At talks in Brussels with Nato chief Jens Stoltenberg, he said it was a “very bad thing for Nato” that Germany was “totally controlled by Russia”.
He suggested 70% of Germany’s gas imports were Russian; the latest official figure is from 50% to 75%.
German Chancellor Angela Merkel is to meet Mr Trump in the afternoon.
The US president also accused Germany of failing to pay enough for Nato operations.
The Brussels summit comes less than a week before Mr Trump is due to hold his first summit with Vladimir Putin, in Helsinki, reviving concerns among US allies over his proximity to the Russian president.
President Trump shocked some by quipping that the Nato summit might prove harder than next Monday’s summit with Mr Putin.
European Council President Donald Tusk accused him of criticising Europe “almost daily”, tweeting: “Dear America, appreciate your allies, after all, you don’t have that many.”
Mr Tusk said the EU spent more than Russia on defence, and as much as China.
On the Putin summit, Mr Tusk said pointedly: “It is always worth knowing who is your strategic friend and who is your strategic problem.”
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Germany has the EU’s biggest economy and has long been accused by US administrations of failing to contribute its fair share to Nato operations but Mr Trump was particularly stinging.
“Ultimately Germany will have almost 70% of their country controlled by Russia with natural gas, so you tell me – is that appropriate?” he asked at Wednesday’s breakfast meeting with Mr Stoltenberg.
“Germany is totally controlled by Russia because they will be getting from 60 to 70% of their energy from Russia, and a new pipeline, and you tell me if that’s appropriate because I think it’s not and I think it’s a very bad thing for Nato.”
Germany has given political support for a new Baltic Sea pipeline, Nord Stream 2, which will increase the flow of Russian gas to EU states. The project has been sharply criticised by Poland and others.
Mr Trump went on to accuse Germany of only spending “a little bit over 1%” of its economic output on defence compared to the 4.2% spent by the US “in actual numbers”.
Germany actually spends 1.24% and the US 3.5%, according to the latest Nato estimate.
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