A meeting of the NSW Young Liberals was shut down in disgrace on Monday night after two men dressed in Ku Klux Klan hoods stormed the stage during a debate about immigration.

Some attendees, described to Fairfax Media as being from the hard right "Taliban" faction and wearing "Make America Great Again" caps, were heard to clap and cheer when the two men in white hoods and linen appeared.

Another attendee was filmed yelling "white power" into a camera while the hooded men paraded around the front of the room. The incident occurred during a motion in support of non-discriminatory immigration policy, following US President Donald Trump's controversial travel ban on several Muslim countries.

The men – whose identities were not known and who were thought not to be members of the Young Liberals – were ejected after about a minute. The meeting of the NSW Young Liberal Council, held at the City Tattersalls Club, was suspended about 9pm.