The furor over the
proposed sale of a London-based firm that operates facilities at
some U.S. ports to a company in the United Arab Emirates has
focused Congress's attention on the issue of maritime security. The
U.S. part of this deal appears to be dead, but real dangers
remain-specifically, that Congress will implement policies that
will not make Americans safer and could actually harm U.S.
interests. There are at least four bad proposals on the table that
Congress should reject.
Bad Idea No. 1.
Throw money at the problem. Congress's first inclination
will be to increase port security grants, which are popular among
many Members' constituents. However, Congress has already dumped
hundreds of millions of federal dollars into these grants. The
Homeland Security Inspector General found that this money is
already being wasted and many of these grants brought only minimal
benefits. One, for example, went to a Fortune 500 company with $1.2
billion in profits-to buy a fence. Spending billions to turn U.S.
ports into mini-Maginot Lines is a losing strategy. Investing
federal dollars in the Coast Guard, counterterrorism operations,
intelligence, and law enforcement activities makes more sense
because all of these keep bad things and bad people out of U.S.
ports to begin with.
Bad Idea No. 2.
Adopt protectionist policies. One proposal would require
that all maritime infrastructure be U.S.-owned. This would lead to
a substantial divesture of assets by foreign firms that have
already invested in America. By some estimates, upwards of 80
percent of port facilities are foreign-owned. This ownership
represents "in-sourcing" that creates jobs for Americans, makes
imports cheaper, and makes U.S. exports more competitive. Divesture
would cripple trade and destroy foreign investors' confidence in
the United States-to the great detriment of U.S. workers. And it
won't necessarily improve security-Enron, after all, was an
American-owned company that did as much damage to the U.S. economy
than a terrorist attack. Security standards have to be the same no
matter who owns the ships and facilities that service our
ports.
Bad Idea No. 3.
Cripple foreign investment in the United States.Some in
Congress will propose to revise the law that governs the Committee
on Foreign Investment in the United States (CFIUS), the panel that
vets transactions in which foreign ownership might affect national
security interests. Many Members of Congress fault CFIUS for its
approval of the port facility sale. It is true that that the
current system is too informal and should be improved. However,
reforms should not encumber sales that do not impinge upon
significant national security interests. Nor should any changes
allow Congress to politicize the process.
Bad Idea No. 4.
Inspect everything.Inspecting every container that is
shipped to the U.S. makes no sense. Doing so would cost billions of
dollars and drown authorities in useless information. Nor is it
clear why every container would need to be inspected. The
"nuke-in-a-box" scenarios deployed to justify such drastic measures
are highly implausible. Physically inspecting every container will
not make Americans much safer but will increase the cost of just
about everything that American consumers buy. Already, the United
States evaluates every container coming into the country and
inspects the suspicious ones. This is not a perfect system-it can
be improved-but it is a reasonable precaution and reasonable
deterrent.
Congress should do
better than adopting proposals that will harm the U.S. economy
while doing little to prevent terrorism.
James
Jay Carafano, Ph.D., is Senior Research Fellow for National
Security and Homeland Security in the Kathryn and Shelby Cullom
Davis Institute for International Studies at The Heritage
Foundation.