All shopping malls in Denmark will be closed as soon as Thursday, Xinhua news agency quoted the Prime Minister as saying in his announcement on Wednesday evening.
In addition, the retail trade, with the exception of supermarkets, grocery stores and pharmacies, will have to close from Christmas Day until the New Year, Frederiksen added.
The Prime Minister also promised that, in light of the new situation, the government would act immediately to reach an agreement on aid packages for the industries affected by the closures.
The latest round of restrictions comes in the wake of the government's decision on Tuesday to extend partial restrictions across all of the country's 98 municipalities from Wednesday onwards.
On Wednesday, the country reported a record 3,692 new coronavirus cases, which increased the overall infection tally to 120,330.
The country's death toll currently stands at 975.