Chinese e-commerce giant JD.com announced on Thursday that Lei Xu, the company's president, will be replacing Richard Liu as CEO.

Xu will also join the company's board of directors as an executive director, while Liu will continue to serve as board chairman, according to JD.com.

Last year, the firm announced that Liu will step aside from day-to-day operations, delegating such duties to Xu and focusing on JD.com's long-term strategy.

Liu, who founded JD.com in 1998, would devote more time to teaching younger executives and helping the revitalization of rural communities.