Riyadh is also freezing all new trade and investment deals with Canada.
"The kingdom announces that it is recalling its ambassador [Naif bin Bandar Al Sudairi].to Canada for consultation".
"We urge the Saudi authorities to immediately release them and all other peaceful #humanrights activists", tweeted the Canadian embassy.
The move came after the Canadian embassy in Riyadh said it was "gravely concerned" over a new wave of arrests of human rights campaigners in the kingdom, including award-winning gender rights activist Samar Badawi.
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In addition to the Carr Fire, more than a dozen other large wildfires are burning throughout California, stretching resources. Family members had been desperately looking for them since flames leveled the home where they were stranded on Thursday .
Global Affairs Canada told the Canadian Press on Sunday night it was aware of the issue but offered no immediate comment.
The arrests followed a spate of detentions of women's rights activists in the run-up to the end of the ban on women driving in the kingdom in late June.
Freeland said on social media last Thursday that she was "alarmed" to hear of Samar Badawi's arrest. The Canadian position has been deemed "an attack" and an "attempt to interfere with our internal affairs", requiring a firm stance to deter "attempts to undermine the sovereignty of the KSA".
Riyadh said Canada's statement about "civil society activists" was negative and unfair to the truth.
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Those affected economies have in turn targeted US agricultural products, including soybeans, dairy, meat, produce and liquor. The biggest exporter of American-made cars is a German company - BMW, through its plant in Spartanburg, South Carolina.
"Any further step from the Canadian side in that direction will be considered as acknowledgment of our right to interfere in the Canadian domestic affairs", the Saudis said. She is a Canadian citizen whose brother Raif Badawi, a blogger who was critical of the Saudi government, was already in jail in the kingdom. "Canada stands together with the Badawi family in this hard time, and we continue to strongly call for the release of both Raif and Samar Badawi".
In 2014, the Canadian unit of USA weapons maker General Dynamics won a contract worth as much as $13bn to build light-armoured vehicles for Saudi Arabia, in what Ottawa said at the time was the largest advanced manufacturing export win in Canadian history.
It isn't immediately clear what new business could be affected between the two countries. "The persons referred to were lawfully detained by the public prosecution for committing crimes punishable by applicable law, which also guaranteed the detainees' rights and provided them with due process during the investigation and trial".
An English version of the Saudi government's statement said Ms. Freeland and the Canadian government are wrong to criticize the kingdom.
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Channel 5 revealed earlier this week that the next series of Celebrity Big Brother , launching in August, will have the theme: "Eye of the Storm".