Iran said Tuesday it would boost its military might and also unveiled a new fighter jet amid increased tensions with the United States and with regional rivals over conflicts in the Middle East.

Iranian President Hassan Rouhani said the Islamic Republic's military prowess was what deterred Washington from attacking it, adding that under President Donald Trump the United States was becoming isolated even from its own allies.

"We should make ourselves ready to fight against the military powers who want to take over our territory and our resources," Rouhani said in a speech broadcast live on state television ahead of Wednesday's National Defense Industry Day.