In a letter addressed to Kim Jong-un the President said that although he “was very much looking forward” to the meeting he was cancelling because of “tremendous anger and open hostility displayed in your most recent statement”.
He added: “You talk about your nuclear capabilities but ours are so massive and powerful that I pray to God they will never be used.”
Trump goes on to lament that he “felt a wonderful dialogue was building up” before adding: “If you change your mind ... please do not hesitate to call me or write”.
In a press conference later, Trump said the US military stand “ready if necessary” if Kim were to take any “foolish” action.
Trump added a “bright and beautiful future” in North Korea “can only happen when the threat of nuclear weapons is removed”.
It is not known what will happen to the commemorative coins minted for the occasion.
UPDATE: The White House gift shop is now offering $5 off the RRP of the coins.
Whilst Trump appears surprised at the recent turn in events, North Korea experts have warned all along that he was essentially being played by Kim.
Brian Klaas of the London School of Economics told HuffPost UK: “Trump’s early victory lap on Twitter and the media hyperventilation over a possible Nobel Prize is like a cyclist who celebrates prematurely only to crash before the finish line.
“It was never credible to believe that insulting Kim Jong-un on Twitter was the solution to decades of a slow-burning and deeply complicated diplomatic impasse.”
The news comes even after North Korea followed through on a pledge to blow up tunnels at its nuclear test site.
A small group of international media selected by North Korea witnessed the demolition of tunnels at the Punggye-ri site on Thursday, which Pyongyang says is proof of its commitment to end nuclear testing.
The apparent destruction of what North Korea says is its only nuclear test site has been widely welcomed as a positive, if largely symbolic, step toward resolving tension over its weapons. NorthKorean leader Kim has declared his nuclear force complete, amid speculation the site was obsolete anyway.
Earlier on Thursday, North Korea repeated a threat to pull out of the unprecedented summit with Trump next month and warned it was prepared for a nuclear showdown with Washington if necessary.
In a statement released by North Korean media, Vice Foreign Minister Choe Son Hui had called US Vice President Mike Pence a “political dummy” for comparing North Korea - a “nuclear weapons state” - to Libya, where Muammar Gaddafi gave up his unfinished nuclear development program, only to be later killed by NATO-backed fighters.