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Harrison Ford first played police officer Rick Deckard in 1982
Denis Villeneuve, who directed Hugh Jackman and Jake Gyllenhaal in kidnap drama Prisoners, is in talks to direct.
The story takes place several decades after the conclusion of the 1982 film, which was based on Philip K Dick novel Do Androids Dream Of Electric Sheep?
The film is scheduled to start shooting in the summer of 2016.
The cult 1982 film, directed by Sir Ridley Scott, saw Deckard hunting down genetically engineered lifelike robots, known as replicants, in a futuristic Los Angeles, set in 2019.
The latest instalment – reportedly based on an idea from Scott, who will also produce the new film – has been written by Hampton Fancher, who co-wrote the original screenplay.
“We are honoured that Harrison is joining us on this journey,” said producers Andrew Kosove and Broderick Johnson in a joint statement.
“Hampton and Michael, with Sir Ridley Scott, have crafted a uniquely potent and faithful sequel to one of the most universally celebrated films of all time, and we couldn’t be more thrilled with this amazing, creative team.”
It marks the third time Ford has returned to an iconic role. In 2008, he returned to the role of Indiana Jones nearly 20 years after the franchise came to a halt in 1989.
Later this year, the 72-year-old will reprise the role of Han Solo in the latest addition to the Star Wars franchise, Star Wars: The Force Awakens. Last year he broke his leg on the set of the film.
BBC