"Nikolaj was the top free agent available on July 1, and we are proud that he's chosen to make Carolina his home," Hurricanes general manager Eric Tulsky said to nhl.com.
"He’s a highly-skilled winger who can really skate and will fit very well with our forward group."
Ehlers' contract with the Winnipeg Jets expired after the season just ended, and he was one of the more sought-after players who was out of contract.
The 29-year-old forward had no less than 63 points (24 goals, 39 assists) in 69 regular-season games for the Winnipeg Jets last season.
In addition he accounted for seven points (five goals, two assists) in eight Stanley Cup Playoff games.
Ehlers, who is one of the first six players named to Denmark's team for the Olympic Winter Games in Milano Cortina 2026, joined the national Danish team squad for the World Championships, when the Jets were knocked out of the Stanley Cup playoffs and took part in leading Denmark to the semi-finals for the first time ever.