Turkey's President has warned the Netherlands will "pay the price" after two of his ministers were barred from addressing Turkish expats in the country.
In response Turkish President Recep Tayyip Erdogan decried the Dutch as "Nazi remnants", while Prime Minister Binali Yildirim has threatened "harsh" retaliation.
Protests against the cancellation of the rally in the Netherlands have been taken place in Rotterdam and Istanbul.
Turkish President Recep Tayyip Erdogan has said the Netherlands is acting like a "banana republic" in the latest exchange between the two countries.
President Erdogan has also called on international organisations to speak out against the Netherlands and impose sanctions on them, and also criticised European countries for failing to voice criticism for the Netherlands' treatment of Turkish ministers.
A banana republic is a small state that is politically unstable as a result of the domination of its economy by a single export controlled by foreign capital.
Speaking at an event in Kocaeli the 63-year-old's comments are the latest escalation in the diplomatic row over a cancelled Turkish rally in the Netherlands.
Rotterdam authorities banned the rally in the city and the Dutch Government refused to let the Turkish foreign minister's plane land in the country, and then refused to allow the family affairs minister enter the Turkish consulate in Rotterdam.
German Chancellor Angela Merkel has backed the Netherlands in its diplomatic fight with Ankara while the EU has urged Turkey to calm down.
A diplomatic row between Turkey and the Netherlands has broken out but what is it all about?
Turkey's president described the Dutch as "Nazi remnants" and "fascists" after his Foreign Minister's plane was denied landing permission.