How The Coronavirus Outbreak Is Roiling The Film And Entertainment Industries
The Covid-19 coronavirus outbreak, which began in China in December, has had sweeping effects in the public health, business, and travel sectors, among others. And while the repercussions for the entertainment industry may seem to pale in comparison to the clear threat the virus poses to human life, the ripple effects do have implications for people around the world who make a living producing and distributing movies, music, and more. The immense and lucrative Chinese film industry was almost immediately hit as movie theaters across the country were closed and major releases were delayed. But Hollywood soon began to feel the effects too, and as time passes, the impact of the coronavirus on the global film and entertainment industries will certainly grow.
Consequences of the outbreak on these industries could range from lowered attendance at film festivals and disruptions in film distribution to delayed or canceled movie releases and concert dates to curtailed on-location film shoots. Financial ramifications will likely be felt by studios, filmmakers, theater owners, and more for months, or even years.
Here’s a timeline of developments and responses to the outbreak in the entertainment industry so far. Most recently, the K-pop megastar boy band BTS canceled a series of April concert dates in Seoul, and the organizers of the Cannes Film Festival, slated for May, said they were monitoring the situation closely after a coronavirus case was confirmed in nearby Nice, France.
January 22: Major film releases canceled in China
The biggest films of China’s year are usually scheduled to release during the Lunar New Year holiday, but mounting fears of the coronavirus and public reticence to be in crowded spaces caused distributors to voluntarily cancel or postpone several film releases.
Huanxi, distributor of the Chinese blockbuster Lost in Russia, announced that the film would premiere online for free. Promotional materials encouraged audiences to “stay safely at home and watch Lost in Russia with your mom.”
January 23: Chinese theaters and other attractions close during Lunar New Year, causing huge losses in revenue
Hoping to contain the coronavirus outbreak, the Chinese government decided to temporarily shut down movie theaters throughout the country until further notice. A film production shutdown soon followed.
Other closed cultural attractions and institutions include Tiananmen Square’s National Museum of China, the Forbidden City, and a section of the Great Wall of China located near Beijing.
With movie theaters shuttered and film production paused, the Chinese film industry — which had hoped to become a major force in global cinema to rival Hollywood — remains crippled. Loss of revenue over the Lunar New Year holiday, during which movie theaters typically see an uptick in ticket sales, amounted to a staggering $1 billion, according to analysts.
January 25: The Shanghai Disneyland theme park closes
Disney shut down its Shanghai Disneyland park over fears of the coronavirus. The park is a major revenue generator, with 11.8 million guests in 2018, 50 percent from outside the Shanghai region, and an estimated $1 billion in annual revenue and $50 million in operating profit.
January 26: The Hong Kong Disneyland theme park closes
A day after Shanghai Disneyland’s shut down, Hong Kong Disneyland closed. The closures of the two parks came amid the Lunar New Year holiday, which typically includes travel and leisure activities that generate revenue for the company.
January 31: A second Chinese film premieres online
Enter the Fat Dragon becomes the second major Chinese film to premiere online, as theaters are shut down by order of the government.
February 4: Mulan’s Chinese release date is delayed indefinitely
Disney’s live-action version of Mulan was set for worldwide release on March 27, but on February 4 Disney’s (now-outgoing) CEO Bob Iger confirmed to CNBC that the film was unlikely to be released in China that day, since theaters remain closed by order of the government. The movie, which is set in China, stars Chinese American actress Liu Yifei, and features Chinese superstars like Gong Li, Jet Li, and Donnie Yen among its cast, was expected to rake in revenue at the Chinese box office. It’s unclear when the film will be released in China
Other high-profile American releases, such as Oscar Best Picture nominees Jojo Rabbit and 1917, also saw their planned Chinese February release dates canceled.
February 16: MGM cancels the Chinese premiere of No Time to Die
MGM announced that it would cancel the Chinese premiere and publicity tour planned for the new James Bond movie, No Time To Die, which was scheduled for April.
February 21: Jia Zhangke says from Berlin that he’s delaying production on his next film indefinitely
Famed Chinese director Jia Zhangke (Ash Is Purest White, A Touch of Sin) told Indiewire that production on his new film, which was slated to begin in April, was delayed indefinitely.
Jia spoke with Indiewire at the Berlin Film Festival, where his documentary Swimming Out Till the Sea Turns Blue was premiering. But he said that before he left he’d feared his flight to Berlin would be canceled, and that some of his collaborators chose not to make the trip. Regarding his next film, he said:
For some film companies and studios involved in pre-production, a lot of costs are going down the drain, and those that already started production have to be somehow cut short or suspended. Some of them are already in the process of distributing films and they’ve paid for a lot of promotion and PR costs. The economy is now taking a huge hit, and I think the investment side will be hugely impacted as well.”
Meanwhile, Chinese distributors were largely absent at the Berlin Film Festival, one of the major events in world cinema. European Film Market Director Matthijs Wouter Knol told the Hollywood reporter that “a Chinese delegation of companies that was planning to attend EFM has seen no other option than to cancel their attendance due to the difficulties in obtaining visas related to the current health situation in China.”
February 26: Mission: Impossible VII shuts down production in Venice, while northern Italian cultural sites close
A coronavirus outbreak in northern Italy, in particular Venice, has had numerous cultural implications.
On February 26, Paramount Pictures announced that the seventh installment in the Mission: Impossible franchise, starring Tom Cruise, halted a planned three-week shoot in Venice.
“Out of an abundance of caution for the safety and well-being of our cast and crew, and efforts of the local Venetian government to halt public gatherings in response to the threat of coronavirus, we are altering the production plan for our three-week shoot in Venice, the scheduled first leg of an extensive production for Mission: Impossible 7,” a Paramount spokesperson told the Hollywood Reporter. “During this hiatus we want to be mindful of the concerns of the crew and are allowing them to return home until production starts. We will continue to monitor this situation, and work alongside health and government officials as it evolves.”
Additionally, a number of major museums in Venice, Milan, Turin, and other northern Italian cities were closed as part of the government’s aggressive attempt to contain the virus, and annual Carnivale celebrations were halted early.
February 24: Indefinite delay announced for Sonic the Hedgehog’s Chinese release
On February 24, Paramount Pictures announced that it would delay the release of Sonic the Hedgehog in China, with a new release date to be determined.
February 26: Chinese exhibitors pull out of CinemaCon
A delegation of 24 movie theater owners in China decided not to attend CinemaCon, the annual global convention of film exhibitors scheduled to be held in Las Vegas from March 30 to April 2. Other countries hit by the coronavirus, including Italy and Korea, said they still plan to attend.
February 27: Hollywood’s biggest studios and actors’ union issue statements
The Motion Picture Association — the Hollywood industry group composed of Disney, Netflix, Paramount, Sony, Universal, and Warner Bros. — told Deadline that it is “closely monitoring reports from public health officials about the coronavirus and protective measures to limit its impact.”
Meanwhile, SAG-AFTRA, the union that represents Hollywood’s actors, issued a statement, saying that it will “work with employers in our industry as needed to help ensure the safety of our members.” Deadline reported that about 160,000 SAG-AFTRA members are currently working around the world.
February 28: K-pop megastars BTS cancel concert series in Seoul
The hugely popular K-pop group BTS canceled a series of planned concerts in Seoul, scheduled for April 11 and 12 and April 18 and 19 at Seoul’s Olympic Stadium. The group’s management agency said the decision was made due to the impossibility of predicting the scale of the outbreak in South Korea come April and cited the health and safety of the musicians themselves, workers, and concertgoers. Two hundred thousand fans were expected to attend.
Days earlier, BTS had asked fans to avoid a series of TV appearances scheduled to promote their newest album, Map Of The Soul: 7, which had originally been planned to include studio audiences.
The group also appealed to fans via a streamed press conference. “Health is always on our minds these days, and our messages of facing your inner self and loving yourself are ultimately only possible when you’re healthy, especially since it is very risky outside these days,” one of the singers, Jimin, said. ”I hope you take care of yourself.”
The entire Korean entertainment sector has been affected by the outbreak, and K-pop has been hit particularly hard, with groups including GOT7, WINNER, Sechs Kies, (G) I-DLE, and others canceling scheduled tour dates. Variety reported that box office revenue in South Korea was down 30 to 40 percent in January 2020 compared to previous years.
As of mid-February, South Korea had 28 recorded cases of coronavirus and no fatalities. But by the end of the month — partly due to a large church in Daegu — the number had grown to 1,766 reported cases and 13 fatalities, the New York Times reported on February 27.
February 28: The Cannes Film Festival makes a statement regarding the upcoming festival
The Cannes Film Festival, arguably the most prestigious film festival in the world, issued a statement after the first case of coronavirus in nearby Nice, France, was confirmed by the city’s mayor. (Cannes is a seaside resort town located in the French Riviera, about 30 km from Nice.) The 2020 festival is slated to take place May 12 through 23, and draws thousands of industries and press from around the globe each year. Vox
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