The present technique discloses a method and system generating three dimensional animation in gaming engine. A CAD tool is used to generate 3D animation of kinematic assembly and it also stores the information related to complex joints and constraints of each component of the kinematic assembly. Then, it extracts information related to the co-ordinates of each component of the kinematic assembly in unit time and generate transformation matrix for each of those components. This transformation information is stored in JSON file. The gaming engine receives this JSON file from the CAD tool and convert the transformation matrix into gaming engine understandable pattern based on the co-ordinate system supported by the gaming engine. The gaming engine stores this converted transformation matrix into Quaternion representation. Then, the gaming engine applies tangential continuity to the Quaternion representation of each of the components of kinematic assembly to generate the 3D animation in gaming engine.