The club announced the signing via twitter on Sunday morning.
Takuma joins Granit Xhaka in the list of Arsenal's new recruitments this season, subject to a medical. Having worked in Japan for some years before moving to manage in the Premier League, Arsene Wenger is delighted with his new player.
Despite being a player for the future, Asano is expected to train with the first-team, whilst the Japanese international will also head to Rio for the Olympic Games with Japan.
Wenger's love affair with Japanese football continues
The Frenchman explained, "Takuma is a talented young striker and very much one for the future." Many Arsenal fans are slightly confused at the transfer, as they await the signing of a world class number nine, however, Wenger loosely reassured Gooners of Takuma's progression.
"He has had an impressive start to his career in Japan and we look forward to him developing over the next couple of years," said the Arsenal coach.
Perhaps not the striker that Arsenal fans were hoping for, however, Wenger's explanation of Takuma being a part of Arsenal's future, denies claims that he will conclude the club's spending this summer.
Asano found the back of the net 11 times for Sanfrecce Hiroshima, making 56 appearances since he signed as an 18-year-old back in 2013.
During his spell in Japan, Asano won the J League in 2013 and 2015, the Japanese Super Cup in 2013, 2014 and 2015, whilst being voted as the J-League 'Rookie of the Year' winner in 2015.
Arsenal fans are expected to get their first glimpse of their signing as he is in line to represent Japan at the Olympic Games in Rio this summer.