Mr Philippe, 46, is the mayor of Le Havre and a close associate of Alain Juppe, a prominent conservative who was touted to replace Francois Fillon as presidential candidate for the Republicans.
He worked as public affairs director for the state nuclear group Areva between 2007 and 2010.
Germany was also ready to partner with France in seeking more cooperation in defence policy and a more coherent European foreign policy that could "make Europe more visible" and stronger, she said.
By appointing him, Macron has passed over some loyal followers including Richard Ferrand, a former Socialist who was one of the first to join Macron's cause a year ago and is secretary general of REM.
And both count well-connected political advisor and writer Jacques Attali as well as late Socialist prime minister Michel Rocard as influences during their ascent through French political life.
One of Macron s aides welcomed his appointment as "a good move", telling AFP it would help him "break the right".
Mending Europe's frayed unity is such a high priority for new French President Emmanuel Macron that he's visiting neighboring Germany and its Chancellor Angela Merkel on his first day in office.
US Senate faces uphill task to pass Obamacare repeal: Cruz
That brings the total of county residents with insurance under the ACA to more than 46,000, or more than one out of 10. The House Freedom Caucus might refuse to back a modified Senate version, returning the debate to the status quo ante.
Philippe is mayor of the northern port of Le Havre and an MP for the region since 2012 who studied at the same universities as Macron and shares many of his views on the economy and social issues.
France's new president Emmanuel Macron wore a suit costing a modest 450 euros (just under $500) for his inauguration on Sunday, in an apparent attempt to dissociate himself from "bling-bling" politics.
Previous year he was part of Mr Juppe's unsuccessful campaign team in The Republicans' primaries, and then joined the presidential campaign of Francois Fillon, the party's nominee.
Jean-Luc Melenchon, the leader of The France Insoumise (Unsubmissive France) party, who was eliminated in the first round of the presidential election, said that having appointed Philippe, Macron took over the whole political spectrum of France and promised that his party would remain the only opposition force.
Merkel and Macron met in Berlin in March during the French presidential campaign, but Monday's talks mark their first meeting since his election.
Macron's planned afternoon trip to Berlin, his first as president, signals his intent to also move rapidly on campaign promises to revive support for the European Union by reforming and strengthening it.
"The president of the republic has appointed Edouard Philippe as prime minister", Alexis Kohler, the newly appointed Elysee Secretary General, told a very brief news conference on Monday.