UN Secretary General Antonio Guterres slammed the passage of the Regulation Law legalizing thousands of Jewish homes in Judea and Samaria Tuesday, calling the move illegal under international law.
The Regulation Law was passed by a margin of 60-52 Monday night.
"This bill is in contravention of international law and will have far reaching legal consequences for Israel," Guterres said in a statement.
A US State Department official told the AFP that the Trump Administration was "withholding comment" on the passage of the Regulation Law.
"The administration needs to have the chance to fully consult with all parties on the way forward," the official said.
European officials and governments also criticized the law. French President Francois Hollande demanded that Israel repeal the law, while the UN envoy to the Middle East, Nikolay Mladenov, said that the law "crossed a red line."
British Minister for Middle East Affairs Tobias Ellwood cautioned: "It is worrying that the law paves the way for the expansion of settlements deep in the West Bank and threatens the two-state solution. The law damages Israel's position with its international partners."