In written conclusions after a two-day summit, the EU leaders said they "warmly congratulated" Bush after he defeated Democratic challenger John Kerry this week.

"Our close transatlantic partnership, based on shared values, is fundamental for Europe's approach to building international peace, security and prosperity," the statement said.

"Our deep political, economic and cultural ties make us each other's natural and indispensable partners."

Transatlantic ties soured badly during Bush's first term over acrimonious differences on issues including the Iraq war, global warming and the International Criminal Court.

But the EU leaders said Europe and the United States "share a responsibility in addressing key threats and challenges", including the Middle East, terrorism, weapons of mass destruction, AIDS and the fight against poverty.

Both sides should also "cooperate closely" to ensure a successful outcome of the World Trade Organisation's Doha round of liberalisation talks.

"The EU and its member states look forward to working very closely with President Bush and his new administration to combine efforts, including in multilateral institutions, to promote the rule of law and create a just, democratic and secure world," the statement concluded.

The EU's current chairman, Dutch Prime Minister Jan Peter Balkenende, reinforced the message in a telephone call Friday to Bush, a Dutch presidency statement said.

"In turn, Bush assured Balkenende of his intention to invest in the relationship with Europe," it said.

At his first post-election press conference, Bush pledged to work closely with "those who share our goals" and pointed to the war on terrorism he declared after the September 11, 2001 attacks as a unifying force.

"I'll continue to reach out to our friends and allies, our partners in the EU and NATO, to promote development and progress, to defeat the terrorists and to encourage freedom and democracy as alternatives to tyranny and terror," he said.

British Prime Minister Tony Blair said Friday that European leaders were waking up to the "new reality" of Bush being back in power.

Speaking at the EU summit, Blair said he was not pointing fingers at any one country, after France and Germany led EU opposition to the US-led war in Iraq.

"What I'm really trying to say is, we've got to move on now, there's a new reality, so let's work with that reality," he told reporters after meeting Iraqi interim leader Iyad Allawi here.

But French President Jacques Chirac, while also congratulating Bush, said that Europe should bolster its own power on the world stage.

"It is obvious that the assertion of strong American policy leads (us) quite naturally to reinforce Europe on political and economic fronts," he said.

Chirac also played down the significance of opinion polls showing overwhelmingly negative public reaction in France to Bush's re-election. "I don't think that the French have cause for concern," he said.

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