US extends sanctions relief under Iran nuclear deal

US President Donald Trump on Wednesday extended wide sanctions relief for Iran called for under a 2015 international nuclear deal even as he imposed narrow penalties on Iranian and Chinese figures for supporting Iran's ballistic missile programme.

The dual actions, announced by the Departments of State and Treasury, appeared intended to signal a tough stance on Iran even as Trump continued predecessor President Barack Obama's pact under which Iran agreed to limit its nuclear programme in return for sanctions relief.

The move means that sanctions preventing any US companies selling to or dealing with Iran will remain suspended for the time being.

The new sanctions from the Treasury are much more specific in scope, targeting two senior Iranian defence officials and suppliers of missile equipment, in apparent retaliation for a recent missile test, and for Iran's support of President Bashar al-Assad in Syria.

However, the White House stopped short of failing to renew the waivers on more widespread sanctions, which are not permanent and were due to expire this week.

Trump has described the landmark agreement as the "worst deal ever", saying he would "dismantle the disastrous deal with Iran" .

"The United States continues to waive sanctions as required to continue implementing US sanctions-lifting commitments in the Joint Comprehensive Plan of Action," the State Department said in a statement, referring to the deal by its formal name.