Ozil was the target of criticism for his performances during Germany's disappointing World Cup in Russia, as well as for his meeting with Turkish President Recep Tayyip Erdogan in May.
Ozil and Ilkay Gundogan, a teammate also of Turkish descent who posed with Erdogan as well, were jeered by German fans in warm-up games before the tournament began.
Erdogan said on Tuesday the treatment of Ozil was racist and unacceptable.
The 29-year-old's decision to quit has triggered a bad-tempered public debate in Germany about its relations with its largest immigrant community.
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