"Fiddling with U.N. resolutions will take us the opposite way," he added. "So it's their choice to make, a step forward or two steps backward."
Despite its vocal frustration, the United States has repeatedly blocked Security Council condemnation of Israeli settlements.
Almost exactly a year ago, the four West European nations issued a statement critical of Israeli settlements at the Security Council. They and the other 10 members pointed a finger at the United States for blocking any condemnation of Israel's accelerated settlement construction.
That scenario is likely to be repeated on Wednesday.
The United States also vetoed a U.N. resolution in February 2011 that would have condemned "illegal" Israeli settlements and urged an immediate halt to all settlement building. The 14 other Security Council members voted in favor of the resolution.
The General Assembly decision recognized a Palestinian state in the West Bank, east Jerusalem and Gaza Strip, territories captured by Israel in the 1967 Mideast war. That annexation that has not been recognized internationally.
Israel rejects a return to the 1967 lines and accused the Palestinians of bypassing negotiations with the U.N. bid.
Peace talks have been frozen for four years, in large part because of the settlement issue. The Palestinians refuse to negotiate while Israel expands its settlements, which are now home to more than 500,000 Israelis.
Netanyahu has rejected calls to halt settlement construction, saying that a partial freeze he imposed in 2009 and 2010 failed to restart substantive negotiations. He says talks should resume without any preconditions.
Israeli officials have brushed off the international criticism as either unfair or by portraying it as a disagreement among friends. But officials say the increasingly frosty relations with Europe are a cause for concern.
Keaten reported from Paris. Josef Federman in Jerusalem, Juergen Baetz in Berlin and Matthew Lee in Washington contributed to this report.