Seek McCartney, a co-production between Chinese and French teams will show in Chinese cinemas later this year.
It will be the first gay film to show in the country’s cinemas.
After a year of deliberation Chinese censors have decided to allow the film to be shown in its entirety on the big screen.
Director Wang Chao hailed the decision as ‘a small step for the regulator and a big step for filmmakers.’ ‘It was not easy, but was delightful,’ he wrote on Weibo.
However, other LGBT film fans and activists have urged caution, given the Chinese government's unpredictable implementation of censorship.
"The fact that this film can be released in theatres doesn't mean gay films in the future will be able to released in China," Fan Popo, an LGBT filmmaker and rights activist, told AFP on Wednesday.
The movie features Chinese Mandopop singer and actor, Han Geng.