Though the union would be focused on economic ties, it was also expected to involve discussions on issues such as human rights, illegal immigration and Middle East peace. It would ideally consist of 39 partners—the 27-nation EU, plus a dozen on the Mediterranean’s southern shores, from Morocco to Israel and the Palestinian Authority.

“The European side thought out, decided on and tailored this union, and has asked us to approve what it has tailored, and this is unacceptable,” Mr. Gadhafi said in a June 10 speech to the summit.

He said that Arab and African countries are committed to their respective unions—the Cairo-based Arab League and the African Union with headquarters in Ethiopia’s capital Addis Ababa.

“If Brussels is the capital that runs this Mediterranean union, then we don’t follow Brussels ... and we can’t allow for the organizations we belong to, to be torn up,” Mr. Gadhafi added. “But we can accept Arab-European and African-European cooperation.”

Mr. Gadhafi had called for the summit to discuss the proposed union and specifically, Israel’s role in it.

Initial Arab reactions to include Israel in the union have varied with some countries such as Algeria and Syria—which do not recognize the Jewish state—balking at the idea. Egypt and Jordan, which have peace treaties with Israel, have not said they have a problem with Israeli membership.

Media attention at the summit was also drawn to the absence of Egyptian President Hosni Mubarak, a regional heavyweight in his almost 30-year-long rule, who stayed away from the venue to avoid an encounter with his Syrian counterpart amid ongoing friction between them.

Associated Press Writer Salah Nasrawi contributed to this report from Cairo, Egypt.