Following a meeting with US president Barack Obama at the United Nations general assembly on Wednesday, Mr Medvedev conceded that 'in some cases, sanctions are inevitable'.
The meeting between the two leaders was the first since Mr Obama announced the scrapping of US' controversial missile defence shield in Eastern Europe.
The declaration of the need for sanctions by the Russian president is something of a victory for Mr Obama who is continuing to push world leaders in backing the need for sanctions if Tehran fails to address concerns about its nuclear activities.
China is now the only remaining UN security council member not to support the need for sanctions, but following a meeting of foreign ministers on Wednesday, it too now seems ready to consider the need for them.
Iranian president Mahmoud Ahmadinejad again caused controversy during his address to the general assembly when his comments against Israel caused a number of delegates, including those from Britain, to walk out.
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