Jacques Lefranc was dismissed by the owner of France Soir, as his paper became embroiled in a row between Muslims and the European press.
Muslim countries have imposed sanctions against Denmark after a Danish paper first printed Mohammad cartoons.
France Soir printed a new cartoon on its front page showing Buddhist, Jewish, Muslim and Christian holy figures sitting on a cloud, with the caption "Don't worry Mohammad, we've all been caricatures here".
Meanwhile, publications in Germany, Italy, the Netherlands and Spain re-ran the Danish cartoons.
However, France Soir owner Raymond Lakah said he "decided to remove Lefranc as a sign of respect".