'The Mandalorian And Grogu' Movie Gets Massive California Tax Break
Image Source: Comicbook.com
At a time when even blockbuster names like Indiana Jones or Captain America struggle or fail to break even at the box office, it is essential not to blow a movie's budget. Doing so requires a clever and experienced director and producer.
Luckily for Lucasfilm, Jon Favreau is both.
The California Film Commission (CFC) just announced that The Mandalorian and Grogu, the next Star Wars film to hit theatres on May 22, 2026, received a tax credit of $21.75 million.
According to the CFC regulations, such a tax credit is granted for "...crew and staff salaries, wages, and fringe benefits; the cost of facility rentals and equipment; production operation costs such as safety, construction, wardrobe, food, lodging, and lab processing" during a movie’s production if the respective costs have incurred in the state of California.
Even more important, the CFC also revealed the production budget for The Mandalorian and Grogu: $166.4 million.
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While this is an impressive number, it would still make the next Star Wars film the franchise's cheapest live-action movie since 1983's Return of the Jedi, when adjusted to inflation. Each of the 5 films, released under the Disney umbrella had a production budget between $200 million (Rogue One) and $ 317 million (The Last Jedi), and even the three Prequel films of the George Lucas era would have cost around $ 200 million, by today's standards.
Of course, the marketing budget must be added to the $166.4 million, which means that the film will probably need to earn around $300 million to become profitable.
For comparison: 2018's Solo - A Star Wars Story, the only film of the franchise that failed to make its money back in the US, still earned a global box office of $ 392.92. Of course, the cinema landscape post-Covid and amidst omnipresent streaming services is different than it was a few years ago, but these numbers still bode well for Lucasfilm and Disney.
The Mandalorian and Grogu stars Pedro Pascall, as (at least the voice of) Din Djarin, Sigourney Weaver as (presumably) a high-ranking officer of the New Republic, and Jeremy Allen White as (presumably also the voice) of Jabba the Hutt's son.
Further cast members and a trailer will likely be revealed at the upcoming Star Wars Celebration in Japan.
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Source: Collider
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