Khamenei rejects US talks in setback to Trump hopes for a nuclear deal

Iran's Supreme Leader Ali Khamenei firmly rejected the idea of negotiations with the United States on Friday, appearing to pour cold water on optimism by US President Donald Trump and his own government for a nuclear deal.

Trump on Tuesday reinstated the so-called maximum pressure policy on Iran from his first term but said he preferred a deal. Relative moderate President Masoud Pezeshkian has publicly expressed openness to US talks.

“Negotiating with such a government should not be done; it is neither wise, intelligent nor honorable,” the the 85-year-old veteran theocrat who has the ultimate say over Iranian policy told a group of air force personnel in Tehran.

Khamenei accused Washington of perfidy over the last international nuclear deal in 2015, from which Trump withdrew the United States in 2018.

The comments were his strongest since Trump returned to office and come after the hawkish US president appeared to offer Tehran an olive branch this week, saying, "I really want to see peace ... (but) they cannot have a nuclear weapon".

"It's very simple. I'm not putting restrictions. They cannot have one thing," Trump said.

Iranian officials including Pezeshkian quickly said proving the peaceful aims of Iran's nuclear program to Trump could be easily done. US ally and Iran's arch-foe Israel says Tehran is aiming for a bomb, which it views as an existential threat.

Trump this week shocked the region by mooting the takeover of Gaza by US troops and its redevelopment into the "Riviera of the Middle East" - an idea Khamenei pilloried.

“The Americans sit and redraw the world map on paper—but it’s only on paper, with no basis in reality. They make statements about us, express opinions and issue threats."

"If they threaten us, we will threaten them. If they act on those threats, we will do the same. If they undermine our nation's security, we will undoubtedly respond in kind,” he added.

Trump's harsh sanctions directive was followed by a statement from President Trump on his social media platform Truth Social saying any reports of a devastating US-Israeli attack on Iran were "greatly exaggerated".

This sparked debate within Iran's political establishment and prompted some to urge President Masoud Pezeshkian to engage in talks to avoid further economic sanctions.

Khamenei's latest statement comes in direct contrast to those calls, offering a vague warning of retaliation against the US without clarifying whether he was referring to military action or other forms of pressure.

Iran's leader also rejected the notion that talks could ease Iran's economic hardships.

“Negotiations with the United States have no impact on solving the country's problems. We must understand this correctly and not be misled into thinking that sitting at the negotiation table with that government will resolve certain issues. No, negotiations with the United States will not solve any problems,” Khamenei said.

Iran’s economy has deteriorated significantly since 2018, when Trump imposed new oil export and banking sanctions, a decline compounded by decades of mismanagement, corruption, and prioritizing funding for terrorism over domestic welfare.

The national currency has lost 95% of its value, plummeting 22-fold, while inflation has remained around 40% for the past five years. Some official estimates indicate that more than a third of the population now lives below the poverty line.