UPDATE 1430 GMT: The Supreme Leader has backed the continuation of the Rouhani Government’s efforts to establish European economic links, but has put the priority on his vague declaration of a “Resistance Economy” for self-sufficiency.

Ayatollah Khamenei told an audience of Iranian ambassadors and diplomats in Tehran, “Negotiations with the Europeans should not be cut off, but we should not wait too long for a European package and instead, we should do a lot of work inside the country.”

Khamenei spent much of the talk denouncing the US, “I have long pointed out that it is not possible to count on the words and even the signatures of the Americans, so negotiations with the United States are of no avail.”

But his most provocative statement was an apparent threat to hinder the oil exports of other countries as Iran’s own sales are reduced by sanctions.

Referring to remarks last week by President Hassan Rouhani as “important”, Khamenei said Iran’s Foreign Ministry should take “adequate measures”.

It was unclear if Khamenei was also endorsing a threat by Iranian military commanders to block movement of tankers through the Strait of Hormuz, at the top of the Persian Gulf.


Iran is showing concern as US officials visit Turkey to discuss the expansion of American sanctions on Tehran.

A delegation of US Treasury and State Department officials held talks with Turkish officials on Friday over financial restrictions, widened by Donald Trump’s May 8 withdrawal of the US from the July 2015 nuclear deal between Iran and the 5+1 Powers.

After a five-year downturn from a high of $21.9 billion in 2012, Iranian-Turkish trade rose in 2017. An ambitious annual target of $35 billion was set under a preferential trade agreement.

Iran had a surplus of $4.2 billion on trade with Turkey last year.

The Trump Administration is threatening punishment of any foreign firm with US ties which trades and invests with Iran from November. Turkey’s Foreign Ministry said:

Turkish authorities are carrying out the necessary work for Turkey not to be negatively impacted by the upcoming sanctions and holding consultations with our American counterparts.

Iran is an important neighbor for Turkey, in view of both our bilateral economic and commercial relations as well as our energy imports. Therefore, we will continue to monitor U.S. sanctions within this framework.

With the Rouhani Government’s efforts for European Union trade and investment in trouble amid both US pressure and the scepticism of the Supreme Leader’s office — and with India appearing hesitant to step up links with Tehran — Turkey and China are assuming even greater importance as saviours for a troubled Iranian economy.

Tehran Friday Prayer leader Ayatollah Ahmad Khatami tried to rally worshippers:

The Supreme Leader has offered instructions on diplomatic activities.

We have diplomatic ties with the entire world except the US and the Zionist regime, since the regime is a fabricated one, and the diplomatic relations with the US will not be established until it comes to its senses.