Film Auckland says having the sequel to martial arts classic Crouching Tiger Hidden Dragon filmed in the city will bring a much needed boost for the industry.
The movie is the most successful Chinese language film of all time and won the best foreign language Oscar in 2001.
Film Auckland deputy chair Alex Lee says the sequel is in the pre-production stage at the moment and will be filmed at an Auckland studio.
Mr Lee says it has been a very quiet period for big budget films in New Zealand and having the movie shot in New Zealand is good news for the film industry.