0406 GMT January 24, 2021
Deputy Parliament Speaker Hassan al-Kaabi described the trial as "provocative" and "unacceptable" as it could put residential areas in danger.
Kaabi called on the Iraqi government to take swift measures to halt such actions.
Iraq's security forces said Sunday the US test of the C-RAM system was followed by two rocket attacks that targeted American diplomatic and military installations overnight.
The C-RAM, set up earlier this year at the embassy, scans for incoming projectiles and explodes them in the air by targeting them with several thousand bullets per minute.
A series of muted blasts could be heard across Baghdad on Saturday as the system was apparently tested, leaving passersby confused and Iraq's Parliament outraged.
The embassy’s move to fire in a residential area in the heart of Baghdad is an unacceptable act and another challenge for Iraq, adding to the mass of its provocations and illegal actions in Iraq, Kaabi noted.
Anti-US sentiments have been running high in Iraq since Washington assassinated top Iranian commander Lieutenant General Qassem Soleimani and the second-in-command of the Iraqi popular mobilization units, Abu Mahdi al-Muhandis, in January.
Following the attack, Iraqi lawmakers approved a bill on January 5, demanding the withdrawal of all foreign troops.
Baghdad and Washington are currently in talks over the withdrawal of American troops. Iraqi resistance groups have vowed to take up arms against US forces if Washington fails to comply with the parliamentary order.
AFP and Press TV contributed to this story.