During production of Greeny Phatom The Movie 2, a third Greeny Phatom movie was announced and Chris Wedge, the director of the Ice Age films and co-founder of Blue Sky Studios, was scheduled to direct the third movie. Unlike the first two Greeny Phatom films which were hand-drawn animated, Greeny Phatom The Movie 3 would be entirely computer-animated. Arguments between Chris and Robert Stainton resulted in Blue Sky Studios and Wedge being fired from the project. Sunrise, a legendary Japanese animation studio, replaced Blue Sky Studios. Kenji Uchida, the studio's president, replaced Wedge and became the new director of the third movie. The film was animated by Sunrise's Studio 5 with the assistance of the Chinese studios Jade Animation and Shanghai Animation Film Studio. In addition to Chinese animation studios assisting Sunrise, Oriental DreamWorks served as a co-producer while Alibaba Pictures and China Film Group Corporation served as investors and partial co-producers.
The film was originally set to be released on July 3, 2016, but then was moved to March 24, 2017. It was then moved to August 11, 2017 to avoid competition with Power Rangers. The film also includes the pilot for the new Greenytoon, Yoko, played before it. Promotional television spots for the movie featured the song "I Feel Love" by Donna Summer, remixed in a extended techno version made exclusively for the film by Giorgio Moroder himself. The film's main theme is "New Sensation" by INXS. Other songs in the film include, but are not limited to, "Yume no Ukiyo ni Saite Mi na" by Momoiro Clover Z and Kiss, "Head Above Water" by Men Without Hats, "Blue Monday" by New Order, and "Mammagamma" by The Alan Parsons Project.