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May 21, 2026 6:45am PT

Saudi Arabia’s Increased 60% Production Rebate Elevates Film AlUla’s Position as a Key Industry Player

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Nick Vivarelli

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Nick Vivarelli

International Correspondent

@NickVivarelli

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Saudi Arabia’s Film AlUla – the film commission for the expansive northwestern region of the country – is strengthening its function as a foundation of the kingdom’s ongoing push to establish a film industry infrastructure. This progress comes through its recent alliance with international studio giant MBS Group and its continuing collaboration with the Red Sea Film Foundation. These were the key points emerging from a discussion held during Variety’s Global Conversations at the 2026 Cannes Film Festival.

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Phillip Jones, chief tourism officer of The Royal Commission for AlUla, emphasized that “one of the real needs we have is training locals for jobs in the industry.” This effort is carried out in collaboration with both MBS Group – which owns Manhattan Beach Studios, home to James Cameron’s “Avatar” sequels, and the cutting-edge AlUla Studios – and the Red Sea labs and fund. Faisal Baltyuor, CEO of Red Sea Film Foundation, noted that “if you submit a film project to the Red Sea Fund, which is one of the largest in the Middle East, we give that project an option to be shoot in AlUla.”

Baltyuor referenced two Saudi films shot in AlUla that later appeared on the international festival circuit: Tawfik Alzaidi’s “Norah,” which in 2024 became the first Saudi film in the Cannes official selection, and Shahad Ameen’s “Hijra,” which premiered at Venice in 2025.