“The US government’s erroneous practice of imposing excessive tariffs on China is likely to further diminish the Chinese audience’s favourable perception of American films,” the administration said.

“We will adhere to market principles, respect audience choices and moderately reduce the import volume of American films.”

The measure could be a huge financial setback to Hollywood studios, as China remains the second largest cinema market in the world.

The move came after US President Donald Trump announced further tariff increases for Chinese imports, which now stand at 125 per cent.

In 2002, China agreed to let 20 revenue-sharing blockbuster films from the United States to be shown in the country each year, a total that it increased to 34 a decade later after Xi Jinping, then vice-president, visited Washington.