TEHRAN (AFP) - Iranian President Mahmoud Ahmadinejad warned on Tuesday that world powers would regret any moves to slap new sanctions on Iran, while stressing that Tehran was still ready for a UN-brokered nuclear fuel deal. His latest salvo came as US Secretary of State Hillary Clinton toured the Gulf to seek backing for possible sanctions against Iran for defiantly pursuing its nuclear programme. If anybody seeks to create problems for Iran, our response will not be like before, the Iranian President told a packed news conference in Tehran. Something in response will be done which will make them (the world powers) regret their move, he said. Ahmadinejad said negotiations over a UN-drafted nuclear fuel exchange were not closed yet, and expressed readiness to buy the material even from Irans arch-foe the United States. He insisted that the exchange had to be simultaneous, an Iranian stance that has led to a deadlock over the deal. We are ready for an exchange even with the US. The US can come and give us their 20 per cent fuel and we will pay them if they want, or we can give them 3.5 per cent fuel, Ahmadinejad said. But the swap should take place simultaneously and we will put our fuel under the supervision of the (UN atomic) agency in Iran, he added without clarifying whether the exchange must take place inside the country as insisted on by other Iranian officials. Ahmadinejad also indicated Tehran could suspend enriching uranium to the 20pc level if world powers supplied it the required fuel for Tehran reactor. Russian President Dmitry Medvedevs spokesman told reporters in Moscow that Iran should improve its cooperation with the IAEA and that new sanctions were not excluded if it fails to fulfil its obligations. Ahmadinejad snubbed Hillary, saying that Iran did not take her comment about military dictatorship seriously. He said that Israel was mulling starting a war next spring or summer but has yet to make a final decision. But the resistance and regional states will finish them if this fake regime does anything again, he said without specifying who would be targeted. Iranian Foreign Minister Manouchehr Mottaki hit back at the US for saying that the Islamic state was moving towards a military dictatorship, accusing Washington of pursuing wrong policies in the Middle East. America has a wrong attitude towards the issues in the Middle East and it is the continuation of their past wrong policies, he said. He said that Turkey can help world powers understand Iran as it is familiar with Tehrans nuclear programme. After holding talks with his visiting Turkish counterpart Ahmet Davutoglu, Mottaki said Ankara was an important consultant on Tehrans nuclear programme. This can be of good help to clear ambiguities of others. We do not give special names such as mediator to consultations, but our Turkish friends are important consultants on the nuclear issue, Mottaki said at a joint news conference with Davutoglu.