The half-hour special will pick up where the storyline to next summer's "Shrek the Third" leaves off, the Daily Variety reported Tuesday.
"Shrek the Halls" revolves around Christmas at the swamp as Shrek and his friends prepare for the holiday.
DreamWorks Animation Chief Executive Officer Jeffrey Katzenberg said the idea for the special came from a conversation with ABC Entertainment President Steve McPherson.
"Steve and I were together one day, and he mentioned to me that he was trying to find a new Christmas special," Katzenberg told Daily Variety. "They had great success last Christmas with their holiday-themed specials. So I brainstormed with our team, and we came back to him with the idea of 'Shrek the Halls.'"