Rouhani: Big victory for Iranian diplomacy

The United States has imposed sanctions on 11 companies and individuals for supplying Iran’s ballistic missile program, the US Treasury Department says.

Iran has denounced new U.S. sanctions placed on its missile program, but opted to push ahead with worldwide cooperation after its historic nuclear deal.

He said the country will react to the “propagandist and harassing measures by following up on its legal missile program in earnest and further improve the country’s defense capabilities and national security”.

His remarks, quoted by Iranian state media, were made in a letter to President Hassan Rohani.

Following the lifting of the sanctions, Iran announced an increase in oil production by 500,000 barrels a day.

But Rouhani noted bitter opposition to the lifting of economic curbs from arch foe Israel, some members of the US Congress and what he called “warmongers” in the region – an apparent reference to some of Iran’s Gulf Arab adversaries.

He said differences with Iran remained, and the USA would “remain steadfast in opposing Iran’s destabilising behaviour elsewhere” – such as its missile tests.

President Barack Obama said his government will “vigorously” enforce sanctions against Iran’s ballistic missile program.

“On the sidelines of the nuclear negotiations, our diplomats at the highest level, including Secretary Kerry, used every meeting to push Iran to release our Americans”, the president added.

In exchange for the release of the Americans, the USA will either pardon or drop charges against seven Iranians – six of them dual citizens – accused or convicted of violating US sanctions.

“The U.S. has never been afraid to pursue diplomacy with our adversaries”, he said.

The announcement of the new sanctions came hours after three Americans detained by Iran – including the Washington Post’s Jason Rezaian – boarded a Swiss plane departing Tehran.

“That’s the opportunity for the Iranian people”.

The restrictions aim to increase the time Iran would need to make enough fissile material for a nuclear weapon from several months to a year.

Iran has always denied wanting nuclear weapons, saying its activities are exclusively for peaceful purposes. Iran will get more than $400 million, plus $1.3 billion in interest.