"It's going to be one big car chase," said David Minkowski, of the Czech production company, Stillking Films. "Director Stephen Sommers, who made both 'Mummies,' and who filmed 'Van Helsing' here, loves Prague and action."

The film will bring several big Hollywood names to Prague, including Dennis Quaid, Sienna Miller, Channing Tatum and Dwayne Johnson.

Czech supermodel Daniela Kurkova will also appear in the credits.

The filming, which starts next week, will take over large chunks of the Old Town, Minkowski said. Residents and store owners in the affected streets have already been notified and will be compensated for any inconvenience.

In past years, Stillking has taken part in several international film productions, including Casino Royale, Wanted and The Chronicles of Narnia. G.I. Joe is Paramount's seventh Prague film. Nonetheless, Minkowski says, 2008 is a very bad year for films because the government has refused to grant subsidies for film makers.

"Hollywood prefers to go to Budapest, which gives back 20 percent, or to Germany, which also offers advantages, or even to Britain, which is expensive, but offers interesting incentives," he said. The fact that the third sequel to the first two Narnia Chronicles movies left Prague for Mexico says it all, Minkowski added.