Erdogan made the remark on Monday, while stressing that all debates over the subject should be halted as such a move would very wrong.
"The debates over the possibility of US moving its Israel embassy to Jerusalem are extremely wrong and should certainly drop from the agenda," he said in Istanbul, Press TV reported.
The planned relocation of the American embassy to al-Quds remains a controversial issue and it has sparked fears of a renewed outbreak of violence across the Middle East.
During the 2016 presidential campaign, US President Donald Trump promised Israeli Prime Minister Benjamin Netanyahu that he would recognize Jerusalem al-Quds as Israel’s undivided capital.
Earlier in the month, US Vice President Mike Pence said that Trump is giving "serious consideration” to moving the embassy.
Palestinians oppose the move and have repeatedly warned Trump against such an action. Also, the Palestine Liberation Organization warned the US against the relocation of the embassy. The organization emphasized the potential relocation would deliver a death blow to any prospects of the resolution of the Palestinian-Israeli conflict and fuel extremism in the region.