Abu Hurairah narrates: “At-Tufail ibn Amr came to the Prophet and said, ‘The Daws (tribe) have perished as they disobeyed and refused to accept Islam. So invoke Allah against them.’ But the Prophet ﷺ said, ‘O Allah! Give guidance to the [the tribe of] Daws and bring them [as Muslims]!’”
(Bukhari)
Prophet Muhammad ﷺ, Mercy to mankind, treated all people well, including non-Muslims. Allah enjoined fairness, kindness, good treatment and rendering back trusts for Muslims and non-Muslims alike.
The Prophet’s mercy was not, in any way, restricted to Muslims. It encompassed all, Muslims and non-Muslims, humans and the Jinn, and even animals and non-living things. He showed mercy even to those who wronged him or attempted to kill him.
A number of the Prophet’s Companions narrated that the Messenger of Allah ﷺ said: “Beware, if anyone wrongs a mu‘ahid [i.e. a non-Muslim enjoying the protection of Muslims], or diminishes his right, or forces him to work beyond his capacity, or takes from him anything without his consent, I shall be his adversary on the Day of Judgment.” (Abu Dawud)
The Prophet ﷺ used to do business and enter into dealings with non-Muslims. It was narrated that Hazrat Aishah said: “The Messenger of Allah bought some food on credit from a Jew, and he gave him a shield of his as collateral (rahn).” (Bukhari and Muslim)
The Prophet taught his followers to respect deceased persons, Muslims or Non-Muslims. Jabir ibn Hayyan relates: “The Prophet and his Companions stood up for the funeral of a Jew until it disappeared.” (Sunan An-Nasa’i)