The film, which expands the story that began as a series, stars Grogu alongside Pedro Pascal, who plays his mentor.
For Pascal, the project represents more than just another installment in the "Star Wars" universe.
"It's not just 'Star Wars,'" he said. "It's 'Raiders of the Lost Ark,' it's 'Gladiator,' it's all the big screen experiences that are part of our moviegoing experiences and memories. And, I don't know, that's what I love about it."
Lucasfilm President Dave Filoni added, "This is for everyone who just might have seen Grogu, but doesn't know what he is. So now you can learn."
Sigourney Weaver joins the cast as a powerful colonel working with the Mandalorian and his apprentice.
"It's also incredible action and unpredictable story and also I found it very touching and surprising," she said, "I really didn't know where it was going to go."
The story also revisits familiar elements from the "Star Wars" universe, including the Hutt family. In one exchange, a character is identified as "Rotta The Hutt, the only surviving heir of crime lord Jabba the Hutt."
New creatures are also part of the adventure, including one portrayed by longtime fan Matthew Willig, who reflected on his personal connection to the franchise.
"And I'm going to bring out something for you, George, that I wasn't going to bring out for anybody. But this is me as a 9-year-old kid getting my 'Star Wars' characters," he said while showing off a small figurine. "This is my Boba Fett and some 40 years later, this is like a full circle moment."
Director Jon Favreau highlighted the significance of the premiere location at the Chinese Theatre in Hollywood.
"We're at the Chinese Theatre, which is where 'Star Wars,' 49 years ago to the month, this is where it all happened. This is where the sensation began," Favreau said.
He added, "It's so exciting to be here. I can feel the energy of what came before."
"The Mandalorian and Grogu" is scheduled to open in theaters May 22.
The Walt Disney Company is the parent company of Lucasfilm and this ABC station.