The two sides did agree, however, to try to create working groups by June that would discuss "areas of common interest," including climate modeling and renewable fuels.

Last year, the Bush administration announced the United States would not participate in the Kyoto Treaty, an international attempt to limit greenhouse gas emissions by industrial countries.

At the time, President George W. Bush said the Kyoto Treaty's goal of reducing U.S. emissions by about 5.2 percent of 1990 levels during 2008-2012 would be too costly to the American economy.

The move irked the EU and other countries who embraced the Kyoto pact.

In its place, Bush earlier this year unveiled a "Clear Skies" initiative calling for mandatory 70 percent cuts in emissions of three major pollutants by 2018 using a cap-and-trade system.

The plan, however, would not require reductions in carbon emissions from power plants and factories linked to global warming, which scientists warn could lead to massive flooding and rising ocean levels.

The United States is the world's largest emitter of so-called greenhouse gases, with most of it produced by utilities and industrial plants.

Holding their first bilateral meeting on the subject Yesterday, U.S. officials met with Margot Wallstrom, European commissioner for environment, as well as representatives from Spain and Denmark.

The United States already has held similar bilateral meetings with Japan, Italy, Australia and Canada.

The State Department official, who asked not to be identified, said the EU team "welcomed" U.S. moves to reduce greenhouse gases but noted the Clear Skies plan "still would lead over the next 10 years to an absolute increase in emissions."

"We responded that an absolute reduction in emissions was economically unrealistic for us," the U.S. official added. Instead, he said, the Bush administration was taking the "first step by slowing growth" of emissions.

In a statement Monday, Wallstrom said, "It is important that we work together with the U.S., even if we disagree on some specific issues, such as climate change. There is scope for cooperation on many issues and we can make a decisive impact to ensure a successful outcome at the Johannesburg Summit if we join forces."