Palestinian President Mahmoud Abbas, centre, speaks during the Fatah conference in the West Bank town of Bethlehem in August 2009. Aides say Abbas has told allies he won't run in January elections. (Tara Todras-Whitehill/Associated Press)

Palestinian President Mahmoud Abbas says he won't run for re-election in January, blaming the stalemate in peace negotiations with Israel for his decision not to run again.

He charged the U.S. with backtracking on its Mideast policy and refusing to press Israel to freeze construction in its West Bank settlements.

Abbas held a televised speech late Thursday, saying he has told his "brothers" in the Palestinian leadership of his "desire not to run in the upcoming elections."

Officials from Abbas' Fatah Party say they have no leading candidate to replace him. Despite the announcement, activists say Abbas could be persuaded to change his mind.

It would not be the first time Abbas has threatened not to run, and according to aides who spoke on condition of anonymity, Abbas received calls earlier Thursday from Israel's president and defence minister, the president of Egypt and the king of Jordan, all asking him to reconsider.

The withdrawal of Abbas would mean Palestinians would need to elect a new leader to represent them in future peace talks with Israel, potentially setting back negotiations.

Abbas has been at odds with Israel over their decision to continue to build settlements in East Jerusalem and the West Bank and has made the complete halt of construction a prerequisite to future discussions. Abbas sees the regions as key areas in a future Palestinian state.

Israel last weekend offered to stop new projects from proceeding, a decision U.S. Secretary of State Hillary Rodham Clinton called "unprecedented," but which fell short of Abbas's demand that all construction cease.

Hamas, the militant group that controls the Gaza strip and is the chief political rival of Abbas's Fatah party, has already said it does not acknowledge the legitimacy of the January elections and has told citizens in Gaza to not take part.

With files from the Associated Press