Captain Black hires Jackie Chan to a secret government agency - Section 13, to track down the artifacts pursued by the Dark Hand, a crime organization far darker than anyone could have known. Also, Jackie's 11-year-old niece came to visit from Hong Kong and finds herself willing to help in the fight against evil. Jackie must gather up all 12 magical talismans that the Dark Hand had started retrieving before the Dark Hand does.

Jade swallowed the Rooster Talisman which gave her telekinetic powers, and Jade must harness this ""power within"" in order to save Jackie and herself.

Jackie gets into the ring with Mexico's greatest wrestler (El Toro Fuerte) when Jackie and Jade visit Mexico. Jackie found that the Ox Talisman of super strength was embedded into El Toro Fuerte's mask, and the Dark Hand found out and stole it. Jackie, El Toro Fuerte, and Jade must get it back. Jade had stowed away on the plane that the enemy escaped in, along with Jackie and El Toro and she reclaims the strength talisman.

Jackie must steal the next Talisman of Invisibility from a museum before the Dark Hand does, but when he was in the building, Jade followed him, and a thief was also inside the building trying to steal a jewel, and the talisman mistakenly ends up in the hands of jewel thief The Viper instead and Jackie was arrested because he had the jewel.

While Jade has an out-of-body experience when she uses the Astral Projection talisman, and while she was roaming around Uncle's shop, the Dark Hand grabs the magic object and Shendu uses it to slip into her vacant body. Pretending to be Jade, Shendu tricks Jackie into telling her where Section 13 was in order to steal all the talismans.

After having a fight with Shendu, Valmont keeps the Dragon Talisman of combustion for himself and not only busts into the U.S. Mint but puts Captain Black into the hospital as well. Valmont steals all the gold in the reserve, and Jackie must get the talisman, but this time, he has to use his brain to defeat Valmont because of Valmont's incredible powers.

Jade accidentally drops the Rat Talisman into the battery compartment of her Gnomekop toy, and it comes alive through the power of reanimation. The toy is grabbed by the Dark Hand and is used to get to Section 13. Jade and Jackie must track the toy down.

Jackie is poisoned by the Dark Hand and will give him the antidote for the talismans. Jade steals all the talismans, while the Dark Hand destroys the antidote. When Jackie fully turns to stone, the Horse Talisman heals him.

Uncle helps Jackie retrieve the Pig Talisman from the Dark Hand's newest enforcer, Hak Foo, using the Dog Talisman's power of immortality. Jackie and Jade could not believe the strength that Uncle used on the Dark Hand.

Jade uses the latest talisman to turn herself into a monkey to escape the Dark Hand, but the boat collapsed and the Dark Hand, Jade, and Jackie are stranded on an island. Jade gets caught off guard when another monkey takes the talisman, and now Jackie must find Jade, while the Dark Hand is trying to find the talisman.

The Tiger Talisman splits the dark and light sides of Jackie in two, which makes it easy for Valmont to trick his dark side into working for the Dark Hand. The light Jackie could not do anything, he does not want to fight, while the dark Jackie steals the 12 talismans from Section 13. Both halves fight for the talisman, but Valmont gets to it first and uses it to turn Shendu into it's old self again, an alive, giant dragon demon.

Shendu retrieves all twelve talismans and transforms into a humanoid dragon. Now, he is on the loose and ready to destroy the entire continent of Asia. Jackie, Uncle, and Jade must find the demon and annihilate it before Asia is dismantled. Uncle makes a magic potion that allows Jackie to penetrate Shendu's skin to steal the twelve talismans back.