UK military would advise and train other countries
In a speech at King's College London, Mr Hoon outlined how the armed forces may need to change in the wake of the US terror atrocities.
Mr Hoon wants British troops to be more flexible so they can be deployed quickly in world trouble spots.
The last Strategic Defence Review was undertaken in 1998. While Mr Hoon says much can be left unchanged, he wants a "new chapter" written on how to tackle the threat of international terror.
Vital deterrence
"We will want to ensure that we and our allies have an adequate range of capabilities to respond to threats or attacks," he said.
"That is vital to effective deterrence."
There must be moves to deter the use of chemical, nuclear and biological weapons, he said.
Mr Hoon stressed the need to prevent the conditions that allow international terror organisations to operate.
"We could help less capable states build better capabilities to counter terrorism themselves through our conflict prevention and defence diplomacy activities - for example by transferring our world leading military skills.
"Where necessary we may also have to undertake peace support operations to prevent instability or to assist in stabilisation."
Other action overseas could see UK soldiers involved in "search and destroy" missions against terror bases.
Regimes warned
Mr Hoon also argued the threat, and ultimately the use of military action, might be needed to force states to stop harbouring "international terrorists".
"We may need to act to destroy terrorist cells with military action, and perhaps, in the last instance, to act against regimes, such as the Taleban, while they support, protect, nurture and direct them," he said.
Domestic defence is another key element of the post-11 September review, although Mr Hoon said the risks should not be overstated.
That view mirrors Mr Hoon's admiration for the high profile role played by the National Guard in the US, guarding sensitive installations such as nuclear power stations.
Air defence too could be rethought, said the defence secretary.
"Our work now involves reviewing our longer-term air defence arrangements end-to-end, from radar coverage to 'shoot down' if necessary," he said.
The first UK troops to be despatched to deal with international emergencies are usually the Paras or the Royal Marines.
Extra investment
More troops could be prepared for similar rapid reaction roles under the new plans but Mr Hoon stressed the review was at an early stage and detailed proposals are not expected until the middle of next year.
A note of caution has been sounded by shadow defence secretary Bernard Jenkin who said extra investment would be needed for the armed forces to fulfil new roles.
After the defence secretary's speech, Mr Jenkin said: "Crucially, he left unanswered the question of how much extra money the Treasury will commit to any of these options.
"The Army is already overstretched and undermanned, and equipment shortcomings were glaringly exposed during the exercise in Oman."
Troops offer
Meanwhile, there have been reports that the Northern Alliance are rejecting any British troop deployments even in a peacekeeping capacity.
French newspaper Le Figaro and news agency AFP carried an interview with alliance Defence Minister General Mohammad Qasim Fahim saying an offer of British troops in Kabul had been rejected.
An MoD spokesman told BBC News Online: "Our position is unchanged. We have been ready and we remain ready to provide a role."
But he said any role would have to be agreed.