Leaders of the European Union are expected to produce a joint action plan against illegal immigration during the second day of their summit in Seville.
Britain, Spain and Germany have been forced to give way on tough measures in the light of French and Swedish opposition.
A compromise is likely to stress rewards rather than punishment to control illegal migration.
EU leaders will also review plans to expand membership to countries in central and eastern Europe in 2004, and the redesign of the EU's decision-making processes.
On the first day of the summit on Friday, three car bombs blamed on the Basque separatist group, ETA, exploded - two in southern coastal towns, and another in the city of Zaragoza.
Rasmussen: Sticking to the timetable
Six people were injured in the first blast near a hotel in the resort of Fuengirola; a second bomb then went off in the centre of Marbella.
On Friday, firm opposition from France and Sweden forced Spain and Britain to scale down controversial demands to impose penalties on poor nations deemed not to be cooperating with measures to seal holes in the EU's outer borders.
However, agreement is expected on unified procedures for handling asylum applications.
British ministers are also predicting a pledge to implement the much-ignored requirement that asylum seekers have their applications processed in the EU country of arrival.
Leaders are eager to find a common strategy on immigration - an issue which has been key to the success of several far-right parties in a string of recent elections across Western Europe.
New members
Ten new members are due to join the EU by 2004, with accession talks due to be concluded by the end of this year.
EU leaders are keen to reassure aspiring members that disputes about how to extend farm and regional subsidies to a broader union will not slow down the process.
"We can stick to the timetable... there is no delay" said Danish Prime Minister Anders Foch Rasmussen, whose country takes over the EU presidency from Spain next month.
Two other east European countries - Bulgaria and Romania - are not expected to join the EU before 2007 at the earliest.
Spanish Foreign Minister Josep Pique raised the possibility that the EU may set a starting date before the end of the year for accession talks with Turkey.
Ankara has long sought to join the EU, but has made little progress because of concerns about its human rights and economic records.
On Saturday, EU ministers will also hear a report from former French President Valery Giscard d'Estaing, who is reviewing EU institutions.
He has been charged with ensuring that EU can function effectively when it expands from 15 to 25 members, without getting bogged down in bureaucracy.
Immigration divisions
On Friday, Spain had argued for a tough line on immigration to ease Europeans' fears of being swamped by foreigners - concerns which have been exploited successfully by far-right and populist parties across the continent.
"Without a response from the European governments, it will be increasingly easy for political formations with a xenophobic approach to win public support," said Spanish Foreign Minister Josep Pique in an interview with El Mundo.
"Our response must be realistic and based on taking measures that aren't pleasant to adopt but which will produce essential results," he said.
But pressure from France in particular is thought to have forced a climbdown.
Along with Sweden and Luxembourg, France says it would be counter-productive, arguing that it would further impoverish countries and thereby increase the number of people wanting to leave.
"We must encourage, convince and cooperate rather than sanction," said French President Jacques Chirac.
"We cannot accept the principle of conditionality for aid. We are opposed to any sanction on aid."
(China Daily June 24, 2002)
