The decision was made by the club’s new owners after Tuesday’s 1-0 Champions League loss to Dinamo Zagreb.
In a short statement posted on the club’s official website, Chelsea thanked Tuchel for his efforts and said they were moving in a new direction.
“Chelsea’s coaching staff will be responsible for training and preparing the team for the upcoming games as the club moves quickly to appoint a new head coach.
“There will be no further comment pending the appointment of a new head coach.”
Tuchel took over as Chelsea manager a day after Frank Lampard was sacked from the Premier League squad in January 2021.
The German won the Champions League in his first season but has struggled this season, with Chelsea dropping points in three of their six league games.
A new ownership group led by American investor Todd Boley bought the club earlier this year in a deal worth more than $5 billion, after Roman Abramovich put the club up for sale after Russia’s invasion of Ukraine.
Boehly owns stakes in MLB’s Los Angeles Dodgers, NBA’s Los Angeles Lakers, and WNBA’s Los Angeles Sparks.