Chinese filmgoers will have to wait for another glimpse of Michelle Pfeiffer or Will Smith after a trade row brought down the curtain on Hollywood hits being shown in Chinese cinemas.

Beijing is withholding permission for US movies to be shown, apparently in retaliation against an American decision to file a case against China at the World Trade Organisation over video piracy.

China restricts the number of American releases to just 20 each year, but now even that meagre menu has been scrapped.

Carlos Gutierrez, the US Commerce Secretary, on a visit to Beijing, said: “My understanding is that there is a suspension, which has happened in the past, and there’s certain times of the year where they will suspend foreign movies.” Foreign films are regularly blacked out in China to encourage viewers to watch domestic fare. A freeze was imposed from September 12 to October 30 this year, and had been expected to remain in effect for December.

Now that suspension looks likely to continue until February at the earliest, and possibly until May. It is the first such ban since China allowed in foreign movies regularly in the 1990s.

American film companies became aware of the new ban in recent weeks when Chinese officials started rejecting applications to distribute new films. No studios have received approvals for any films to be shown in the first two months of next year.

Movies that have been shelved include the Disney fantasy Enchanted, Stardust, with Michelle Pfeiffer, Beowulf, starring Angelina Jolie, and The Pursuit of Happyness, with Will Smith.

Although these blockbusters may not be seen on the big screen, they are widely available on every street corner on pirated DVDs. It is this theft of intellectual property rights that is angering US officials and the big Hollywood studios.

China is eager to protect its domestic film industry, which struggles to compete against imports. Foreign films account for nearly half of total box office revenues, which exceeded $350 million (£171 million) last year. Chinese distributors retain most of that income.

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