The deaths in the restive province of Zabul were the worst single incident for NATO's International Security Assistance Force (ISAF) since five British soldiers were killed in a helicopter crash on April 26.
The most recent major "friendly fire" incident was in April when five Afghan soldiers were killed in an air strike in the eastern province of Logar, provoking fury from the Afghan government.
"I can confirm that five foreign troops were killed as a result of their own bombardment in Arghandab district," Ghulam Sakhi Roghlewani, police chief of Zabul province, told AFP after yesterday's deaths.
"Our forces were jointly engaged in fighting with militants, and foreign forces called in air support and they mistakenly bombed friendly positions," Khan said.
"I can confirm ISAF suffered casualties. We also lost one solider and one was wounded."
An ISAF spokesman declined to comment on reports that "friendly fire" was responsible.
"The incident is under investigation," he said.
"Five International Security Assistance Force service members died in southern Afghanistan yesterday," ISAF said in a brief statement.
The US-led force is winding down operations in Afghanistan after more than a decade of fighting Taliban insurgents.
All remaining 50,000 NATO combat troops are due to leave the country by the end of this year, though a small US deployment will remain until the end of 2016 if a long-delayed deal is signed between Washington and Kabul.
The south and east of Afghanistan are the most violent parts of the country as the Taliban wage a guerrilla war against the Kabul government and remaining NATO troops.
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