President Barack Obama yesterday shelved a Bush-era plan for an Eastern European missile defense plan that has been a major irritant in US relations with Russia. He said a redesigned defensive system would be cheaper, quicker and more effective against the threat from Iranian missiles.

Russia said it would welcome abandonment of the plans, which have been a major source of Russian-US tensions.

The shield, involving interceptor missiles in Poland and a radar complex in the Czech Republic that represented billions of dollars in defense contracts, was promoted by Obama's predecessor George W. Bush to defend against any missile launches from "rogue" states such as Iran and the Democratic People's Republic of Korea.