The toy mini-figures, made by American Will Chapman, includes a masked terrorist bandit with an assault rifle, grenade launcher and belt of explosives.
Shocked by the playthings, British Muslim organisation the Ramadhan Foundation has branded the figurines “absolutely disgusting”.
Chief executive Mohammed Shafiq said the figures were “glorifying terrorism”.
He said: “I don’t think there’s any difference between someone that shouts hatred through a megaphone and someone that creates a doll that glorifies terrorists.
Father-of-three Mr Chapman boasts on his website that his nine-year-old son gave him the idea for the range.
The site advertises 31 different Lego-style weapons, weapons packs and 10 miniature militant figurines.
Other fighters in the range include World War Two troops, US marines - and a Nazi SS officer.