A 2-0 advantage from the first leg at Parkhead was wiped out in a devasting seven-minute spell which saw Ricky van Wolfswinkel net twice from the penalty spot before completing his hat-trick early in the second half.
Barry Maguire then completed the rout on the night as Celtic's dismal away record in Europe continued, with just one win in 28 games on the road now.
Cha Du-Ri recovered from the injury that kept him out of the weekend win over St Mirren to take his place in the side for tonight's clash in Holland, while fellow casualty Glenn Loovens was named on the bench.
James Forrest made his first European start for Celtic after retaining his place in the team following Sunday's 4-0 win, while Jos Hooiveld was also in the starting line-up after missing the first leg through suspension.
There had been heavy rainfall all day and the slick surface was causing a few problems for both sides early on, but Utrecht still managed to make an impressive start to the game.
They had the chance to pile on the pressure when Dries Mertens stepped up for a free-kick just outside the box but goalkeeper Lukasz Zaluska did well to punch to safety.
However, Celtic found themselves trailing with just 11 minutes gone when Spanish referee Carlos Velasco Carballo ruled that Michael Silberbauer was fouled in the box by Hooiveld. Van Wolfswinkel ably converted from the spot despite Zaluska getting a hand to the effort.
The Hoops' advantage from the first leg was gone completely seven minutes later when the referee pointed to the spot again, this time for Zaluska's challenge on Mertens. Again, van Wolfswinkel stepped up for the penalty and this time slotted low into the corner.
Celtic appeared shell-shocked by their dreadful start to the game but had a chance to haul themselves back into the match when Efrain Juarez picked out Marc-Antoine Fortune. But his effort from just outside the box was poor and dipped well over the crossbar.
Utrecht still looked more likely to leave the net bulging again and were only denied a third goal by the woodwork when a volley from Mertens crashed off the crossbar five minutes before the break.
Neil Lennon no doubt urged his players to regain their composure and set about claiming an early goal in the second half but Celtic were dealt a massive blow when Utrecht struck again a minute after the restart.
Nana Asare was allowed to embark upon a surging run before picking out Edouard Duplan and he played the ball into the path of van Wolfswinkel, who rifled high into the top corner to complete his hat-trick.
With Utrecht now leading the tie, Celtic made their first change a few minutes later when skipper Scott Brown was withdrawn from the action and replaced by Shaun Maloney, but hopes of resurrecting the tie were growing more futile.
The Celtic defence were having a torrid time against their rampant hosts and there appeared to be no way back for the Glasgow giants with 62 minutes gone when the ball broke for substitute Maguire and he lashed into the back of the net with a powerful strike from distance.
Van Wolfswinkel could have added to his tally when he found himself in plenty of space and had a go only to see his shot fizz narrowly past the upright.
At the other end, Paddy McCourt picked out Cha at the back post but his header fell harmlessly past the upright, with the largely unworked Michel Vorm untroubled by the effort.
Fortune then fared no better with a feeble shot with time rapidly running out, as Celtic saw their European adventure brought to an end by an impressive display from the Dutch outfit.