The teenager has agreed a four-year contract and will meet up with his team-mates on their Austrian training camp when he officially joins the club on July 1.
Benyu never played for Ipswich but scored five goals in 23 appearances on loan at Vanarama National League side Aldershot in the second half of last season.
He was linked with the likes of Tottenham, West Ham and Aston Villa and Celtic say he was “much sought-after by some of England’s top clubs”.
In a statement on Celtic’s website, Benyu said: “I’m absolutely delighted to be joining Celtic.
“It’s a massive honour to sign for the Scottish champions and one of the world’s truly great clubs.
“It’s also a great opportunity for me to continue to develop as a footballer under Brendan Rodgers.
“I’m looking forward to meeting up with my new Celtic team-mates.
“I know there’s a lot of hard work ahead of me but I am ready for this, I’m looking forward to the challenge and I can’t wait to get started.”
