France, Italy and Germany are "ready to consider" imposing sanctions on foreign powers that violate an arms embargo in Libya, a joint statement by the EU countries' leaders said Saturday.

French President Emmanuel Macron, German Chancellor Angela Merkel and Italian Prime Minister Giuseppe Conte urged "all foreign actors to end their increasing interference and to fully respect the arms embargo established by the United Nations Security Council" in a joint statement issued by the French presidency after meeting in Brussels.

"We are ready to consider the possible use of sanctions should breaches to the embargo at sea, on land or in the air continue and look forward to the proposals the EU High Representative/Vice President will make to this end," it added.

Libya has been locked in a civil war since its former leader Muammar Gaddafi was ousted and killed in 2011.

The situation escalated in 2014, splitting power between two rivals with warring forces, namely the UN-backed Government of National Accord based in the capital Tripoli and the eastern-based Libyan National Army led by eastern commander Khalifa Haftar.

Turkey has provided air support, weapons and allied fighters from Syria to help the Tripoli-based government while Haftar is backed by the United Arab Emirates, Egypt and Russia. 

The Tripoli-based government on Saturday moved fighters closer to Sirte, a gateway to Libya's main oil terminals, which the government says it plans to recapture from Haftar's forces. 

France has itself faced criticism for its ambiguity with regard to Haftar, having previously backed him in the fight against ISIL militants. 

Saturday's joint statement was the first time the three major powers had threatened sanctions amid fears of a new escalation on the ground. 

"We share serious concerns about the mounting military tensions in this country and the increased risk of regional escalation," they said. "We therefore call on all the Libyan parties and their foreign supporters to immediately cease the fighting and put an end to the ongoing military escalation across the country." 

Diplomats have said European Union nations could also consider imposing sanctions on individuals from both Libyan sides.

(With input from agencies)