MANILA, Philippines — The Philippines angrily summoned the Australian ambassador Wednesday, saying it objected to criticism that a concession to Iraqi insurgents to save the life of a Filipino captive has encouraged terrorism.

Ambassador Ruth Pearce was called in after Australian Foreign Secretary Alexander Downer blamed the Philippines and Spain for a new threat against Australia by a purported al-Qaida affiliate.

Downer said terrorists had been energized by the Philippines' early withdrawal of troops from Iraq to save hostage Angelo dela Cruz from being beheaded, and by Spain's pull out after the Madrid train bombings in March.

The United States has also criticized the troop withdrawals.

Philippine Foreign Secretary Delia Albert said she told the Australian envoy that "we strongly object to the broad characterization made by these officials in these statements, particularly those that question the resolve of the Philippines to fight terrorism.

"I also conveyed in very strong terms that we find very objectionable the liability attributed to the Philippines for subsequent acts of hostage-taking in Iraq," she said, adding that kidnapping there was already on the rise.

Pearce sounded more conciliatory in describing the meeting, possibly trying to defuse an escalating war of words. "This issue should not affect our good relationship," she said. "Let's move on."

Both women said the focus should be on fighting terrorism. Pearce reiterated Australia's commitment to cooperation in that area.

"We have to get on with the task at hand, which is to fight terrorism in the interest of maintaining good relations and avoiding any further misunderstanding," Albert said. "The Philippines hopes that any further concerns by Australian officials on this issue can be addressed through diplomatic channels."

On Wednesday, Prime Minister John Howard defended Downer's statements, saying his foreign minister was "strongly putting the view that you do not give in to terrorists, and I totally support him."

Earlier, President Gloria Macapagal Arroyo said she would not apologize for her decision to withdraw the troops and explained that her move was meant to protect the 1.5 million Filipino workers in the Middle East, including more than 4,000 in Iraq.

"The Philippines has no policy that demands sacrifice of human lives," Arroyo said in her state-of-the-nation address Monday.

She said sacrificing dela Cruz would have been "pointless" and would put the lives of Filipinos in the Middle East at risk "by making them part of the war."

The U.S. ambassador to the Philippines, Francis Ricciardone, returned to Washington last week for consultations on the state of relations with Manila.