Russia preparing military response to U.S. missile plan

Russia is preparing its own military response to the U.S.'s controversial plans to build a new missile defence system in eastern Europe, according to Kremlin officials, in a move likely to increase fears of a cold war-style arms race.

The Kremlin is considering active counter-measures in response to Washington's decision to base interceptor missiles and radar installations in Poland and the Czech Republic, a move Russia says will change ``the world's strategic stability''.

The Kremlin has not publicly spelt out its plans. But defence experts said its response was likely to include upgrading its nuclear missile arsenal so that it is harder to shoot down, putting more missiles on mobile launchers, and moving its fleet of nuclear submarines to the North Pole, where they are virtually undetectable.