The Gunners ace took a tumble over Ricardo Rodriguez's challenge in the box before converting the penalty he won to make it 1-1 at the Emirates.
But despite many pundits accusing Welbeck, 27, of simulation, Uefa have confirmed they will take no action.
Arsenal went on to win 3-1 and cruised into the Europa League quarter-finals where they will play Spartak Moscow.
And Welbeck will be able to play in a boost to Arsene Wenger, who cannot use Pierre-Emerick Aubameyang in Europe.
After the Milan clash, Wenger claimed to have missed the incident but insisted he would speak to Welbeck if he had dived.
Danny Welbeck escapes punishment for ‘dive’ against AC Milan in Europa League win
Reviewed by code
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09:41:00
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Reviewed by code
on
09:41:00
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