Is Encanto 2 Happening? Disney Executive Provides Update On Sequel
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Is "Encanto 2" going to happen at Disney? At the very least, it's not happening right now. This according to Walt Disney Animation Studios Creative Executive Yvett Merino, who was a producer on the 2021 animated musical.
"Encanto" and its directors brought Disney magic to Colombia, centering on the Madrigals, who live hidden in the mountains of Colombia in a magical house called an Encanto. The magic of the Encanto has blessed every child in the family with a unique gift — every child except one, Mirabel (Stephanie Beatriz).
During a recent interview with The Direct, Merino was asked about the possibility of a follow-up to the movie, which was met with a warm response from critics, going on to win Best Animated Feature at the 2022 Oscars. Be that as it may, there is no movement on the proposed project at this time. Here's what she had to say:
"No, but I'm always here for it. 'Encanto' is the first film that I produced, and it really holds a very special place in my heart, because it's about a Latino family in the forefront. So anything that has to do with the world of 'Encanto,' I'm in for. What I'm really excited for now is the casita that's opening up in Florida in the parks. They're building a whole casita and an attraction there. I'm excited for that. But anything 'Encanto,' I'm there for."
This certainly isn't the first time a sequel has been discussed. Lin-Manuel Miranda wouldn't say no to an "Encanto" sequel when asked about it in 2022. But these decisions come from the Disney brass and, generally speaking, those decisions are based on money above all else.
Encanto 2 isn't happening (at least not yet)
2021 was a perilous time for the industry. The box office was on life support in the aftermath of the pandemic and most movies weren't making all that much money, relative to what they might have been expected to make in the 2010s. That became an issue for "Encanto."
Released in theaters in November of that year, it didn't perform well enough to justify its $150 million budget, topping out at $256 million worldwide. But this is also one of those situations where the box office didn't come close to telling the entire story. For one, the "Encanto" soundtrack became the biggest thing in the world, with "We Don't Talk About Bruno" becoming a bonafide hit.
Then there's the matter of its success on Disney+. "Encanto" demolished the streaming competition once it became available to watch from the comfort of home. While it's difficult to say how that impacted the bottom line for Disney, it seems fair to say that the movie had a bigger impact than the box office alone would suggest. For that reason, it's entirely possible that a sequel would outdo the original by a meaningful margin.
It's not unlike how "Moana" made $643 million back in 2016, only for "Moana 2" to make over $1 billion in 2025. Not coincidentally, "Moana" went on to become one of the most-watched titles on Disney+. For the time being, that streaming success hasn't convinced Disney that "Encanto 2" is a risk worth taking but long gaps between animated sequels certainly aren't unheard of. Maybe someday, just not right now.