The 49-year-old director would replace Jon M. Chu (G.I. Joe: Retaliation), who left the project to helm Jem and the Holograms. Caruso is known for such films as Taking Lives (2004) with Angelina Jolie and Disturbia (2007) with Shia LaBeouf.
Dwayne Johnson is confirmed to reprise Roadblock for the sequel. G.I. Joe: The Rise of Cobra (2009) starred Channing Tatum and Marlon Wayans as Duke and Ripcord, while G.I. Joe: Retaliation (2013) featured Tatum, Johnson, D.J. Cotrona as Flint and Adrianne Palicki as Lady Jaye.
The Rise of Cobra earned over $302 million at the box office, while Retaliation brought in $375 million. The films are based on the G.I. Joe action figures by Hasbro, and CEO Brian Goldner will produce the third movie with Lorenzo di Bonaventura.
Caruso is currently filming The Disappointments Room with Kate Beckinsale and Lucas Till. Johnson last appeared as the title character in Hercules, and is scheduled for Fast & Furious sequel Furious 7, disaster movie San Andreas and DC Comics film Shazam!.