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The US-based Aussie will race a Team BRM entry in what's shaping up as a star-studded opening round for the V8-powered series, featuring the likes of Rubens Barrichello, James Golding and Alex Premat.
He'll be the second Davison to race in S5000, cousin Alex making headlines with a race-shortening crash at Sandown last year.
Davison has some experience racing big open-wheelers around Albert Park thanks to a cameo appearance in a historic Formula 5000 car during Australian Grand Prix weekend back in 2011.
The deal continues a long association between the Davison name and 5000-style racing, James Davison's father Jon having raced in Formula 5000 back in the 1970s and 1980s.
“I’ve been a fan of the S5000 series from its inception, as it brings back some of the magic of the Formula 5000 era of the '70s that my father drove in," said Davison.
“The class really gives modern motorsport fans what they want. The horsepower, big rear tyres and limited grip. It is going to be be a fun new challenge for me.
“Racing S5000 around Albert Park against Rubens Barrichello will be a fantastic experience and will no doubt attract interest from the F1 fans.
“I personally love the Albert Park layout and should make for some great racing.”
Davison is set to have his sixth crack at the famous Indianapolis 500 later this year.
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