The Mummy 3 should be released in August 2008. This last sequel of the Mummy movie series will star jet Li as China's first emperor Qin Shi Huang.
Indeed the plot of the Mummy 3 takes place in China.
Here the plot:
"The Mummy: Tomb of the Dragon Emperor will initially take place in ancient times in China and follow the background of the film's villain, China's first emperor Qin Shi Huang (played by Jet Li). The film will move forward to a post-World War II setting where Rick and Alex head to the forbidden tombs of China. In the Himalayas they discover a mummy that can change forms due to a female wizard's (Michelle Yeoh) curse." (source: Wikipedia)
Actor Brendan Fraser is still in the cast for The Mummy 3, though actress Rachel Weisz has left, being replaced by Maria Bello.The film will be shot in Montreal and China.
I really like movies involving characters from China's ancient times. Besides Jet Li is a good actor. So let's be optimist: this is not one more sequel, but rather a brand new interesting movie!