BANGKOK - Outgoing Malaysian Prime Minister Dr Mahathir Mohamad has warned the Asia-Pacific Economic Cooperation (Apec) forum is in danger of turning into a security grouping as the United States pushes for a greater military role in the region.

His warning came hours after US President George W Bush announced that Thailand would become the second Southeast Asian nation to be elevated as Washington's major non-Nato ally, after the Philippines.

The two Southeast Asian nations, which would be eligible for priority delivery of defence material in the exclusive US club, are at the forefront of Washington's anti-terror campaign in the region after the Sept 11, 2001 al-Qaeda attacks in the United States.

"Apec was formed as an economic cooperation group. But we don't agree with taking away economic matters into security, military or politics, which are not really for Apec," Mahathir told Malaysian journalists late Sunday.

Without identifying the United States, he said "there is a tendency to have agenda of strong countries inserted into Apec."

Apec, set up in 1989 as a forum for Pacific Rim economies to forge economic cooperation, should stick to its original objective, he said.

Regional alliances

Mahathir, Southeast Asia's longest serving leader who retires at the end of this month after 22 years in power, and Bush are in Bangkok attending the annual Apec summit meeting.

Aside from efforts to revive stalled World Trade Organisation (WTO) talks to frame more effective global trade rules, the meeting here is expected to be dominated by the US-led anti-terror campaign.

Bush has signalled he will use the two-day summit, which begins under extremely tight security today, to shore up regional alliances in the battle against terrorism.

Mahathir said he would use his farewell appearance to bring back Apec to what he called its original reason of formation, Bernama news agency reported.

"I want to explain our stand on what Apec should focus. We think it should focus on items like fair trade, equitability and not enlarging its present scope," he said.

Asked whether Apec was in danger of turning into a security forum, Mahathir said this could happen due to what he termed "the present situation."

"We know security matters are very important. But I think we should discuss it at other forums, security does not only affect certain countries but the whole world," he said.

Strained ties

Malaysia, which has a majority Muslim population, set up this year a regional anti-terrorism centre originally proposed by Bush, but dropped Washington as a fully-fledged partner in the scheme after being at pains to stress that no American forces would be involved.

Bush last year personally thanked Mahathir for his cooperation in the anti-terror war but ties have been strained by the Malaysian leader's strong criticism of the US-led war on Iraq.

Malaysia has detained more than 70 Islamic militants in the past two years, many of them allegedly members of the al-Qaeda-linked Jemaah Islamiah terrorist group accused of the Bali bombing last October.

Mahathir, who had once labelled Apec as a US-dominated group, said that Malaysia would give top priority to strengthening the Association of Southeast Asian Nations (Asean) and forging greater links between Asean and China, Japan and South Korea.

After Apec's formation, Mahathir tried to form a so-called East Asian Economic Grouping comprising Asean and the three big neighbours but it failed to take off largely because Japan opted out following pressure from the United States. - AFP