shanghai Film Distribution Co., more than 700,000 people are expected to see the film in 36 theaters where it is showing this month. Scalpers outside the packed theaters, Li said, were getting double the $1.25 ticket price.

Yet in Beijing, the movie hit a snafu: A local film distributor lost the contract to it and raised the movie with the Central Propaganda Department, alleging that “socialist money [was being used] to fatten the capitalist pig.” 

Thus was proven China’s appetite for Hollywood films – and the fact that to air a movie in China, Hollywood would have to play by Beijing’s rules.

Fast forward to today, and Hollywood has more than adapted.

Just this week, Zootopia 2 set the record for the biggest weekend debut for an animated film. The movie earned $556M globally over its opening weekend – with $272M of that coming from China alone. For context, the movie made $156M in North America over the same five-day period. It was the second biggest debut weekend of any US movie in China ever.

In today’s deep-dive, we explore how the Chinese market is influencing what movies get made in Hollywood, how those movies are edited and marketed, and why Hollywood may be in deep, deep trouble.

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In 2010, China accounted for about $1.5B of the global box office – a fraction of the US’s $10B. By 2015, China’s share hit $6.5B, surpassing all markets except North America. Since 2019, its film market has surpassed the US’.

Enabling China’s film market rise was an increase in screen counts from 4,000 in 2007 to over 80,000 by 2020, fueled by a growing middle class hungry for entertainment. While tickets were and are cheaper in China, the country’s population is more than four times that of the US, offsetting that difference.  

And as that market grew, Hollywood began catering to it, creating movies for the potentially more lucrative Chinese market. By 2024, over 70% of Hollywood’s box-office revenue came from outside North America, with China by far the biggest player. 

One consequence of catering to China is the franchise frenzy we’ve seen over the last 15 years: Superhero movies, animated franchises, and effects-driven sequels are more reliant on visuals than dialogue or cultural nuance, meaning they translate well across languages and cultures.

Can you imagine Silver Linings Playbook being a smash hit with a Chinese audience? Nobody knows who the Eagles are. The same goes for Whiplash, Manchester By The Sea, and other more nuanced and critically-acclaimed films that already struggle with American audiences. Many have attributed this to the decline of the big-budget comedies that Hollywood used to crank out. 

Marvel’s superhero epics explain why: Avengers: Endgame earned $600M+ in China alone, and China is consistently the second-largest and sometimes even the top-grossing territory for Marvel movies. The success of superhero, animated, and other culturally-generic movies has resulted in a boom in movies that are designed for overseas audiences.

Another striking case was 2016’s Warcraft, a video game adaptation. It flopped stateside (just $47M domestic gross) but became a sensation in China, raking in $220M. In the end, nearly 90% of Warcraft’s total earnings came from overseas markets, mostly from China. Or take the Fast & Furious franchise, which found new life thanks to international audiences: By the mid-2010s, each installment was earning 70% or more of its revenue abroad, with China often contributing hundreds of millions. Kung Fu Panda 3, Fast 8, Fast 9, Godzilla vs. Kong, Transformers: Age of Extinction, Godzilla: King of the Monsters, and Ready Player One all made more money in China than they did in the US.

The pivot to China has brought a lot of money into Hollywood, but at what cost? 

Earlier this year, US Senator Tom Cotton (R-AR) wrote an op-ed in the NY Post that excoriated China’s influence over Hollywood, tracing the corruption back to the 1990s:

The Chinese Communist Party effectively conquered Hollywood in 1997. Sony Pictures released “Seven Years in Tibet,” starring Brad Pitt, and Disney released the Martin Scorsese–directed “Kundun.” Both films criticized China’s genocide in Tibet and favorably portrayed the Dalai Lama. China retaliated furiously, banning Disney- and Sony-affiliated Columbia Tristar from China, barring Scorsese and Pitt from traveling to China, and threatening to expel all Sony employees from the country.

Instead of standing by their films and their supposed principles, both companies buckled. Disney suppressed the release of “Kundun,” opening the film in just two theaters on Christmas Day. Disney’s CEO, Michael Eisner, traveled to Beijing for a groveling apology, calling the film a “stupid mistake.” Sony tried to buy absolution by lobbying for China’s entry into the World Trade Organization and plying Chinese officials with gifts.

Cotton is a notorious China hawk who approaches this issue with that perspective, yet it’s undeniable that Hollywood studios have kowtowed to China in a number of major movies.

In 2020, a 94-page report by the literary and human rights group PEN America noted dozens of instances of films altering content to appease Chinese officials. 

For example, Marvel’s Doctor Strange changed a major character’s ethnicity – in the comics, the character was Tibetan, but the film cast a Celtic character instead – specifically to avoid alienating Chinese viewers. The James Bond thriller Skyfall quietly cut a scene where Chinese security guards are killed, and Mission: Impossible III edited out a line identifying Shanghai’s backdrop as an “anonymous” location – all to steer clear of portraying Chinese authorities in a negative light. In the zombie blockbuster World War Z, a subplot suggesting a virus originated in China was reportedly scrubbed from the script to secure approval. 

Socially progressive content has also been scrubbed, with filmmakers going so far as to omit references to Freddie Mercury’s homosexuality in Bohemian Rhapsody. Scenes in Alien: Covenant and Star Trek Beyond hinting at gay relationships were trimmed for Chinese audiences, while Chinese theaters refused to distribute Star Wars: The Force Awakens unless the black stormtrooper, played by John Boyega, was removed from the poster. 

Two of the most egregious examples of Hollywood “capitulating” to China came with Top Gun: Maverick and the live-action remake of Mulan.

The Top Gun: Maverick team preemptively removed the Taiwanese and Japanese flag patches from Tom Cruise’s iconic fighter jacket in early trailers, replacing them with meaningless symbols in the same for fear that even a fleeting nod to Taiwan’s flag could jeopardize its release in China. 

Meanwhile, Disney’s live-action remake of Mulan was filmed in China’s Xinjiang region, where rights groups say 1M Muslim Uyghurs are detained in prison camps. The film thanked this region in its closing credits without any mention of what was happening there. 

These changes are often made not necessarily at the explicit order of Chinese censors but out of an abundance of caution. As the PEN America 2020 study warned, the “long arm of Chinese censorship” has reached deep into Hollywood.

But the cruel irony for Hollywood is that China no longer needs Hollywood. Due to a combination of protectionist policies and the successful takeoff of its own movie industry, Hollywood’s slice of China’s box office shrank to roughly 5% by 2023. 

It’s since rebounded a bit – Hollywood currently claims three of the top 10 movies in China’s box office – but it’s still a far cry from what it used to be. Chinese audiences now have more Chinese movies made by Chinese studios. 

This has left Hollywood with a major hole in its revenue – and given Beijing leverage. 

In 2025, amid US-China trade tensions, China announced it would “moderately reduce” the number of American films allowed in as retaliation for Trump’s tariffs. US studios are now trying to circumvent this risk by partnering with Chinese studios to make movies, and Disney and Universal – two of the four biggest American studios – have continued to expand their park presences in China. 

But the fact is that Hollywood is now torn between its home country and China, and no scrubbing, censorship, or appeasement will change that. 

Editor’s Note

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