Just a day after the foreign ministers of 27 European Union member states approved a new round of sanctions against Iran, the measures came into force on Tuesday.

The latest package of steps goes further than the recently approved sanctions of the United Nations Security Council. The EU joins Canada and the United States in imposing tougher restrictions than those endorsed by the UN on June 9.

The European decision will affect Iranian banks, the Islamic Revolutionary Guard Corps and the Islamic Republic of Iran Shipping Lines.

The sanctions include "restrictive measures against Iranian sectors, such as trade, financial services, energy and transport, and certain individuals and companies (visa ban and freezing of assets)," read a statement from the EU Council of Ministers.

After the meeting, EU High Representative for Foreign Affairs and Security Policy Catherine Ashton spoke with the media about the decision.

"We sent quite a powerful message to Iran. Its nuclear program is giving us problems. We invite Iranians to return to the negotiating table," she said.

EUROPEAN POSITION

Like the U.S., Israel and others in the West, the EU is highly sceptical of Iranian claims that its nuclear program is purely for the purpose of creating electricity for civilian use. The EU believes Tehran has a secret nuclear weapons program.

In addition to approving the new punitive measures, the European foreign ministers urged Iran to agree to hold talks with Ashton and the six negotiating countries (U.S., China, Russia, France, Britain and Germany).

"The aim of the EU is a settlement which would rebuild international confidence that Iran's nuclear program is exclusively peaceful," the EU statement said.

There would be clear benefits for Tehran if it were to comply. "The ultimate goal of the EU is to establish a comprehensive relationship with Iran, involving cooperation in all fields, nuclear energy for peaceful purposes included," the statement added in conciliatory tone.

Responding to the European move, Iran said it is doomed to fail. The official Iranian news agency IRNA published an analysis accusing the EU of merely copying and even outdoing the Americans in a bid to play a role in the region.

"This time, the EU seeks to overtake its ancient ally, the U.S., in exerting pressure over Iran. Observers say that the EU sanctions against Iran will have nothing but its deprivation from the benefits of the economic and commercial ties with Iran," IRNA suggested.

The EU decision was taken at the same time as Tehran announced it was interested in resuming talks with the International Atomic Energy Agency. Ashton gave the development a cautious welcome.