Mr Iger wrote on Twitter that "as a matter of principle, I've resigned from the President's Council over the #ParisAgreement withdrawal".
Technology companies have been among the most vocal to oppose some of Mr Trump’s controversial policies and in February Uber CEO Travis Kalanick quit the council after the administration implemented a travel ban on people from seven majority Muslim countries.
The council, created by Mr Trump in December, is designed to assist the administration when making decisions on policy. Stephen Schwarzman, CEO of Blackstone Group, leads it. Other members include PepsiCo chief Indra Nooyi and Jamie Dimon, the CEO of Wall Street giant JPMorgan.
Overnight Mr Trump cast the Paris agreements as a global conspiracy that damaged his country’s economic prospects, but said the US may attempt to re-join the pact if he can secure a better deal.
He had made pulling out of the pact – which has been signed by almost 200 nations – a cornerstone of his presidential campaign and said that by withdrawing he was underscoring his promise to put American workers first.
Jeff Immelt, the chief executive of the conglomerate General Electric, tweeted: "Disappointed with today’s decision on the Paris Agreement. Climate change is real. Industry must now lead and not depend on government."
Former US President Barack Obama, German chancellor Angela Merkel and French President Emmanuel Macron also condemned Mr Trump’s move.
Theresa May expressed regret over the withdrawal in a personal phone call with the US President.
Additional reporting by ReutersReuse content