PM Kulbergs questions planned 'Netflix tax' for Latvian film industry
Draft amendments before parliament would require streaming platforms to invest in Latvian film production, but Prime Minister Andris Kulbergs now suggests prioritizing ties with Hollywood instead, puzzling the local film industry.
Latvia's parliament is currently reviewing amendments that would require streaming platforms to invest in local film production — a model known informally as the "Netflix tax," already used in several European countries. However, the fate of this initiative has suddenly become uncertain after Prime Minister Andris Kulbergs voiced a different stance.
The prime minister's reasoning
Kulbergs is proposing to hold off on such regulation and instead focus on cooperation with Hollywood. He explains his position by citing a wish not to damage relations with the United States, arguing that imposing this kind of levy on streaming platforms could negatively affect ties between Latvia and the US.
Industry reaction
Representatives of Latvia's film industry have expressed bewilderment at the prime minister's position. The sector had expected the amendments on streaming platform contributions to local film production to move forward, since they would have provided an additional funding source for Latvian filmmakers.
The situation was discussed in more detail on LSM.lv's program "Šodien vakarā," which examined both the progress of the legislative process and the arguments of the various parties involved. Whether parliament will ultimately adopt the amendments on a streaming platform levy or instead follow the approach proposed by the prime minister remains an open question.
