Ramirez, who came up with the then Indians, now Guardians, in 2013 has spent his whole career with the ball club. With the new deal lasting another six years, the 33-year-old is likely to remain with them for the rest of it too.
Over the past 13 years, he has become the face of the franchise and has been rewarded with an improved $175-million contract.
His current deal, which runs until 2029, is worth a further $69 million, meaning his new contract would be a hefty pay rise.
The Guardians have yet to confirm the contract.
Across his career, Ramirez has been an all-star seven times, a six-time Silver Slugger award winner and ranks second in franchise history with 285 home runs.