President Donald Trump has repeatedly criticised the 2015 nuclear agreement between Iran, the US and five other world powers.
His administration said Iran was "on notice" over a recent ballistic missile test, and imposed new sanctions on more than two dozen Iranian companies and individuals.
Iranian Foreign Minister Mohammad Javad Zarif mocked "the concept of crippling sanctions" as he spoke Sunday at the Munich Security Conference.
He said: "Iran doesn't respond well to threats. We don't respond well to coercion. We don't respond well to sanctions, but we respond very well to mutual respect. We respond very well to arrangements to reach mutually acceptable scenarios.
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