France to cut nuclear arsenal

By Matthias Blamont

CHERBOURG, France (Reuters) - French President Nicolas Sarkozy announced cuts in France's atomic arsenal on Friday but vowed to keep a strong enough deterrent against threats such as the possibility of a nuclear-armed Iran.

Speaking at the launch of France's fourth of its latest generation of nuclear-armed submarines, the "Terrible" (Fearsome), Sarkozy said his nation had to face new security threats, including Iran, and needed to be able to strike back forcefully if attacked.

"Everyone must be aware today that even far-flung powers' nuclear missiles can reach Europe in less than half an hour," Sarkozy said in a speech at the northern port of Cherbourg.

While only major powers had such means today, countries in Asia and the Middle East were conducting a "forced march" to acquire such ballistic missile capabilities, he added.

"I am thinking in particular of Iran. Iran is increasing the range of its missiles while grave suspicions hang over its nuclear program. Europe's security is at stake," he said.

Sarkozy noted that an experts' commission would present proposals on security and national defense reform in coming weeks but he said the defense budget would not be cut.

"The defense budget is the second biggest in the state. It will stay that way and it will not decline," he said.

But he pledged to keep tight control of spending on France's nuclear deterrent, which he said matched the equivalent of half the national justice or transport budgets and said the atomic arsenal would be kept to the strict minimum necessary.