Friday, March 24, 2006

Wal-Mart Opposes Tighter Port Security

From today's (March 24, 2006) "Washington Wire" column in the Wall Street Journal:

"Wal-Mart resists efforts in Congress to dramatically tighten port security in the wake of Dubai-ports furor. The company argues examining all containers, or even a fixed percentage of them, could impede shipping and boost costs."

There you have it. Wal-Mart opposes tighter port security measures that will cost it money.

I feel safe assuming that Wal-Mart believes that the increased security will increase the company's costs. After all, Wal-Mart would not bother lobbying against these security measures if they did not pose increased costs for Wal-Mart.

I give Wal-Mart a week or so to weather the ensuing storm of criticism before it issues a public statement of support for better port security. I also expect that Wal-Mart will even more quickly issue a press release complaining of being "misquoted" or "taken out of context" by the Wall Street Journal.

Whether that statement will represent an actual climb-down from Wal-Mart's position remains to be seen.

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