Trump is also urging Congress to reform USA law so the president is no longer required to declare every 90 days whether he thinks Iran is in compliance, or to renew sanctions waivers every 120 or 180 days.
He said he's waiving nuclear sanctions under the terms of the Joint Comprehensive Plan of Action upon advice from his advisers.
One of the criticisms levelled at the nuclear deal is that it does nothing to address Iran's continuing ballistic missile program and involvement in conflicts such as Yemen and Syria. Trump wants them to help the US devise a new agreement created to prevent Iran from escalating nuclear activity again next decade, as permitted under the 2015 arrangement reached by President Barack Obama.
Trump said on Friday he would waive nuclear sanctions against Iran for the last time to give Washington and its European allies a chance to fix the "terrible flaws" of the 2015 nuclear deal.
A man who has taken power in the United States is unfortunately addressing the world nations with 'vulgar and unacceptable words, ' Iranian foreign minister said here on Saturday.
With the announcement Friday, Trump also said the Treasury Department is sanctioning 14 more Iranian individuals and entities.
But the officials also want the triggers to include Iran's growing ballistic missile program, which was not part of the nuclear deal, and to remove sunset clauses that allow some nuclear restrictions to ease or phase out over time.
"If at any time I judge that such an agreement is not within reach, I will withdraw from the deal immediately", he added.
So far, Trump has continued to follow Obama's lead in regularly signing sanctions waivers so that USA economic measures against Tehran do not "snap back". "We are targeting the head of Iranian regime, including the head of Iran's judiciary for the appalling treatment of its citizens, including those imprisoned only for exercising their right to freedom of peaceful assembly and for censoring its own people as they stand up in protest of their government".
Washington policy hawks hailed Trump's decision, which they said would concentrate minds in Europe, where leaders have urged the USA president not to sabotage a deal they see as a landmark diplomatic success.
European allies had strongly urged the White House to stick with the nuclear deal, saying a decision to abandon it would strain the transatlantic partnership.
The EU said it would hold internal consultations and was "committed to the continued full and effective implementation" of the deal.
French President Emmanuel Macron called Trump on Thursday and stressed France's determination to see "the strict application of the deal and the importance of all the signatories to respect it".