The "Crazy Rich Asians" star will play scientist Dr. Karina Mogue in the long-awaited follow-ups to the 2009 box office smash "Avatar".
"Throughout her career, Michelle has always created unique and memorable characters," director Cameron shares in a statement.
"I look forward to working with Michelle to do the same thing on the 'Avatar' sequels."
Michelle has always created unique and memorable characters. I look forward to working with her to do the same thing on the Avatar sequels. https://t.co/ExokGb0YZg— James Cameron (@JimCameron) April 15, 2019
"Avatar 2", the first of four planned sequels, is set for release in December, 2020.
The news emerges three months after Yeoh was officially tapped to front a new "Star Trek: Discovery" spin-off series, which will focus on her character Captain Philippa Georgiou.
The "Crouching Tiger, Hidden Dragon" icon initially took on the part as the Starfleet Captain aboard the Starship Shenzhou for the Discovery series' launch in 2017.
The spin-off show will air on the CBS All Access video on demand service.