Ricardo Pepi has joined Augsburg from FC Dallas in a deal worth €18 m.
The 18-year-old attracted interest from the likes of Liverpool and Bayern Munich.
“It was my dream to move to Europe after the last MLS season," Pepi told the club's website.
"I see FC Augsburg and the Bundesliga as the perfect environment to be able to collect a lot of match practice at the highest level as a young player.
“It was impressive how much the people in charge tried to help me. So from the very first moment, I had a really good feeling that Augsburg was exactly the right club for me.
"I'm looking forward to my new colleagues and would like to join the team as soon as possible and can hardly wait for it to start."