Iran, US trade barbs ahead of renewed sanctions on Tehran

US President Donald Trump signed an executive order on Monday restricting purchases of dollar banknotes by Iran

He blasted the agreement yet again yesterday, calling it a "horrible, one-sided deal (that) failed to achieve the fundamental objective of blocking all paths to an Iranian nuclear bomb".

European countries fear that by abandoning the deal, Washington risks undermining Rouhani and strengthening the hand of his more hardline opponents, who have long argued that the West would never allow Iran to prosper.

The two other signatories to the 2015 pact - Russian Federation and China - also continue to support it.

The US sees the sanctions "as a tool to pressure Iran to come back to the negotiating table to rehash the nuclear deal on terms more to Trump's liking".

Former US ambassador John Limbert said that Iran would not surrender, despite trade sanctions imposed by the US. "If the USA government is willing, let's start right now".

"The E.U.is morally bankrupt, and we need to remember that next time they try to lecture us", Mr. Erdan told Israel Radio.

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President Donald Trump signed an executive order on Monday restricting purchases of dollar banknotes by Iran, preventing the government from trading gold and other precious metals and blocking the nation from selling or acquiring various industrial metals.

Iran dismissed a USA offer to renegotiate a historic 2015 nuclear deal signed with other major powers as President Donald Trump reimposed crippling sanctions on Tuesday.

European officials have condemned the renewed sanctions as illegal and in violation of a UN Security Council resolution, vowing to counter the U.S. measures and save the Iran nuclear accord. "I am asking for WORLD PEACE, nothing less".

The European Union, which remains a supporter of the three-year-old nuclear pact with Iran, said it is taking counter-measures to blunt the impact of the sanctions Trump has reinstituted.

Other suspended sanctions that will be reimposed on November 4 will target the energy, shipping and insurance sectors, and the central bank of Iran.

"Anyone doing business with Iran will NOT be doing business with the United States", the president tweeted.

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But the European Commission has implemented a previously unused regulation that seeks to cancel the effect of the United States policy on European companies doing "legitimate business" with Iran.

"If you stab someone with a knife and then you say you want talks, then the first thing you have to do is remove the knife", Rouhani said in a speech broadcast live on state television.

The stiff economic sanctions ratchet up pressure on the Islamic Republic despite statements of deep dismay from European allies.

"I remain open to reaching a more comprehensive deal that addresses the full range of the regime's malign activities, including its ballistic missile program and its support for terrorism", Trump said.

There have been protests in Iran against rising prices, and the government has responded firmly. The value of the Iranian rial has plunged ahead of the move.

There have been ongoing rumours that Trump and Rouhani could meet in NY in September at the United Nations General Assembly - though Rouhani reportedly rejected USA overtures for a meeting at last year's event.

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