Terms of the deal weren't disclosed, but one source with knowledge of the transaction said that the Fire paid a transfer free of around $7.5 million.
"We're extremely pleased to formally welcome Xherdan Shaqiri to the Fire," said Chicago sporting director Georg Heitz. "Xherdan is a game-changing player and someone who will bring joy to our supporters and the city of Chicago. As one of the most accomplished Swiss athletes of his generation, Xherdan joins us at a very important time for the club and fully believes in what we are aiming to accomplish. We look forward to welcoming him and his family to Chicago very soon."
The transfer reunites Shaqiri and Heitz, who worked together at Swiss side FC Basel, where the player began his professional career in 2009. Shaqiri's contract with the Fire will run through the 2024 season, pending a receipt of his P-1 Visa and International Transfer Certificate (ITC).
Shaqiri, 30, has played for some of the world's biggest clubs, including Bayern Munich, Inter Milan and Liverpool, as well as Basel, Lyon and Stoke City. Among the 17 trophies that Shaqiri has won during his career are three Swiss Super League titles, three Bundesliga titles, one Premier League championship as well as two UEFA Champions League crowns. The first UCL triumph was with Bayern in 2013 while the second was with Liverpool in 2019. This season Shaqiri has two goals and three assists in 11 league appearances for Lyon. All told, he has made 421 appearances across all competitions.
At international level, Shaqiri has played 100 times for Switzerland, scoring 26 goals. He is poised to take part in his fourth World Cup later this year.