Germany says Iran's defiance merits fresh sanctions

Iran's failure to comply with the wishes of the United Nations over its nuclear programme is forcing the international community to pursue fresh sanctions against it, the German government said on Friday. 

"The persistent defiance ... of United Nations resolutions and Tehran's continuation of a dangerous nuclear policy are forcing the international community to pursue further comprehensive sanctions in New York against the regime in Tehran," government spokesman Ulrich Wilhelm said.

German Chancellor Angela Merkel was still "extending her hand" towards Iran and remained committed to reaching a diplomatic solution, Wilhelm told a regular news conference. 

"We rule out a military solution," he said. 

UN nuclear watchdog the International Atomic Energy Agency said on Thursday Iran may be working to develop a nuclear-armed missile, throwing independent weight behind Western suspicions of an active Iranian weapons programme.

A confidential report by the agency for the first time suggested Iran was actively chasing nuclear weapons capability now, rather than merely having done so in the past.