Marvel's next Thor film will shoot in Australia thanks to a multi-million dollar government spending spree.

Thor: Love and Thunder has been lured to Sydney after the Federal government dipped into its $140 million funding pool for major Hollywood productions. The New South Wales government has also lent its support to wrestle the franchise away from its former Queensland home.

New Zealand director Taika Waititi will once again helm the film. Production for the new superhero flick – set to star Natalie Portman, Tessa Thompson and Chris Hemsworth – will kick-off in March 2020, with filming to begin in August that year. The movie's predecessor, Thor: Ragnarok, was filmed in Brisbane and the Gold Coast thanks, in part, to incentives from the Queensland government.

As part of the government spending spree, Love and Thunder will also see Marvel Studios offer a trainee program for Australian film students. The traineeships will be available to people studying at the Australian Film, Television and Radio School, National Institute of Dramatic Arts as well as local universities.