James will be eligible to represent Canada at the Games with his new skating partner, former world champion and Olympic medalist Eric Radford.
Radford announced he was coming out of retirement last month to form a team with James, who was born in the Canadian province of Ontario.
They are expected to compete in the 2021-2022 figure skating season as a duo, but had to receive IOC approval to allow James to compete for Canada in time for Beijing 2022.
James had teamed up with Morgan Ciprès and they won a bronze medal at the 2018 World Championships and a gold medal at the 2019 European Championships.
The couple separated in September after Ciprès announced his retirement following allegations of sexual abuse against him.
He faces a sexual abuse charge in Florida.
James had represented France for over a decade, becoming a citizen in 2009 and competing in the Vancouver 2010 Games for the nation.
James had previously represented Great Britain on the international stage.
She qualified for the nation thanks to her father, who hails from the British Overseas Territory, Bermuda.
Radford’s return from retirement has shocked his former figure skating partner Meagan Duhamel, with whom he won world pairs gold in 2015 and 2016.
Duhamel retired alongside Radford in 2018 and said she felt ‘blind’ by the announcement, revealing that she had not been consulted on whether she wanted to return to the sport.
Radford won the Olympic bronze medal with Duhamel at the Pyeongchang 2018 Olympic Winter Games, as well as a gold medal in the team event.
James and Radford will train in Quebec, coached by Julie Marcotte.
The IOC also approved the change of nationality of American sailor Tyler Paige, now eligible to represent American Samoa.