Defence Minister Chaudhry Ahmed Mukhtar said the decision to stop the supplies had been made because the attacks by the US-led forces from Afghanistan had continued despite protests by Pakistan.

"We've already taken action today. We've stopped the supply of oil and this would tell how serious we are to the International Security Assistance Force," Mukhtar told reporters outside parliament.

He said the coalition forces could not carry on with such attacks. "We told the (visiting) German Defence Minister yesterday that this is not acceptable, the way you people are handling the situation in the border areas."

Asked how long the oil supplies would be stopped, he replied: "As long as they don't come up with some proper answer. We will wait for a reply from them."

Pakistan's action came after a series of attacks by coalition forces in North and South Waziristan tribal regions, portrayed by the US and the Afghan governments as a "safe haven" for Taliban and al-Qaida militants.

Pakistan has reacted in anger to the attacks, describing them as a violation of its sovereignty. It has also said only Pakistani troops have the right to operate on its soil.

Gen Tariq Majid, Chairman of the Joint Chiefs of Staff Committee, even went to the extent of saying that the Pakistan reserves the right to retaliate against cross-border strikes by the coalition forces.

The Torkham highway, which passes through Pakistan's Khyber Agency and links Peshawar with Kabul and northern parts of Afghanistan, are major transit routes for supplies to the US-led coalition forces, which are ferryed overland from the port of Karachi.

Islamabad has recently claimed that nearly 40 people, including many women and children, have been killed in cross-border strikes in North and South Waziristan since the beginning of this week.

Authorities also claimed that twenty people were killed on Wednesday in a cross border raid on Angoor Adda in Southern Wazirisatan by commandos ferried on aboard helicopters and backed by gunships.

The attack marked the first time that US-led ground forces from Afghanistan had intruded into Pakistan. On Friday, a drone believed to be operated by the US-led forces in Afghanistan fired three missiles into North Waziristan Agency, killing four children and three women and injuring several others.