The United States and European powers are negotiating over a possible "supplemental" agreement to the Iran nuclear deal that would address Iran's ballistic-missile development and involvement in Middle East conflicts, a U.S. diplomat said.

U.S. envoy Brian Hook said the allies had "very good" talks about a "supplemental" accord in Vienna on March 16 as Reuters reported that Britain, France, and Germany have proposed new European Union sanctions against Iran over its ballistic-missile program and its role in the Syrian civil war.

Hook said U.S. President Donald Trump wants to reach a side agreement with the three European signatories to the 2015 nuclear deal to address the missile program and Iran's interventions in conflicts in Syria and Yemen.

Trump also wants the side deal to correct what he has called "disastrous flaws" in the nuclear agreement, in particular its limits on inspections of potential Iranian nuclear sites by a UN watchdog, and the scheduled expiration of some of the key curbs on Iranian nuclear activities such as uranium enrichment after 10 years under the deal.

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