The 30-year-old, who played every minute of his country's World Cup campaign in South Africa, has signed a three-year contract for an undisclosed fee, reportedly in theregion of £1.6million.
Salcido had also been linked with Liverpool, who may now step up their pursuit of Fulham's first-choice left-back, Paul Konchesky.
It is unclear whether Salcido - who is new Cottagers boss Mark Hughes' third signing - will be registered in time to make his debut in tomorrow's Barclays Premier League game at Blackpool.
Mexican wave: Fulham have signed defender Carlos Salcido
Salcido said: 'It has always been an ambition to play in England in the Premier League and it's great that I have been able to make the move to Fulham today.
'The season has already started, so I know that I need to work hard with the manager and the team to make sure that I settle quickly, and that I can help the team to do well.'
Hughes added: 'Carlos is a versatile defender who can play in a number of positions, so he gives us a number of options defensively.
'It is pleasing that we have been able to make additions of extremely high quality during this window, and that these players will help us progress in the right direction.
'There are still a few days before the window ends, which may see some more activity, so I'm very satisfied with the way things are shaping up for the season ahead.'
Salcido began his professional career in his homeland nine years ago at Guadalajara.
His performances at the 2006 World Cup earned him a four-year contract at PSV, who he has represented in the Champions League.
Fulham eye £2.5m defender Salcido as Liverpool step up bid for Konchesky Fulham boss Hughes set to raid old club City for Santa Cruz and GivenFULHAM FC