Ports storm worries Bush

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President Bush yesterday said the demise of the ports deal was a bad signal to send to moderate nations in the Middle East that the United States needs in the war on terrorism.

His comments came a day after public pressure forced DP World, a partially state-run company in the United Arab Emirates, to divest itself of management of terminals at six U.S. ports.

"I'm concerned about a broader message this issue could send to our friends and allies around the world, particularly in the Middle East," Mr. Bush told newspaper executives during a speech in Washington. "In order to win the war on terror, we have got to strengthen our relationships and friendships with moderate Arab countries in the Middle East."

Meanwhile, the United States and the United Arab Emirates agreed yesterday to postpone the next round of talks on a bilateral free-trade accord. But U.S. officials said the postponement was not linked to the deal's demise.

Still, a senior administration official, speaking on the condition of anonymity, said Mr. Bush is worried about a strain of protectionism and isolationism "that lurks beneath the surface" in the United States, and said that was behind the president's threat to veto legislation from Congress blocking the deal.

"If we're going to win, we've got to be strengthening our partners -- modern, basically reform-oriented Arab partners in the Muslim world, in the Middle East -- it's a critical element of us winning," the official said. "That's why the veto thing came out. He's seen this kind of bigger political moment that, it's permeating itself in different issues in different times. We couldn't predict this one."

The president, trying to repair damage done to the U.S.-United Arab Emirates relationship, made a strong defense of the two nations' working relationship in the war on terrorism.

"They are a key partner for our military in a critical region," Mr. Bush said, pointing to its role as the biggest service point for U.S. Navy ships outside the United States and its willingness to share information on terrorists.

"I'm committed to strengthening our relationship with the UAE and explaining why it's important to Congress and the American people," he said.

But over the past three weeks, members of Congress had said they were worried about the mixed message being sent to voters -- who all House members and a third of the Senate will have to face in November.