President Donald Trump kicked off the New Year not by wishing people around the world peace, joy, or happiness, but by posting a tweet attacking a nuclear power, Pakistan.
A final decision is expected to come in the next few weeks, officials said.
"The president has made clear the USA expects Pakistan to take decisive action against terrorists and militants on its soil, and that Pakistan's actions in support of the South Asia Strategy will ultimately determine the trajectory of our relationship, including future security assistance", he said.
Trump's announcement follows an increasingly tense back-and-forth between Washington and Islamabad after the US President unveiled his administration's National Security Strategy.
But Pakistani officials rejected the requests.
Donald Trump said the United States had foolishly given Pakistan more that billion in aid since 2012.
Pakistani troops confronted Haqqani militants as they ferried the family across the tribal lands of northwest Pakistan.
In an early-morning post, he accused Islamabad of harboring terrorists.
He had then reminded Pakistan about its obligation towards helping the USA because it got "massive payments" from Washington every year. "They have to help".
After the rescue, President Trump labeled it "a positive moment for our country's relationship with Pakistan".
The reaction of his audience was notable, analysts said, since the Pentagon has historically been one of Pakistan's defenders in Washington because of its longstanding ties to the Pakistani military, the New York Times reported.
Pakistan "did not take substantial action against the Afghan Taliban or (the Haqqani Network) or substantially limit their ability to threaten U.S. interests in Afghanistan", stated an annual State Department report on terrorism.