AI is making movie scenes dramatically cheaper to produce. In China, a film student says a wedding scene that would typically cost about 60,000 yuan, roughly $9,000, to shoot using conventional methods can now be created with generative AI for about 1,400 yuan, roughly $200, a fraction of the original cost.
This example comes as China is rapidly expanding its AI-generated video market. Reuters reports that, according to the state broadcaster CCTV, the cost of producing AI short dramas in the country fell from about 5,000 yuan per minute to a few hundred yuan during the first half of 2026.
These falling costs are helping turn AI videos from an experimental tool into a <a href="https://cinemamix360.com/2026/09/25/create-professional-audio-without-the-production-headache-with-this-200-tool/” title=”Create professional audio without the production headache with this $200 tool”>production business. They also give small teams a way to create scenes that would otherwise require a larger budget and crew. These figures are examples rather than a standard industry rate, since final costs depend on the model, attempts, and human work required.
AI is turning expensive movie production into a much cheaper process
Pan Xiaojun, a postgraduate film-directing student from Hainan, told Reuters that AI lets him create a surreal wedding scene for about 1,400 yuan instead of the conventional 60,000 yuan a regular production would require. Local subsidies and rent waivers have pushed his computing costs even lower.
These savings come from replacing much of the physical production process with software. AI video tools can generate environments, characters, and visual effects without the use of cameras, locations, and large crews that would normally be required during the shoot.
While this does not make filmmaking free, it does change what ideas are financially practical. China’s broader short-drama market shows how quickly these economics are changing.
Caixin reported in March that fully AI-generated dramas could be produced in less than five days and cost about 10% as much as regular live-action productions.
China is rapidly building an AI-powered video industry
These lower costs are being accompanied by a surge in output. China’s broadcasting regulator, the National Radio and Television Administration (NRTA), said about 430,000 micro-dramas were released during the first eight months of 2026, 13 times the total for all of 2025. More than 90% of these short dramas were produced using AI technologies.
Local governments are also trying to attract the attention of the companies making this content. Shanghai has offered computing power and cloud-based AI models for micro-drama productions, while Beijing and Shenzhen have introduced other forms of financial or technical support.
