Russia may build up its nukes without European ABM deal

Russia will have to develop its own offensive nuclear forces if it fails to reach agreement with NATO on European missile defense, Defense Minister Anatoly Serdyukov said after Wednesday’s meeting in Brussels of the Russia-NATO Council. “It’s the only way to go, otherwise we’ll have to launch an arms race,” Serdyukov said. NATO Secretary General Anders Fogh Rasmussen said, for his part, that the alliance was responsible for protecting all its member-countries and was not going to share this responsibility with non-members. “Our vision is of two independent systems with a shared objective,” he emphasized.

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I personally believe they're bluffing. Russia doesn't have the industrial capacity for an arms race.

Russia doesn't need industrial capacity.

They have money. Well, more so than the other parties involved.

This arms race, if it develops, will probably end just like the last one...first country to go broke looses.

Right now, that puts Russia in a very good position (not top, but closer than most).