The White House said the United States will use "all elements" of its national power to deal with Iran, after Tehran announced the launch of its first satellite into orbit.
White House spokesman Robert Gibbs told reporters Tuesday Iran's action does not convince the U.S. that Tehran is acting responsibly to advance stability or security in the region. He said there was "acute concern" over Iran's actions.
Iranian President Mahmoud Ahmadinejad announced earlier Tuesday that a domestically-built satellite entered orbit late Monday in what he called a step toward peace and justice. Iranian state media said the satellite entered space on an Iranian-made rocket.
A United Nations resolution prohibits Iran from engaging in any missile-related activity, which western countries fear could eventually be used to launch a nuclear weapon.
U.S. Secretary of State Hillary Clinton said Tuesday Iran has an opportunity to become what she described as a "productive member" of the world community. She noted President Barack Obama's willingness to have a dialogue with Iran if Tehran "unclenched its fist."
Clinton made the comments at a press conference with visiting British Foreign Secretary David Miliband. The British diplomat also said it is not too late for Iran to become a responsible member of the international community.
On Wednesday, envoys from France, Germany, the United States, China, Russia and Britain will review diplomatic efforts to get Iran to stop enriching uranium, a key process in developing nuclear weapons.
Iran said its nuclear program is only for peaceful purposes.
Some information for this report was provided by AFP, AP and Reuters.