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United boss Jose Mourinho was though to be keen on bringing Guedes to Old Trafford after selling Memphis Depay to Lyon.
But Guedes, who scored 11 goals and provided 16 assists in 68 benfica outings, has instead opted for the French capital.
Guedes has won two caps for Portugal by the age of 20TwitterGuedes got to work at PSG training ground on WednesdayTwitterThe versatile winger has been tempted to move to France by Patrick KluivertEPAGuedes joins for an initial £25.5m having finalised his deal on Tuesday nightEPA
Versatile winger Guedes has helped himself to seven goals and seven assists already this season and will provide competition for Edinson Cavani in attack.
PSG were looking to strengthen this month after a shaky start to Unai Emery’s tenure.
Keep up-to-date with all the latest transfer news and gossip ahead of the January window with SunSport's daily LIVE blog
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PSG have already splashed the cash on Wolfsburg superstar Julian DraxlerReutersPSG are expected to part with Jese Rodriguez before the winter window closesEPA
The reigning French champs are third in Ligue 1, three points behind leaders Monaco.
But exits are also likely at the Parc des Princes, with Grzegorz Krychowiak and Jese Rodriguez both set to leave this month.
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