Iranian filmmaker Asghar Farhadi, whose movie "The Salesman" is nominated in the best foreign film category, has already announced that he will boycott the Academy Awards due to the order as it would have prevented him and his team from entering the US.
The 16, 000 member strong DGA said "open exchange of art" is at the core of what cinema and television are about and the January 27 order prevents this.
"The open exchange of art is core to who we are, it's what motion pictures and television are increasingly about - drawing humanity together, transcending borders and cultures. The DGA will continue to support the ability of artists to work and share their art in the United States," the DGA said in its statement.
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"This union values equality of opportunity regardless of race, gender, creed, disability, sexual orientation or country of birth. Any public policy that enacts discrimination based on religious or national background runs absolutely counter to those values and will be vigorously resisted.
This immigration policy is misguided and we will support our fellow artists every step of the way."
The presidents of the Writers Guild of America blasted the order, said they were troubled by the order.
The move has already been slammed by prominent Hollywood names such as Ashton Kutcher, John Legend and Jennifer Lawrence and Julia Louis-Dreyfus.