The 28-year old left Hibernian at the end of last season when his contract expired and he will now pitch up with Shaanxi with a deal believed to almost quadruple the wages he earned in the Scottish Premier League.
The Scotland international and former Celtic striker passed a medical yesterday and his agent, Jim McArthur, has confirmed the move.
"Derek has signed a two-year deal with Chanba," McArthur told skysports.com.
"He was very impressed with the club when he saw the set-up and the facilities.
"He is looking forward to the experience of playing in China and it is an exciting time for him."