Dubai to give up control of U.S. ports

Election year angst
Senate Republican GOP leaders had been hoping to prevent any votes until the conclusion of a 45-day review of the deal. At the same time, administration officials were using the time to try and ease the concerns of lawmakers.

That strategy collapsed in dramatic fashion on Wednesday, when the House Appropriations Committee overwhelmingly signaled its opposition to the deal.

Increasingly, it appeared the controversy was headed in one of two directions — a veto confrontation between Bush and Congress, or the decision by the company to shed its plans. The company had arranged to hold the rights as part of its takeover of Peninsular & Oriental Steam Navigation Co., a British company that holds contracts at several U.S. ports.

Bush has defended the deal, on grounds of open, free trade, and, he says, because the United Arab Emirates has been a strong ally in the war on terror.

By a 62-2 margin, the House Appropriations Committee on Wednesday attached the ports legislation to a $91 billion bill providing funds for hurricane recovery and wars in Iraq and Afghanistan.

Developments in the legislature underscored the political concern among congressional Republicans in the run-up to midterm elections. The GOP has long held an advantage over Democrats on issues relating to national security and the war on terrorism, but pollsters from both parties agree the gap has narrowed significantly in the past few weeks.

At the same time, individual Republicans have said their constituents are calling and writing to express overwhelming opposition to the port arrangement.

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