Khan, who is London's first Muslim Mayor told the Guardian at the Labour Party's annual conference that Trump's travel ban and rhetorics about Muslims helps the group's "clash of civilizations" rhetoric.
"What you are saying is not dissimilar to what Daesh or so-called IS says," Khan said. "They say that there is a clash of civilizations, it is not possible to be a Muslim and a westerner, and the west hates us. And you are inadvertently playing their game, you are helping them."
London mayor further said that he was a "reluctant participant" in the continuing hostility between himself and the US president.
However, he made it clear that he was offended by Trump's call for a ban on Muslims and the President's claim that he would make an exception for the Labour politician
"My view was firstly 'I'm not exceptional' and secondly 'Think about what you are saying.' Because what you are saying is not dissimilar to what Daesh or so-called IS says," Khan said.
He asserted that the U.S. banning on travellers from a number of Muslim-majority countries gave the "wrong impression" of the religion.
"I'm a westerner, but also a very proud Muslim. There are some people who want to divide our communities - I'm not going to let them," Khan said.
Recently, the United States has expanded the controversial travel ban by slapping the restrictions on eight countries - North Korea, Iran, Chad, Libya, Syria, Venezuela, Yemen and Somalia, read a statement released by the White House on Monday.
Sudan has been dropped off the list from the banned countries, whereas Chad, North Korea and Venezuela are new to the list of affected countries.
The new travel ban will come into effect on October 18.
"As President, I must act to protect the security and interests of the United States and its people," said the US President Donald Trump in a statement.
"Making America Safe is my number one priority. We will not admit those into our country we cannot safely vet," Trump said in a tweet.
The Department of Homeland has recommended more targeted restrictions on foreign nationals from countries it says have refused to share information with the U.S. or haven't taken necessary security precautions. (ANI)