11 March, 2006

Dubai Ports World Deal Termination: Bad Global Message With No Justified Basis

As a follow up to my past blog (More Oppositions To UAE Takeover Of US Port Operations):

The House Appropriations Committee voted Wednesday 62-2 to halt the transfer of management of operations at US ports to DPW. Yesterday Dubai Ports World announced it would step back from the deal and “transfer fully the U.S. operations…to a United States entity.”

President Bush said today the collapse of the Dubai ports deal could hurt U.S. efforts to recruit Mideast governments as partners in the worldwide war on terror.

"Dubai services more U.S. military ships than any other country, shares useful intelligence about terrorists ...", Bush said.

A raging New York Mayor Michael Bloomberg is lashing out at politicians who blocked the Dubai ports deal, calling the charge that the contract compromised homeland security "the cheapest political shot in the world."

As a consequence of the failed transaction, a new round of trade talks between the U.S. and the United Arab Emirates was postponed.

Yet while Dubai Ports World may be giving up on U.S. ports, Inchcape Shipping Services (ISS) is still in contract with the US Navy to provide shore services for vessels in the Middle East. ISS is an old British company that last January was sold to a Dubai government investment vehicle for $285 million.

A statement issued by ISS declared that “ISS has undergone rigorous external security checks” and has “comprehensive internal policies on security.” Regarding its U.S. port operations, the company states that all port staff “are fully vetted and cleared and undergo a background check to enable them to work within the port limits.”

If the US Congress still have doubts about the UAE and linking it to terrorism, then I think it is more important for it to terminate the US contract with ISS. If the Congress don't trust the UAE, then why allowing Emirates Airlines to continue flying direct from Dubai to New York?

Read Also:
The Dubai Deal You Don't Know About (TIME.com)
Bush: Ports Deal Collapse May Hurt U.S. (Forebes)
Arab Firms May Reconsider U.S. Dealings (Forebes)
Speed Read: How the Ports Deal Died (TIME.com)
Bloomberg fires back at ports deal blockers (Newsday.com)

1 comment:

Gautam said...

Hello Everyone,

Just updated my blog with a few intresting posts..care to leave your comments.



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