A group representing Los Angeles production crews on Tuesday filed a formal complaint with the U.S. government alleging Canada has violated international trade agreements by offering Hollywood producers subsidies to shoot here.

The Film and Television Action Committee filed a petition with the U.S. Trade Representative in Washington that calls for an end to Canadian subsidies based on labor costs that are offered to U.S. studios and producers to shoot north of the border.

‘We feel that film workers in the U.S. have been severely harmed by the practice of paying producers to bring their movies out of the country, in this case to Canada,’ says FTAC chairman Tim McHugh.

He added the USTR will be urged to negotiate with Ottawa, looking to end the film and TV production subsidies. Failing that, Washington will be expected to bring the dispute before the World Trade Organization for resolution.

McHugh added that a WTO ruling against Canada would help FTAC move against another 20 jurisdictions internationally that similarly offer subsidies to Hollywood producers to shoot outside the United States.

ACTRA, representing Canadian performers, reacted angrily against the FTAC action, especially as it has backing from the Screen Actors Guild, which represents American actors.

‘This complaint is without merit or substance and won’t succeed under any trade agreement. What’s more, if a U.S. complaint were ever successful at the World Trade Organization, which seems to be FTAC’s target, the paradox is that Canada would have an even stronger case that U.S. films and television shows are being dumped into Canada and we could retaliate,’ says Stephen Waddell, ACTRA national executive director.

Guy Mayson, president and CEO of the CFTPA, also expressed frustration with FTAC, insisting its cause had long been discredited by U.S. studios and producers.

‘We’ll certainly watch the process closely, and provide any information that might be useful. But we’ll be surprised if it’s taken seriously,’ he says.