Aref Assaf, Dubai-gate: Arab hating for sale!, various versions of this
piece were published in the
Daily
Record, "U.S. political jockeying signals economic profiling", 2/23/2006 and
the Herald News
Arguably, security of our nations’ points of entry is of paramount importance.
However, the growing political jockeying to prevent an Arab owned company from
operating the logistical areas of our seaports is nothing short of political
pandering and specious grandstanding. Importantly, in a time of increased
globalization, this posturing is, pure and simple, a form of economic profiling
against Arabs- all Arabs. It would be hard to underestimate the potential
economic and political fallouts from our xenophobia. I am afraid the Dubai-gate
will now become the central litmus test for politicians on both sides of the
political divide. The Arabs, sadly will be the scapegoat even though the
security we so desire to have will not be assured
Pivotal to the debate of the takeover by Dubai Port World,
DWP, of six major US
seaports are two deliberately camouflaged fallacies: One, that America's
security, both national and economic are negatively impacted by the presence of
Arab-owned companies on our soil. Two, that the US is somehow ceding its
sovereignty over an important national gateway.
It needs repeating that no port company determines or sets procedures for
security in the US. The US government
itself determines all security standards,
sets strict guidelines for implementing them and determines appropriate
penalties for violating them. US Customs officers will continue to inspecting
cargos, Coast Guard patrol the harbors, the Transportation Security Agency doing
background checks of port employees, and the Department of Homeland Security
monitoring port security efforts. All port owners, foreign or domestic
companies, are obligated to operate the strict requirements of the
2002 Maritime
Transportation Security Act, and the
2004 International Ship and Port Facility
Security codes. It is often overlooked that even if DPW does not mange our
ports, the US will still have to deal with it in many foreign seaports operated
by DPW. In fact, a significant component of our container security and
inspections mechanisms are implemented not in the US but in ports overseas.
On the second point, the deal is for management of the ports, that is using
specialized cranes to load sealed containers off docked ships onto trucks and
trains. It is not about the physical sale of the property. The land and shores
on which these ports are located were never offered for sale and have always
been the property of the American people. When we hear opportunistic politicians
cry out that the Arabs are buying America, one either must laugh or accuse these
pundits of deliberate misinformation to rally up anti-Arab sentiments. It needs
to be stated also that DPW will only control 50% of the ports operations. the
rest being the responsibility of other foreign owned corporations.
If port security is the full responsibility of our US government, then why such
a frenzied obsession with who manages the loading and unloading of sealed
containers at our ports?
The simple answer is the 9-11 backlash against everything Arab still permeates
our political discourse. It is partly the result of the collective memory of
the attacks which is still too fresh to
differentiate between 19 terrorists who irrevocably debased our sense of
unhindered security and the vast majority of Arabs and Muslims who hold no ill
feelings towards our country. If the argument is about a foreign company being
government-owned, then it must be comforting to know that the U.A.E, of which
Dubai is a part, is a strong ally of the United States and has worked closely
with us in our fight against terrorism and our war in Iraq.
Enter Senator Menendez, (D-NJ). This DPW-gate is truly "God-Sent", heralding him
into national prominence. This newly found popularity could conceivably
guarantees him another 6-year term in the Senate if he pursues the fear politics
and appears to be co- shouldering the responsibility of a secure America with
republicans. While he has stated that his opposition is only based on that fact
that DPW is owned by a foreign governments not a private venture, here against
the Senator is misinformed. The reality is that DPW is a corporation whose
capital is held by a government entity known as the Dubai Ports, Customs and
Free Zone Authority and whose management is composed of private and
international executives- some of whom American citizens. It is this salient
distinction which explains the facts the deal was not signed by representatives
of the US government and the U.A.E. The deal was not between two sovereign
nations.
Besides, if we do no trust the government of Dubai, why did the US continued
to sell it the latest in armaments and ammunitions to the tune of $6.8 billion
from 1997-2000 even though Dubai still had its embassy in
Taliban's Kabul?
Irrefutably, this post 911 jingoism and xenophobia is an overarching attempt to
undermine the President’s already tough stand on security. Haven’t we been so
loudly complaining that our President has forsaken the freedoms and liberties of
our fellow citizens in his obsession with security? Is Menendez trying to
outmaneuver our president by appearing more patriotic?
Are we saying that the
President and his Administration do not care about our national security? let' s
see the proofs.
Why not Dubai? Because two of the 9/11 hijackers happened to be from the United
Arab Emirates (U.A.E), the country in which the company is based. Yet the
British company, Peninsular and Oriental Steam Navigation Company, was allowed
to operate these ports despite Richard Reid’s ( “the shoe bomber”) British
citizenship. In addition, American companies are permitted to operate some U.S.
ports despite the fact that Timothy McVeigh, Jose Padilla, and other U.S.
citizens are convicted or accused terrorists. This is a flagrant example of
demagogy and hatemongering.
In fact, since two of the 9/11 hijackers were from the U.A.E, as such, Dubai
Ports World might even have a greater interest in operating safe and secure
ports than companies from other nations. If a terrorist incident occurred in one
of its ports, the company would probably lose more business worldwide than a
non-Arabic company would under similar conditions.
Members of Congress such as putative presidential candidate Senator Clinton is
desperate to look tough on terrorism in her seemingly ever-failing attempts to
capture political middle she needs to ascend to the presidency. While seeing
past her actions to her political aims might be easy for many, understanding the
unintended consequences of a successful blockage of the port sale might require
a second look.
Take for instance Eller & Company, the Miami-based business formerly a partner
of Peninsular, which has just filed a suit for being forced into an
"involuntary" partnership with an Arab company. The suit raises the security
canard, and one wonders what sort of economic interests the smear campaign is
intended to mask. According to an Associated Press, "The lawsuit represents the
earliest skirmish over lucrative contracts among the six major U.S. ports where
Peninsular and Oriental runs major commercial operations…. " This is not the
first instance a corporate entity tried to take out the competition by raising a
bogus threat to "national security."
One wonders if the safe fuss would have created if another company by foreign
governments won the bid to buy the Peninsular & Oriental Steam Navigation. This
actually almost happened when another company, According to the
International
Herald Tribune, PSA International of Singapore gave up on its bid to buy the
British company. Of note is the fact that PSA International is owned by state
investment group Temasek.
But if Arab-owned companies truly cannot be trusted to operate U.S. ports, then
shouldn’t they be banned from all business activity in the US? Why stop there!
Even commercial airlines, mail, and oil from Arab countries should be banned
from landing at U.S. ports.
In an age of increased globalization and immensely widespread multinational
corporations where ownership is either difficult to discern or more importantly
irrelevant to the conduct of their worldwide business activity, the issue of
nationality is no longer applicable unless we are willing to endure its
consequences. Are we then saying that Arab countries could prevent American
companies from servicing the hugely lucrative American-made weaponry bought by
Arab countries. Are Arabs justified then in boycotting American-made cars,
equipment and wheat because through these commodities, America may have undue
influence or pose a security or environmental threat to these ‘rouge’ nations?
If the deal is nullified or obstructed, we will send a clear statement to the
Arab world: America is xenophobic - Arabs need not apply to the modern world, If
the President wins and the deal is accepted, we send the message that America
responds positively to peaceful cooperation and our limitless and scornful wrath
is only reserved for attacks on the rights that make such free trade available
at all. Importantly, Regardless of the outcome, DPW will still operate other
international ports and the US will still have to deal with this fact, unless we
are against everything Arab. If so, let us make the law of the land and hide
behind half-hearted an insincere claims to the contrary.
The United States ought to appeal to the self-interests and common sense of Arab
companies and people. Shared interests and shared fortunes with the Arab world
will ultimately found mutual stimuli for security on both our shores and theirs.
As we push for global trade by striking long term trade and
security deals with most of the world, we are insanely denying the Arabs our friendship and trade. We
now have two rules of conduct: One for the Arabs based on distrust and
containment, the other for the rest of the world, based on the promotion of mutual
trust, dignity and unhindered market forces. I am a proud American citizen who now feels very scared. End. Aref Assaf
1 U.S. Government Accountability Office, GAO-06-319r,
January 2006.
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