The 30-year-old actress was supposed to play Marvel super-villain Viper in the film, The Hollywood Reporter said.
A similar turn of events happened in 2007 when Biel was in talks with Warner Bros to play Wonder Woman in a Justice League of America movie.
Producers are now trying to find another actress to portray the friend-turned-foe of the titular Marvel mutant, played by Hugh Jackman.
The international cast already includes at Will Yun Lee, Brian Tee, Hiroyuki Sanada, Hal Yamanouchi, Rila Fukushima and Tao Okamoto.
James Mangold is directing the film, which begins shooting next month in Sydney.
The film will hit theatres in July, 2013.
