Trump spoke with Vince Coglianese and Saagar Enjeti of the Daily Caller where he called Nike's ad a "terrible message".
The rule also dictates that players who choose to be on the field for the anthem must stand. Teams with players who do not stand will be subject to fines and teams could also discipline the offenders. However, the NFLPA filed a grievance against the league, accusing the NFL of not including them in the decision making process.
The former San Francisco 49ers QB's face is featured on a black and white photo accompanied by the words, "Believe in something, even if it means sacrificing everything".
Trump said it's Nike's right to make its own business decisions, as much as he disagrees with the endorsement, according to the report. "We embrace the role and responsibility of everyone involved with this game to promote meaningful, positive change in our communities", Jocelyn Moore, the NFL's Executive Vice President of Communications and Public Affairs said.
The Nike slogan, "Just do it", is written underneath.
Pavlich noted on Tuesday that Kaepernick has been a Nike athlete since 2011, and the company has been paying him amid his protests that including wearing socks that depicted police officers as pigs.
Colin Kaepernick featured in new Nike ad campaign
The source says Nike will feature Kaepernick on several platforms, including billboards, television commercials and online ads. Just to be clear, this was NOT a protest against the National Anthem or the USA flag, but against racial injustice.
Nike's stock is falling in early trading on Tuesday following an announcement that former San Francisco 49ers quarterback Colin Kaepernick has a new deal with the athletic clothing and footwear maker.
Seven-time Wimbledon champion Serena Williams, who is also part of the new Just Do It campaign, tweeted out the image of her ad, alongside the caption: 'Especially proud to be a part of the Nike family today.
Nike recently signed a 10-year extension to be one of the NFL's official uniform sponsors.
News of Nike's ad campaign broke just days before the first game of the National Football League season on Thursday, when the controversy over pre-game protests could flare anew.
In pre-market trading yesterday, Nike stock was down almost 2.3 percent.