Russia's threat to aim weapons at Europe if the US sets up a missile defence shield there was "unhelpful and unwelcome", Nato officials said, as cited by BBC.

The US says it wants missile defence in eastern Europe to counter threats from states like Iran and North Korea.

On Sunday, Russian President Vladimir Putin said Iran was not a threat to the US, hinting that Russia was the target.

Putin issued his warning in an interview with foreign reporters ahead of the G8 meeting.

"If the American nuclear potential grows in European territory, we will have to have new targets in Europe," Mr Putin said.

He said neither Iran nor North Korea had the weapons that the US was seeking to shoot down.

"We are being told the anti-missile defence system is targeted against something that does not exist. Doesn't it seem funny to you?" he asked.

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