----That's what being an ally got them.----
Actually, that's what funding suicide bombers got them. Poor widdle monarchs....
-Dan
Posted on 03/09/2006 9:02:17 AM PST by prairiebreeze
Dubai is threatening retaliation against American strategic and commercial interests if Washington blocks its $6.8 billion takeover of operations at several U.S. ports.
As the House Appropriations Committee yesterday marked up legislation to kill Dubai Ports World’s acquisition of Britain’s Peninsular and Oriental Steam Navigation (P&O), the emirate let it be known that it is preparing to hit back hard if necessary.
A source close to the deal said members of Dubai’s royal family are furious at the hostility both Republicans and Democrats on Capitol Hill have shown toward the deal.
“They’re saying, ‘All we’ve done for you guys, all our purchases, we’ll stop it, we’ll just yank it,’” the source said.
Retaliation from the emirate could come against lucrative deals with aircraft maker Boeing and by curtailing the docking of hundreds of American ships, including U.S. Navy ships, each year at its port in the United Arab Emirates (UAE), the source added.
It is not clear how much of Dubai’s behind-the-scenes anger would be followed up by action, but Boeing has been made aware of the threat and is already reportedly lobbying to save the ports deal.
The Emirates Group airline will decide later this year whether it will buy Boeing’s new 787 Dreamliner or its competitor, Airbus A350. The airline last fall placed an order worth $9.7 billion for 42 Boeing 777 aircraft, making Dubai Boeing’s largest 777 customer.
Dubai in mid-February also established the Dubai Aerospace Enterprise, a $15 billion investment to create a company that will lease planes, develop airports and make aircraft parts to tap into growing demand for air travel in the Middle East and Asia.
The family-ruled sheikhdom may buy as many as 50 wide-body aircraft from Boeing and Airbus during the next four years, according to Aerospace Enterprise officials.
The UAE military also bought Boeing’s Apache helicopters. Meanwhile, Boeing has been in talks with the emirates to try to sell its AWACS planes.
An industry official with knowledge of Boeing’s contracts with Dubai said that the company has been involved in the emirate and that it would take a lot “to knock” those relationships.
“Nothing about the [ports] controversy diminishes our commitment to the region,” said John Dern, Boeing’s corporate spokesman. He added that at this point the company has no indication that there is or will be an impact on the company.
Any repercussion to Boeing could put House Speaker Dennis Hastert (R-Ill.) in a delicate position. Boeing’s decision to move its headquarters to Chicago has been seen as calculated to facilitate a close relationship with Hastert. He is against the ports deal, and his office did not return calls by press time.
Several businesses have expressed concern that the controversy over the $6.8 billion ports deal could damage trade with the UAE. Dubai is one of the seven emirates. The United States and the UAE are meeting next week for a fourth round of talks to sign a free-trade agreement. The American Business Group of Abu Dhabi, which has no affiliation with the U.S. government, said that Arabs may hesitate to invest into the United States, according to a report by Reuters.
A Republican trade lobbyist said that because the ports deal is a national-security issue blocking it would not be in violation of World Trade Agreement rules.
“In terms of them retaliating legally against the U.S. … I don’t think there are many options there,” the lobbyist said.
But when it comes to the emirates’ cooperation in the war on terrorism and in intelligence gathering, there is concern that some help may be pulled.
“If we reject the company in terms of doing the [ports] work, they are going to lose a lot of face. In the Arab culture, losing face is a big deal,” a former government official said. “We risk losing that help. It is not an empty threat.”
Dubai is a critical logistics hub for the U.S. Navy and a popular relaxation destination for troops fighting in the Middle East. On many occasions since the ports story erupted, the Pentagon has stressed the importance of the U.S-UAE relationship.
Last year, the U.S. Navy docked 590 supply vessels in Dubai, plus 56 warships, Gordon England, deputy secretary of defense, said in a Senate hearing last month. About 77,000 military personnel went on leave in the UAE last year, he added.
During the hearing, he warned about the implications of a negative decision on the ports deal: “So obviously it would have some effect on us, and I’d not care to quantify that, because I don’t have the facts to quantify it. It would certainly have an effect on us.”
Although owned by the Dubai government, the company at the heart of this controversy, Dubai Ports World, is trying to distance itself from any kinds of threats, said a lobbyist closely tracking the deal.
Another lobbyist monitoring the controversy said K Street still believes there will be a compromise that allows the Dubai deal to go through while meeting congressional security concerns, even though a bill aimed at that result, put forward by House Homeland Security Committee Chairman Peter King (R-N.Y.), was widely repudiated amongst lawmakers Tuesday.
Senate leaders have indicated that they would wait to take action until the new 45-day Committee on Foreign Investment in the United States (CFIUS) review is completed.
Meanwhile, in London, DP World cleared the last hurdle for its take over of P&O. The Court of Appeal in London refused Miami-based Eller & Co., which opposed the deal, permission to appeal against clearances for the legal and financial measures necessary to implement the takeover.
P&O said it expects to file the requisite court orders, making the takeover terms binding on DP World, according to the Financial Times.
Elana Schor contributed to this report.
And the rejection of this deal tells the UAE we consider them below the level of China and Saudi Arabia, two other countries that currently operate terminal facilities in the U.S.
The UAE has to be wondering "why us"? It would be one thing if we had a history of excluded all other countries from running terminals, or even if we limited it to formal western allies. But we don't. I can't recall us ever rejecting another nation. The UAE is the first.
That's what being an ally got them.
Sunstar:"85% of Americans oppose the deal because it would allow an Arab kingdom to operate U.S. national security interests!"
TigersEye:"Do that many people still get their info from the MSM?"
Ok, that was funny.
LOL! My same guess! The one of the LEFT in the front row. Easy to spot with that snarl on its face! LOL!
Actually, that's what funding suicide bombers got them. Poor widdle monarchs....
-Dan
Agreed. Business deals fall through all the time.
As to saying "No need to bash America, or other folks here. It just worked out this way," I presume you were applying that to another or others as I don't believe I had bashed anyone or our nation.
-Dan
So....being a "nationalist" patriotic American was started by BUCHANAN? I thought George Washington was our Founding Father? I thought all the "rebels" who signed the Declaration of INDEPENDENCE and the CONSTITUTION is who and what "nationalist" patriotic Americans are supposed to follow?
Yes, thanks for the reply. I'm not sure what a benefit-less guest worker program would look like though----I would certainly like to see the current proposals taken back.
Bottom line: Would the WOT (and therefore the U.S.) be better served by
A) an alliance with the UAE
or
B)not having the UAE as an ally?
A or B?
bttt
He helped create a bunch of nationalists who seek to paint all ME countries with one big brush...damn the consequences. EVERY person on FR who opposes this Dubai deal is also in favor on constructing a bigass wall along the mexican border.
So....being a "nationalist" patriotic American was started by BUCHANAN? I thought George Washington was our Founding Father? I thought all the "rebels" who signed the Declaration of INDEPENDENCE and the CONSTITUTION is who and what "nationalist" patriotic Americans are supposed to follow?
Jhohanna
If there isn't meaningful immigration work done, we're going to have a nightmare on our hands the likes this country hasn't seen since the 30s. And we know it. And those who do know it are pushing for it. May not happen today... it *will* happen in the next 2-3 years.
Howlin
No matter how many times you post it, there will NEVER be a mass roundup with people shipped back to Mexico.
.
Maybe I missed it but I never saw Jhohanna say she wanted or was in favor of mass roundup/deportations.
Why couldn't they just come here, work, and take the money back home.
That's the way it use to be. (Until the Democrats stopped that........LOL)
And just what do YOU think "meaningful" plan means? Guest Worker program?
BTW, I don't think we'll get what I want either.
I do know that, and I do ping people that I am specifically referring to in my posts. Nevertheless, the practice of running to the offended party and tattling on those that don't follow the rule has always struck me as a bit lame.
They aren't buying into our ports, so stop lying. And it is a LIE you are perpetuating. DPW *was* buying the service company that managed some terminal operations, but they do NOT have a stake in the ports, other than staying on our good side.
You are twisting this beyond recognition. DPW is spending all the money here. Yes, it is a "bribe" to let them spend their money... sure, okay.
"It's refreshing to hear someone say that. It should be an obvious point, but a lot of people I've argued with over the ports try to put the UAE on the same level as Great Britain. Obviously, it's possible to make an argument for the deal that doesn't resort to silliness or venom."
In a perfect world, these debates would be like brothers fighting over something, always in the context that at the end of the fight they are still brothers.
How do you think the rest of us learned? Somebody's got to tell them. We do have SOME decorum around here, you know?
The (Sewing) Circle Jerk must defend its own. :)
-Dan
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