Rumors of developer 7Sixty being hard at work on a kung fu project, based on the Chinese game HurricaneX2, are true. The game is coming to an Xbox Live Arcade near you as Kung Fu Strike: The Warrior's Rise. The teaser trailer above doesn't show much in terms of gameplay, but you can see the screenshots below for more (and there's gameplay of the Eastern version out there as well).
The title looks like a quick and stylistic arcade beat-em-up, a genre that certainly has its fans. 7Sixty says the game, which comes with local co-op and versus modes, is showing up on XBLA "early this year." Expect to see more "very soon."