The 31-year-old was not included in Spain's provisional 30-man squad for the World Cup this summer, with the former Liverpool right-back struggling with injury in the second part of the 2013-14 campaign.
As a result, Arbeloa, who has won two European Championships and one World Cup with La Roja, has stepped out of the international picture.
"It has nothing to do with not going to the World Cup. My decision had already been taken. I respect [Vicente] del Bosque, he has put his faith more in other players and that's it," he said in a statement.
"My time with Spain has come and gone, I hope they can be world champions. My relationship with the fans has always been important. I am grateful for the respect they have shown me."
Arbeloa retires having made 56 appearances for his country.