The European Union and United States will agree at a summit on Monday that climate change is a significant challenge that requires immediate, ongoing global action, according to a draft statement seen by Reuters. German Chancellor Angela Merkel, in her first visit to Washington since becoming the president of the EU, is aiming to persuade the Bush administration to implement concrete measures to reduce the greenhouse gases responsible for climate change. Merkel is hoping that the joint statement will set the stage for a more comprehensive agreement on combating global warming at a June G8 summit that she will host in the Baltic resort of Heiligendamm. "I believe we have made progress on climate and energy efficiency," she told reporters in Washington before her meeting with US President George W. Bush. "We hope to use this as a basis for a broader agreement at the summit among the G8 countries, and possibly also India and China." The announcement regarding energy security, efficiency, and climate change will be accompanied by a broader initiative called the "Transatlantic Economic Partnership," which aims to reduce costly non-tariff barriers to trade between the EU and United States. As part of this agreement, the partners will work together to align regulatory standards and collaborate on issues such as intellectual property, trade security, investment, and financial markets. A council, led by EU Industry Commissioner Guenter Verheugen and White House economic adviser Allan Hubbard, will be established to oversee the progress of regulatory alignment and provide annual reports to EU and US leaders. In addition to these discussions, Merkel and Bush will also address various international issues, including Iran's nuclear program and Middle East peace. Recent tensions in Russian relations have become a focal point following a strong speech by President Vladimir Putin criticizing US plans for a missile shield in central Europe and suspending Moscow's commitments under a key arms treaty. Washington believes that the proposed shield would defend against threats from countries like Iran and North Korea, however, Moscow views it as a potential threat and infringement on its former sphere of influence. Merkel emphasized the importance of discussing this issue with Russia through the NATO-Russia council, despite stating that it would not be the main focus of her talks with Bush. The joint declaration on climate change has been praised by German officials as progress for the Bush administration, although it does not include specific commitments. The draft highlights the commitment of the EU and US to address greenhouse gas emissions and recognizes the findings of the IPCC report, which warned of the impacts of rising temperatures. It calls for the development and implementation of advanced technologies to reduce global emissions and promises cooperation at the upcoming U.N. meeting on climate change in Bali, Indonesia. During her fourth trip to Washington, Merkel has forged a strong bond with Bush, mending relations that suffered during her predecessor's disagreements with the US president over the Iraq war. However, as the Heiligendamm summit approaches, she must convince Bush to support more comprehensive, enforceable global measures to combat climate change. German officials are worried that the escalating tensions between Washington and Moscow over the missile shield and the impending conflict over Kosovo independence could overshadow the upcoming summit on June 6-8.