Taylor, 29, comes to Kansas City from Washington, where he played the last seven seasons for the Nationals. His best season was 2017, when he established career highs in batting average (.271), doubles (23), home runs (19) and OPS (.806) and finished second among National League center fielders with eight outfield assists despite playing the outfield in just 113 games (among 118 games overall).
Taylor slipped to a .227 average in 2018 but recorded a career-high 24 stolen bases while playing in 134 games.
Taylor played in 38 games in 2020, batting .196 and making starts at all three outfield positions (eight in center, eight in left, seven in right).
In a corresponding move, the Royals designated left-handed pitcher Foster Griffin for assignment.