Iran has dismissed USA calls for the quit of missile program development, and it has stressed that its nuclear program is peaceful.
At least 8,000 people have been arrested as anti-government protests in Iran enter their third week.
Robert Malley, who worked on the National Security Council under former President Barack Obama, said, "In a nutshell, he's saying, 'Kill the deal with me, or we'll kill it alone'".
Tehran member of parliament Mahmoud Sadeghi said on Tuesday that 3,700 people have been detained since protests broke out in late December. But any bill he sign must include these four critical components.
He said he is open to working with Congress on bipartisan legislation regarding, but any bill must include four components: demanding that allow immediate inspections at all sites requested by worldwide inspectors; ensuring that "never even comes close" to possessing a nuclear weapon; eliminating any expiration date; and denying all paths to a nuclear weapon.
Iran says its nuclear program is only for peaceful purposes. Iran tends to denounce all sanctions as American violations of the nuclear deal. "My policy is to deny Iran all paths to a nuclear weapon - not just for 10 years, but forever". Had he sanctioned the bank, there was speculation that Iran would view the deal as effectively abrogated. "Fourth, the legislation must explicitly state in United States law - for the first time - that long-range missile and nuclear weapons programmes are inseparable, and that Iran's development and testing of missiles should be subject to severe sanctions".
The agreement, known as the Joint Comprehensive Plan of Action, restricted Iran's controversial nuclear program in exchange for broad relief from worldwide sanctions. "Abandoning the nuclear deal with Iran will not lead to more stability but rather would endanger world peace".
Britain, France and Germany had called on Trump on Thursday to uphold the pact.
The spokesman for the Iranian parliament presiding board has warned that in case the USA violates the 2015 nuclear deal, called the Joint Comprehensive Plan of Action (JCPOA), the Islamic Republic's reaction would surprise the world.
"This is the last such waiver he will issue", a senior administration official told reporters on Friday.
A report this week by analysts at the NY financial services company Citigroup said any move to weaken the nuclear deal would cause the "dislocation of at least 500,000 barrels a day of Iranian crude oil exports, especially those going to Korea and Japan, as well as to some European countries", according to CNBC.
"I don't think anybody has so far produced a better alternative", said the Foreign Secretary, Boris Johnson.
The announcement came as the Treasury Department placed sanctions on 14 individuals and entities for alleged offenses unrelated to Iran s nuclear industry. Plus, Russia has more strategic interests in common with Iran now - especially in propping up Bashar Assad and extending Iranian hegemony in the Middle East at the expense of Saudi-US influence.
"I hereby call on key European countries to join with the United States in fixing significant flaws in the deal, countering Iranian aggression, and supporting the Iranian people", he said.
They've been lobbying hard to keep the Trump administration in, arguing that the deal is working.
The EU said in a statement it had taken note of Trump's decision and would assess its implications.