Long ago, the ambitious Lord Shen, heir to the peacock clan that once ruled Gongmen City in China, devised a plan to wield the power of fireworks as a weapon to dominate the entire nation. Upon consulting a goat soothsayer from the court, played by Michelle Yeoh, Shen learned of a prophecy proclaiming that "a warrior of black and white" would one day bring about his downfall. Misinterpreting this as a reference to the pandas, he ordered their extermination, leaving his horrified parents no choice but to exile him, which only fueled his desire for vengeance.
Fast forward twenty years, where we find Po, the formidable Dragon Warrior portrayed by Jack Black, living his dream and safeguarding the Valley of Peace alongside the Furious Five. Despite his prowess, Master Shifu, voiced by Dustin Hoffman, informs Po that he must discover inner peace, a challenging task that becomes ever more complicated when Po encounters a band of wolf thieves under Shen's command. A symbol on the head wolf's armor triggers flashbacks of Po's mother, distracting him long enough to allow the thieves to flee with precious metal meant for Shen.
Curiosity about his origins drives Po to inquire of his adoptive father, Mr. Ping, who can only reveal that he found Po as a baby in a radish crate. Shortly after this revelation, it is announced that Master Thundering Rhino, leader of the kung fu council, has been slain by Shen, who is wielding a devastating new weapon threatening the very essence of kung fu. Po and the Furious Five set off for Gongmen City, only to discover that it is firmly under Shen's oppressive rule. As they venture deeper, they find two imprisoned members of the council, Masters Storming Ox and Croc, but both are too demoralized to join the fight against Shen's forces.
In a tense showdown, Po and the Five confront Shen in his towering fortress, only to free themselves and destroy his cannon. Sadly, their victory is short-lived as Crane suffers an injury, and Po experiences yet another flashback connected to Shen’s plume, which allows Shen to escape while causing chaos within the tower. A confrontation with Tigress, played by Angelina Jolie, leads Po to grapple with his past and the potential truths about his family. Against her wishes for his safety, Po breaks into Shen's armory, unintentionally sabotaging the Five's efforts and forcing them into captivity.
Rescued by Shen’s soothsayer, who had been cast out to the ruins of Po's birthplace, Po learns to face his past and understands the sacrifice of his parents, who bravely protected him during Shen’s attack. Embracing this emotional weight, Po journeys back to Gongmen City to rescue his friends from execution. In an epic confrontation, Shifu unites with Ox and Croc to fight alongside Po. Utilizing his newfound inner peace, Po skillfully anticipates Shen’s attacks, redirecting the cannon fire back at Shen’s fleet.
Po tries to persuade Shen to release the grip of his own past, but Shen, consumed by rage, attacks. In a tragic twist of fate, Shen accidentally destroys himself when a cannon he aimed at Po collapses upon him, sealing his doom. With the battle won and harmony restored, Po triumphantly returns to the Valley of Peace, acknowledging Mr. Ping as his true father. Unbeknownst to him, his biological father is alive in a hidden sanctuary of surviving pandas, sensing that his long-lost son is also thriving.
