The 18-year-old girl said his comments blaming Muslims for terrorism would only "radicalise more terrorists".
"Well that's really tragic that you hear these comments (by Trump) which are full of hatred, full of this ideology of being discriminative towards others,"she told British media.
"It's important that whatever politicians say, whatever the media say, they should bereally, really careful about it. If your intention is to stop terrorism, do not try to blame the whole population of Muslims for it because it cannot stop terrorism. It will radicalise more terrorists," the added.
In 2012, Malala was herself shot in the head by the Taliban and air-lifted for life-saving surgery in the UK.
The event in Birmingham, where she now lives with her family, was organised yesterday by her and her family, and two survivors of the attack, Ahmad Nawaz, 14, and Mohammed Ibrahim, 13, took part.
"There are these terrorist attacks happening, for example what happened in Paris or what happened in Peshawar a year ago. It's not just needed in Pakistan but across the world. If we want to end terrorism, we need to bring quality education so we defeat the mind-set of terrorism mentality and of hatred," she said.
Trump, campaigning for the Republican candidature in the US presidential polls, had called for a complete halt to Muslims entering the USuntil authorities could "figure out" Muslim attitudes to the country, in the aftermath of the San Bernardino shootings earlier this month where a Muslim couple killed 14 people before being shot dead by police.
