Germany's Chancellor Angela Merkel has said it is "really not on" for friends to spy on each other, referring to alleged US snooping on her phone calls.
On arrival at an EU summit in Brussels Mrs Merkel said "we need trust between allies and partners, and such trust needs to be restored".
She said she had given that message to US President Barack Obama when they spoke on Wednesday.
Other EU leaders also voiced concern about the scale of US surveillance.
The spying row threatens to overshadow EU talks on the economy and migration. Mrs Merkel has demanded a "complete explanation" of the claims, which came out in the German media.
She grew up in former communist East Germany, where secret police surveillance was pervasive.
The Dutch Prime Minister Mark Rutte said the alleged spying on Mrs Merkel's mobile phone calls was "serious" and added: "I will support her (Merkel) completely in her complaint and say that this is not acceptable - I think we need all the facts on the table first".
Finland's Prime Minister Jyrki Katainen echoed him, saying "we have to get clarification of what has happened and we also need a guarantee that this will never happen again, if it has happened".
Germany summoned the US ambassador in Berlin over the alleged spying.
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| Angela Merkel has asked for an "immediate explanation" from the US |
Foreign Minister Guido Westerwelle was meeting US envoy John Emerson in what is seen as an unusual step between close allies.
Mrs Merkel discussed the issue with President Obama on Wednesday. He told her the US was not monitoring her calls and would not in future, the White House said.
However, it left open the question of whether calls had been listened to in the past.
Cutting red tape
The formal agenda for the summit focuses on efforts to consolidate Europe's fragile economic recovery and to create a single market in digital services.
British PM David Cameron will also call on the EU to cut red tape on business.
But France's President Francois Hollande is pressing for the spying issue to be put on the agenda, following reports that millions of French calls have been monitored.
The veteran French EU Commissioner Michel Barnier told the BBC that "enough is enough", and confidence in the US had been shaken.
Mr Barnier, the commissioner for internal market and services, said Europe must not be naive but develop its own strategic digital tools, such as a "European data cloud" independent of American oversight.
The digital economy is on the official summit agenda for Thursday evening.
One of the key initiatives of the European Commission is its Digital Agenda for Europe, which it says "aims to reboot Europe's economy and help Europe's citizens and businesses to get the most out of digital technologies".
Council officials say investment in the digital economy is vital to boost growth, which is creeping back to the European economy. They want to address market fragmentation and a perceived shortage in IT skills.
Mr Cameron is likely to use the economic discussion to raise what Britain sees as a proliferation of red tape.
He said last week: "All too often EU rules are a handicap for firms," and that small business owners "are forced to spend too much time complying with pointless, burdensome and costly regulations".
Shop owner Roger George says red tape and regulations are a burden on his business
The European Commission - which makes the rules - has recognised that it may have gone too far in some places.
President Jose Manuel Barroso says he wants the EU to be "big on big things and smaller on smaller things".
He says the Commission has cut more than 5,000 legal acts in the past five years and wants to do more.
On Friday the leaders will discuss relations with central European countries, ahead of a November summit in Lithuania, where new agreements will be signed.
Migration will also be discussed, following the loss of hundreds of lives among migrants trying to reach Europe from Africa and the Middle East.
The Commission has called on EU countries to offer "additional and urgent contributions" to prevent further tragedies at sea.
Sources : BBC
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