"Iran unfortunately hasn’t changed its views," State Department deputy spokesman Tom Casey said following talks Thursday in Madrid between EU foreign policy chief Javier Solana and top Iranian negotiator Ali Larijani.
"They have not agreed to suspend their uranium enrichment activities as they are required to do under Security Council resolutions and that unfortunately means, I think, that where we wind up going is continuing down the negative pathway of sanctions," Casey told reporters.
"I suspect this will mean we will be starting very soon with some consultations on developing the next round of sanctions through a new UN Security Council resolution," he said.
Solana, negotiating on behalf of the United States and five other major powers dealing with the Iranian nuclear issue, is due to meet again with Larijani in the coming weeks.
US Secretary of State Condoleezza Rice expressed scepticism earlier Friday during a visit to Madrid that continued talks between Iran and the European Union would produce any movement from Tehran.
"The only question is, are we getting to a point at which the Iranians are prepared to suspend so that negotiations can begin," she said.
"I don’t see evidence of it."
The UN Security Council has already passed two resolutions imposing financial and other sanctions on Iran over its refusal to suspend uranium enrichment work many believe is a cover for developing nuclear weapons.
Iran, one of the world’s main oil producers, insists the program is aimed only at developing a civilian nuclear power industry.