Summit agenda: Deaglán de Bréadún and Denis Staunton preview the agenda for today's EU-US Summit at Dromoland Castle.
There is a popular perception that the EU-US Summit is actually a state visit to Ireland by President Bush at the invitation of the Government. In fact, the summit is an annual event and the location alternates between the US and the territory of the EU member-state currently holding the European presidency.
The last summit was in June 2003 in Washington DC, so on this occasion it is Ireland's responsibility as occupant of the EU presidency to host the summit.
Iraq will dominate this morning's proceedings, although it is only one of a wide range of issues on the agenda. The recent unanimous adoption of a UN Security Council resolution on Iraqi reconstruction has contributed to a new mood of unity between Europe and the US and a common determination to stabilise the country, for fear the turmoil could spread throughout the region.
The enterprise has acquired an added urgency due to the imminent transfer of sovereignty to an indigenous Iraqi administration next week.
Given the conflicting approaches to the Iraqi war among EU member-states it is unlikely that a major stand-off will develop between the two sides over the alleged treatment of prisoners by US forces at Guantanamo Bay and Abu Ghraib.
A more focused discussion on this issue is likely to take place at the bilateral meeting between the Taoiseach, Mr Ahern, and Mr Bush, prior to the actual summit.
It may also come up during a meeting between President McAleese, who has a distinguished legal background, and Mr Bush.
More generally, Mr Bush is keen to promote the wider Middle East initiative for reform throughout the region.
Following intense negotiations, a common statement is now due to be agreed which reflects both the US desire to propagate Western-style democracy and Europe's wish to maintain the long-standing and cordial relations it enjoys with the Arab world.
The joint efforts of the two sides to combat international terrorism will also be a focus of interest. The summit is expected to discuss and issue declarations on halting the proliferation of weapons of mass destruction, on HIV/AIDS and, following intense Irish lobbying, the humanitarian crisis in the Sudanese region of Darfur.
The two sides will also discuss a range of economic issues, including a European threat to impose over $4 billion dollars in sanctions on the US in response to Washington's flouting of world trade rules.
The transatlantic economic relationship is of immense importance to both sides, with almost a quarter of EU exports going to the US and direct investment between the EU and the US worth over €1.5 trillion. European direct investment in the US was worth €889 billion in 2002 and US direct investment in the EU amounted to €650 billion.
Negotiations on an open skies agreement that would allow European and American airlines greater flexibility on transatlantic routes are well advanced.
The two sides hope to use the summit to add impetus to other efforts to reduce trade barriers and to minimise regulatory differences in the EU and the US.
The World Trade Organisation (WTO) has authorised the EU to impose sanctions on the US in response to American breaches of trade rules.
The trade dispute centres on a number of US measures that offer advantages to American companies abroad.
They include legislation exempting foreign subsidiaries of US corporations from US tax which the EU claims has saved American companies in Europe billions of euro.
The EU hopes to avoid an escalation of the dispute which could damage European producers as well as their US counterparts and will seek to use the summit to reduce tensions.
The two sides will sign a co-operation agreement committing themselves to make Europe's new satellite navigation system, Galileo, compatible with the existing US Global Positioning System (GPS). Galileo is expected to create 150,000 jobs in Europe, with the first test satellite being launched next year. The President of the European Commission, Mr Romano Prodi, said in advance of today's meeting: "I am confident that this summit will be an opportunity to revitalise our partnership with the US.
"This partnership is indispensable not only for the transatlantic community but for the world at large. A reunited Europe will help revitalise the EU-US relationship."
This summit will not only be the first after enlargement of the EU by 10 new member-states but also the first since the EU adopted its Constitutional Treaty which is intended to give greater momentum and cohesion to EU foreign policy.