The star, who is white, was revealed last week as the actor due to play Maj. Ben Daimio; prompting an outpouring of upset from fans of the original comic book.
In a statement, Skrein explained that he was unaware of his character’s intended heritage, and said he would be exiting the project.
“There has been intense conversation and understandable upset since that announcement,” he said, “and I must do what I feel is right.
“It is clear that representing this character in a culturally accurate way holds significance for people, and that to neglect this responsibility would continue a worrying tendency to obscure ethnic minority stories and voices in the Arts.
“I feel it is important to honour and respect that. Therefore, I have decided to step down so the role can be cast appropriately.”
He went on: “Representation of ethnic diversity is important, especially to me as I have a mixed heritage family.
“It is our responsibility to make moral decisions in difficult times and to give voice to inclusivity. It is my hope that one day these discussions will become less necessary and that we can help make equal representation in the Arts a reality.
“I am sad to leave Hellboy but if this decision brings us closer to that day, it is worth it. I hope it makes a difference.”
The Hellboy reboot was confirmed earlier this year, with David Harbour in the title role.
He reacted to the backlash on Twitter last night, saying: “Hey internet. Thank you for your voices.
“An injustice was done and will be corrected. Many thanks to @edskrein for doing what is right.”