Japan Rethinks Film Financing, Welcomes Debt Participation
Also: Korea-Thailand Co-Production, clouds over 'Sunshine' China launch, 'Paradise' returns.
Japan Rethinks Film Financing
Very early days, but still super interesting. The Japanese government and MUFG Bank, one of the country’s largest financial institutions, are intent on bringing debt financing into Japanese filmmaking.
The Nikkei Asia newspaper today reports that the Ministry of Economy Trade and Industry (METI) wants film projects to be able to borrow money at the production stage, as it can see productions in the US and South Korea already doing.
Film production budgets in Japan are low – the paper reports the average as being JPY700 million or nearly $4.4 million – difficult to scale up and hard to collateralise.
MUFJ and Tokio Marine & Nichido Fire Insurance are now working on developing a plan to set a common standard for financial institutions to evaluate the value of a production. They will announce more details in February 2027.
METI hopes that the template will be adopted by others. Lending and other products like completion guarantees could follow.
Japanese films often use the “production committee” system which involves finance and expertise being pooled by TV broadcasters, advertising agencies, publishers and distributors. While it has enabled many hundreds of films to be made, it is seen as slow, risk-averse and an obstacle to outside (and foreign) participation. The system may be slightly weakening as Japanese film funds (see below) and international co-productions offer alternative sources.
Here’s the Nikkei’s story.
Japan’s K2P Film Fund Recruits New Investor
Japan’s K2 Pictures says that Fivestar Interactive has put money into its K2P Film Fund.
K2 did not disclose the value or terms of Fivestar’s investment. Confusingly, in the same statement, K2 said that the fund has now “closed its fundraising”, while also asserting that “we are continuing to recruit fund investors”.
“By adopting a fund-based financing model, K2 Pictures aims to break down existing barriers that have made it difficult for new investors both domestic and international to participate in the Japanese film industry. Additionally, by lowering the conventional fee structure run by domestic production committees, the fund is designed to deliver returns to investors more quickly.”
On 6 Feb. the fund released its first produced film, “MagMag,” marking the directorial debut of comedian Yuriyan Retriever. A live-action adaptation of Fujimoto Tatsuki’s manga “Look Back,” directed by Kore-eda Hirokazu, is scheduled for release later in 2026.
‘Sunshine’ and Predictable Showers
The feelgood aura surrounding “Sunshine Women’s Choir”, the smash hit film that has been riding high at the Taiwan box office, has been slightly tarnished by arguments over its release in mainland China (aka the People’s Republic of China). (It played in mainland theatres in preview over the latest weekend ahead of an official outing on Saturday 4 April.)
Taiwanese legislators have apparently questioned why marketing materials describe the film as hailing from the “Chinese Taiwan Region”. According to the DPP’s Ngalim Tiunn that shows it aligning with China’s reunification efforts, while having accepted NT$18 million (or $563,000) of subsidy from Taiwan’s Ministry of Culture and the local governments of Taipei and Taoyuan.
(China and Taiwan are locked in disagreement over which is the true China and over the PRC’s explicit policy to unite with Taiwan by force if necessary.)
The TVBS news site reports that the version of the film being shown in the PRC is different from the Taiwanese original. Dubbing has been used to show two foster mothers as sisters, instead of same sex partners.
The film is a remake of a 2010 Korean picture “Harmony”. That title now seems ironic.
‘Memory’ Project
A project agreement ceremony was held in Bangkok for the launch of “1950 Memory of the Day”, a war film about Thai soldiers fighting alongside South Korean forces during the Korean War.
The project is a co-production between ThaiKo Film, Mbrella Films and SidusHQ subsidiary iFilm Corporation. Winter and battle scenes will be shot in Korea, while the other half will film in Thailand.
Details such as budget, director, casting and schedule were not disclosed.
‘Paradise’ Spinoff Starts Third Season
“Return to Paradise”, the Australian spin-off of the BBC crime series “Death in Paradise” is set to begin filming of a third season.
Anna Samson returns as DS Mackenzie Clarke alongside series regulars Tai Hara, Lloyd Griffith, Catherine McClements, Celia Ireland, and Aaron McGrath. Jacob Collins and Kerry Armstrong are announced as series newcomers.
The show is shooting in New South Wales with support from Screen NSW’s Made in NSW TV Drama Fund.
The series is produced by BBC Studios Australia Productions and Red Planet Pictures, a Fremantle company, for the ABC and in association with the BBC. The completed show will air later this year on ABC TV and ABC iview. In the UK it will play on BBC One and BBC iPlayer. BBC Studios is handling global distribution.
The show credits James Hall, Peter Mattessi and Robert Thorogood as creators, with Diane Haddon producing. Mattessi also executive produces alongside BBC Studios Productions Australia’s Kylie Washington and Sophia Zachariou, Red Planet’s Belinda Campbell, Tim Key, Alexandra Carruthers, and Thorogood, and the ABC’s Brett Sleigh and Rachel Okine.
PlayStation Pricing
Sony is raising global prices of its PlayStation 5 consoles as it grapples with rising costs of key components such as memory chips. Sony previously raised prices in August 2025.
Prices in the US will rise by $100 from 2 April (with other countries expected to follow). The standard PS5 will retail at $649.99. The high-end PS5 Pro will cost $899.99.
The company sold 8 million units in the pre-Christmas October-December quarter, a year-on-year drop of 8%. The higher prices could push volumes down further.
‘Strangers’ Sale
Rights to Anthony Chen’s Berlinale competition film “We Are All Strangers” have been acquired by Film Movement for the U.S. and Canada from sales agent Paradise City. Film Movement previously handled the release of Chen’s debut film “Ilo Ilo” and says it plans a theatrical outing for the new film. “Strangers” is the final element of Chen’s unofficial ‘Growing Up Trilogy’.
“We Are All Strangers” is set as the opening gala presentation of the Hong Kong International Film Festival, which kicks off its 50th edition tomorrow.
