America’s commercial and industrial dominance is eroding to the point that its national security is being affected. The latest condemning examples include further losses of control of America’s sea gates and the loss of military manufacturing capacity.

In a shocking development, this month the U.S. federal administration approved a United Arab Emirates company, Dubai Ports World, to take over the operation of six major U.S. seaports. This deal puts an Arab company in control of major shipping operations in New York, New Jersey, Baltimore, New Orleans, Miami and Philadelphia.

As could be expected, the takeover of American ports by an Arab state-owned company caused an uproar among members of Congress. They are crying out over border control and national security—especially since the U.A.E. is known for having many al Qaeda sympathizers and some of the September 11 terrorists used the U.A.E. as a financial and operational base.

President Bush, however, is not troubled, saying, “If there was any chance that this transaction would jeopardize the security of the United States, it would not go forward.” Defense Secretary Donald Rumsfeld agreed: “Nothing changes with respect to security under the contract. The Coast Guard is in charge of security, not the corporation.”

U.S. ports, however, are hardly secure. To even attempt to inspect every piece of containerized cargo that comes into the United States would be impossible; instead, America relies on random inspections to catch any illegal imports or smuggled goods—or nuclear device or dirty bomb. Hence, a good part of ensuring port security rests with the port-operating company. A port operator actively seeking to facilitate smuggling or terrorism could manipulate manifests and other documents to thwart the already limited scrutiny of shipping containers by Homeland Security and U.S. Customs.

The takeover also raises the question of America’s vulnerability to trade interruptions. What if relations between America and the U.A.E. became strained—perhaps due to rising anti-Americanism and the war in Iraq and the war on terror? The state-owned Dubai Ports World would actually be in a position to sabotage several of America’s largest ports!

America’s ports operation isn’t the only industry that could put the nation at risk. The trouble America’s manufacturers face could also mean trouble for the nation.

Having a strong manufacturing base is important because it promotes self-sufficiency, creates wealth, provides jobs and enables innovation. A strong, diversified manufacturing sector is especially important in times of war. During the War of Independence, America learned the painful lesson of dependence on foreign nations: Because of America’s lack of manufacturing, the U.S. had to rely on France and the Netherlands to supply everything from guns and gunpowder to blankets and clothing. Seeing this weakness, America’s founders implemented a national strategy promoting industrial and military self-sufficiency in order to enhance the nation’s security.

But it seems America has forgotten that lesson. America’s manufacturing base has atrophied. Many manufacturers have gone bankrupt, been bought out, or have moved overseas where manufacturing costs are cheaper. Some of these industries are strategically important for the military.

The U.S. Defense Department runs a program called the Diminishing Manufacturing Sources and Materials Shortage (dmsms), whose purpose is to identify shortages of basic parts, processes and materials needed in the military. Brian Suma, who runs the dmsms Information Systems project at the Army’s Tank-Automotive and Armaments Command, says this concerning the eroding U.S. industrial base: “We’re out here stomping on the grass to put out a grass fire but we haven’t looked behind us to see that the barn has gone up” (Manufacturing & Technology News, “Eroding Industrial Base Raises Concern Deep Within the Military,” Nov. 19, 2004).

One strategically important industry that has almost completely died in America is that of the metal castings industry. The problem has become so pronounced that, as reported by columnist Diane Grassi, the military even has trouble procuring weapon-system castings (attributed to plant closings). China and other Third World countries are now the major suppliers of castings for the U.S. military.

Ms. Grassi also pointed out that there is now only one company left in the U.S. that manufactures roller cutters for armored plate or heavy steel, and the only reason this company exists is that when the U.S. military learned that there was an immediate need (due to the war in Iraq) for Humvee armor, it expedited its manufacture. Unfortunately, because of the limited existing manufacturing capability, it took almost a year to get the armor plate produced.

Similarly, America’s only remaining company that produced a chemical used for binding windows and aluminum panels in aircraft was purchased by a foreign corporation. Due to failure to meet U.S. environmental and health standards, the American plant was forced to close. Now the U.S. must depend on the foreign company’s offshore factories to supply the chemical (Sierra Times, February 9).

The disappearing bearing industry might be an even worse loss for American security. Bearings are critical components of all kinds of electric motors used in automobile manufacturing, mining, factories, etc. They are also critical components of major weapons systems.

According to the Bearing Specialists Association, if America’s bearing manufacturers continue to close up shop and move overseas, the U.S. will have an unavoidable foreign dependency (Industrial Distribution, May 1, 2005). This is a critical national security issue, because nations that do not agree with America’s foreign policy would have the ability to cut America’s bearing supply in time of emergency. During World War ii, bearings were considered so important that the German bearing industry was specifically targeted for bombing.

America appears to have forgotten the importance of self-sufficiency with respect to national security. Ceding control of our national ports to foreign countries is not a good idea. Neither is letting strategic industries die or move offshore.

The failure to learn from history will cause America much pain (economically and militarily) in the near future.