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The Rush Hour actor is being lined up to play martial arts expert Mr Miyagi in the reworking of the 1984 movie.
The film will be loosely based on the original plot, which followed a young boy learning to stand up to a group of bullies with the help of Mr Miyagi.
Jaden Smith, the son of actor Will, was previously confirmed to play the boy.
The Pink Panther 2 director Harold Zwart will helm the Chris Murphy-scripted project, with Will Smith producing.
Ralph Macchio and Pat Morita starred in the 1984 film, which spawned three sequels.
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