Liu’s move sets the stage for the entire Cabinet to resign. Liu said that would happen Thursday.
Ma named the Nationalist Party’s secretary general, Wu Den-yih, 61, to replace Liu.
Wu is a veteran lawmaker with a reputation as a skilled political maneuverer. He previously served eight years as mayor of Kaohsiung - Taiwan’s second-largest city - and before that was chief executive of Nantou county, also in the south of the island.
Wu’s nomination by the president does not require approval from Taiwan’s legislature.
Wu said he would name new Cabinet members in a few days after discussing the lineup with Ma. “We will unite and strive with our best efforts to shoulder the difficult task ahead,’’ he told reporters.
Another former lawmaker, Chu Li-lun, 48, was named by Ma as vice prime minister. Chu has served as chief executive of Taoyuan county in suburban Taipei since 2001.
Presidential spokesman Wang Yu-chi said Chu, who has a background in finance and business management, could oversee the island’s economic development, which has been hard hit by the global financial crisis.
Wu, an elected official experienced in local politics, could complement Ma, a legal expert by training who is often seen as being distant and aloof, said Shih Cheng-feng, a political scientist with National Dong Hwa University.
“Wu could help ease mounting grievances about the rescue effort, but he might not implement bold reforms that could be seen as a threat to Ma,’’ Shih said.
Typhoon Morakot, which dumped 3 feet of rain in some locations, triggered massive flooding and mudslides in and around some 40 villages in southern Taiwan.
Critics blamed the heavy casualties on government inefficiency, saying authorities should have ordered residents in the area to evacuate their homes long before the storm hit. The government has also come under criticism for rejecting initial offers of foreign aid and for failing to immediately deploy troops to help with rescue operations.