What Makes a Film an International Co-Production? How Canada’s Treaty Rules Work

A film crew works on location in Vancouver in 2010. Canada's official international treaty co-productions must satisfy requirements covering financing, creative participation and government recognition. Illustrative photograph; the production pictured has not been identified as a treaty co-production.

Photo credit: Atomic Taco


Laetitia Colombani’s film The Braid had producers in France and Canada. In a May 2022 funding announcement, Telefilm Canada named French companies Moana Films and Curiosa Films alongside Canada’s Forum Films. The film also appears in Telefilm’s directory of certified co-productions, with France listed as Canada’s partner. That official designation carries specific requirements and benefits.

International collaborations can involve overseas financing, casts from several countries or filming in more than one place. Canada also has a formally recognized category of audiovisual treaty co-production. Qualifying producers in the partner countries must share responsibility for a film or television program under an agreement between their governments, comply with its conditions and receive approval from the appropriate authorities. A distribution deal or foreign filming location by itself provides no evidence of that approval.

What does official co-production status mean?

In an official treaty co-production, companies in the participating countries combine money, personnel and production resources. Canadian Heritage’s policy describes the producers as sharing economic risk, ownership and creative control. The exact arrangement is negotiated between the producers, within the limits set by the applicable treaty.

When the participating authorities recognize a treaty production, it receives national status in their countries. In Canada, this can make a project eligible to apply for programs intended for domestic productions, including the Canadian Film or Video Production Tax Credit (CPTC), subject to each program’s other conditions. For broadcasting, the CRTC also recognizes productions certified as Canadian by the Minister of Canadian Heritage on Telefilm’s recommendation or by CAVCO. The CRTC has been revising its wider Canadian-program certification framework, so the applicable broadcasting and funding rules still need to be considered separately. A certificate does not guarantee a tax credit or grant.

Canada has audiovisual co-production agreements and memorandums of understanding with numerous international partners, including France, the United Kingdom and South Africa. Producers have to work from the agreement applicable to their particular project. The rules can differ substantially from one partnership to another, and an older project may have been assessed under an earlier treaty.

How much does each country have to contribute?

Every official co-production involves financial participation by the producers, although equal funding is not required. Telefilm says the minimum contribution normally falls between 15 and 30 per cent under the relevant treaty. A smaller partner can therefore participate without paying half the budget, provided its contribution satisfies the agreement and is accompanied by the required production involvement.

The Canada–France agreement, in effect since May 1, 2022, ordinarily requires the French and Canadian producers each to contribute at least 20 per cent of the total budget. The treaty allows a reduction to 15 per cent for films, or to 10 per cent for French-language films with the mutual consent of both countries’ administrative authorities. Television and on-demand works remain subject to the normal 20 per cent minimum. Different rules apply elsewhere: the Canada–United Kingdom treaty sets a 20 per cent minimum, while the updated Canada–South Africa agreement, effective January 1, 2026, sets 15 per cent for two-country co-productions and 10 per cent for projects involving additional treaty partners.

The financial percentages also affect how the production is staffed and where the work takes place. The producers’ creative and technical contributions generally must be reasonably proportional to their investment. Telefilm gives an example of a project that is 40 per cent Canadian: a comparable share of eligible production activity would ordinarily be expected in Canada. Each treaty sets out the qualifying personnel, services and circumstances in which the authorities may approve exceptions.

Who gets to make the creative decisions?

Treaty rules have consequences for the production itself. Some restrict where filming and post-production can be carried out; others specify the nationalities or residency of performers and key creative crew. The Canada–France agreement, for instance, allows certain exceptions with the written consent of both administrative authorities. Producers have to account for those conditions when preparing a schedule and hiring a team.

Producers also negotiate rights and revenues. The Canada–France agreement requires their division to be reasonably proportional to each company’s financial contribution, while the new Canada–South Africa agreement also deals with copyright and receipts. The relevant contracts determine the practical arrangements for distributing and exploiting a particular film. An official co-production listing establishes the participating countries, without disclosing a company’s exact ownership percentage or who has final cut.

These obligations can affect decisions made long before cameras roll. A producer considering a performer from outside the participating countries, for example, may have to establish whether the applicable treaty permits that arrangement or whether approval for an exception is needed.

How does a project become an official treaty co-production?

On the Canadian side, an eligible Canadian-controlled company first needs a co-production agreement with a qualifying foreign producer. The producers must document how the project will meet the relevant treaty, including their financial contributions and planned creative and technical participation. Telefilm Canada reviews the application and makes preliminary and final recommendations.

Telefilm currently asks for the preliminary recommendation application 30 days before shooting, with a 60-day lead time for partnerships with Hungary, Poland, Switzerland or Hong Kong; producers who cannot meet the timing are instructed to contact Telefilm. The process must also satisfy any stricter or treaty-specific deadline. Because filming, spending and creative responsibilities are part of the eligibility test, producers are expected to arrange recognition before committing to a production plan that might conflict with the treaty.

Telefilm’s recommendation does not constitute final certification. The Canadian Audio-Visual Certification Office (CAVCO), within Canadian Heritage, assesses the project and the Minister of Canadian Heritage makes the final determination on Canadian treaty status. Producers seeking CPTC certification make a separate application to CAVCO. Recognition is also required from the designated authority in every other co-producing country.

Treaty recognition also has to be distinguished from the tax-credit application. CAVCO’s guidelines exempt qualifying treaty co-productions from several CPTC requirements that apply to ordinary domestic productions, including the usual Canadian key creative points test and specified Canadian copyright rules. The remaining eligibility rules still apply. A project that qualifies under a treaty without qualifying for the CPTC may instead receive a separate co-production attestation from CAVCO.

What do Canadian co-productions look like in practice?

The Braid offers a documented Canada–France example. Telefilm’s directory lists Forum Films 2005 Inc. as the Canadian company, while its funding announcement also identifies the French producers. The two records provide a useful way of checking that the production was officially recognized and which companies took part.

The directory also identifies Possessor as a Canada–United Kingdom co-production, naming Rhombus Media Inc. as the Canadian company in its 2018–2019 listing. On the television side, Geek Girl appears as a Canada–UK co-production with Aircraft Pictures Limited as its Canadian producer in the 2023–2024 listing. A 2023 announcement from Corus Entertainment identified Aircraft Pictures and the UK’s RubyRock Pictures as co-producers and described production taking place in both countries.

Telefilm records the productions under administrative fiscal years, which should not be confused with theatrical or streaming release dates. The directory can confirm an official co-production relationship; detailed financial terms would require information from the companies or their agreements.

What does not count as a treaty co-production?

A foreign-owned film can be shot in Canada with Canadian crews and facilities without becoming a Canadian treaty co-production. That is commonly a production-services arrangement, in which Canada supplies work or infrastructure under contract. Eligible service productions may use a different federal incentive, the Film or Video Production Services Tax Credit, rather than the CPTC available to qualifying Canadian productions.

International sales and distribution are also separate. A film made by a Canadian company might be purchased by a foreign broadcaster or streaming service, while an American film may have a Canadian distributor. Those transactions say something about where a finished work is sold or shown; they do not establish that producers shared responsibility under a government treaty.

Canadian companies also make international co-ventures outside the treaty system. CAVCO treats those arrangements differently for CPTC purposes, and they do not qualify for the credit as official treaty co-productions. Their status for broadcasting or other funding programs depends on the rules of those programs.

When a production is described as an international co-production, the most useful evidence is the treaty involved and the recognition granted by the relevant authorities. Its locations, investors and distributors can help explain how it was made, but they cannot confirm that legal status on their own.


Shara Cooper MA, MFA

Shara Cooper is a writer, editor and independent publisher based in Edmonton, Alberta. She is the founder of Nordic Prairie Life and SCENE 49 and publishes The Boundary Sentinel, an independent news publication serving British Columbia’s Boundary region. Her work spans journalism, essays, culture, history and community storytelling, and her writing has appeared in various publications including the Toronto Star.

https://www.sharacooper.ca
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