The nomination came after parliament ousted incumbent Habib Essid in a no-confidence vote due to his perceived poor handling of economic reforms and security, Xinhua news agency reported.
Chahed dismissed reports of any family ties to Essebsi, in response to opposition charges that he was a distant relative of the President.
Chahed, 41, had served as a Vice-Minister of Fishing before becoming Minister of Local Affairs in the Essid government.
Born in Tunis in 1975, Chahed earned several degrees, including a doctorate in agronomic science, in France.
He also taught in France and Tunisia, and is famous for his role in shaping agricultural production policies in Tunisia.
His political career began after joining the Nidaa Tounes party as a senior member of the party founded by Essebsi.
Nidaa Tounes is the second most influential party in the current political scene, after losing its parliamentary majority to Ennahdha party.
Following his nomination, Chahed has 30 days to form a ministerial team which then needs to earn a vote of confidence from the majority of parliament members.
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