Greenwood was apprehended by Greater Manchester Police in late January on suspicion of rape and the assault of a woman.
He was arrested further while in police custody on charges of sexual assault and threats to kill.
Manchester United confirmed they had suspended the player pending the police investigation.
And in a statement released on Monday, Nike announced they had terminated their sponsorship of the 20-year-old.
"Mason Greenwood is no longer a Nike athlete," the American sportswear company told The Athletic.
The striker was previously been removed from video games FIFA and eFootball.
Last week, United reiterated that Greenwood will not train with or play for the club until further notice despite being released on bail.
In a statement, the Premier League club said: "Manchester United reiterates its strong condemnation of violence of any kind.
"As previously communicated, Mason Greenwood will not train with, or play for, the club until further notice."
It's understood the Red Devils will exchange shirts fans have bought with Greenwood's name on it free of charge.
The player will also not be considered for England selection until any potential legal proceedings against the forward have come to an end, according to reports.