-LRB- CNN -RRB- -- U.S. Secretary of Defense Leon Panetta warned that Israel must improve its relations with neighboring countries , saying the country is becoming increasingly isolated in the region . Panetta made the comments ahead of his arrival Monday in Israel , where he will meet with Israeli and Palestinian leaders in an effort to jump start peace talks . `` I do n't think there is any question in talking with leaders from Israel that they recognize that they 've becoming increasingly isolated in that part of the world , and that 's not ... a good situation , '' Panetta told reporters while en route late Sunday to Israel . `` I think they recognize that it 's important to do whatever they can to try to improve those relations . '' Tensions in the region have been running high in recent weeks over the Palestinian Authority 's bid for statehood before the United Nations , and Israel 's plans to build 1,100 new homes in disputed territory in south Jerusalem . `` The important thing there is to again reaffirm our strong security relationship with Israel , to make clear that we will protect their qualitative military edge , '' Panetta said . `` As they take risks for peace , we will be able to provide the security that they will need in order to ensure that they can have the room hopefully to negotiate . '' Panetta said he plans to offer U.S. help to Israel to improve its deteriorating relationships with some of its neighbors , particularly Turkey and Egypt . `` It 's pretty clear , that at this dramatic time in the Middle East when there have been so many changes , that it is not a good situation for Israel to become increasingly isolated . And that 's what 's happening , '' Panetta said . `` And I think for the security of that region , it 's very important that we do everything possible to try to help them re-establish relations with countries like Turkey and with Egypt . '' Turkey and Israel have been at odds following the deaths of nine Turkish activists during an Israeli commando raid last year on the SS Mavi Marmara , part of a flotilla of ships that was headed to blockaded Gaza . Last month , Turkish Prime Minister Recep Tayyip Erdogan expelled Israel 's ambassador over that nation 's refusal to apologize for the incident . Public opposition in Egypt , meanwhile , against its peace treaty with Israel appears to be growing . Protesters last month attacked Israel 's embassy . Panetta will follow up his trip to Israel with a stop in Egypt , where he said he will encourage leaders to proceed with a promised election process following the ouster of President Hosni Mubarak . The defense secretary said there was little question Israel has maintained its military superiority in the region . `` But the question you have to ask is , is it enough to maintain a military edge if you are isolating yourself diplomatically ? , '' Panetta said . `` Real security can only be achieved by both a strong diplomatic effort as well as a strong effort to protect your military strength . '' Panetta 's visit to the region follows an Israeli announcement Sunday that it supports a call by the Middle East Quartet -- made up of the United States , the United Nations , the European Union and Russia -- for direct talks with Palestinians to resume within a month . In a statement , the Israeli prime minister 's office said Israel `` welcomes the quartet 's call for direct negotiations between the parties without preconditions . '' `` While Israel has some concerns , it will raise them at the appropriate time , '' the statement added . `` Israel calls on the Palestinian Authority to do the same and to enter into direct negotiations without delay . '' Palestinian Authority Prime Minister Mahmoud Abbas has repeatedly said Palestinians would not return to negotiations until Israel halts all settlement construction and accepts 1967 border lines as a basis for the return to talks . Panetta said he will stress to both Palestinians and Israelis that rather than set conditions for negotiating , they look for other approaches to resolve the issues . `` So my main message is , to both sides , you do n't lose anything by going into negotiations and trying to pursue a peace process everyone in the world is hopeful can begin , '' he said . Also on the agenda with Israeli leadership is Iran . Panetta said the most effective way to deal with Iran `` is not on a unilateral basis . '' Later , Panetta will head to Brussels , Belgium , for a meeting of NATO defense ministers . The coalition has been involved in a number of ongoing military campaigns , including over Libya and in Afghanistan . CNN 's Guy Azriel and Michael Schwartz contributed to this report .