Peabody: You are correct. In the early war, one of the allied-held ports in Manila is overrun by the Japanese. I noted this when I started my second campaign in the Asiatic fleet (thereby starting in that region). If you are on patrol when the overrun happens, you may get a radio message indicating what has taken place. The message will most likely point you towards one of the Australian ports (it sent me to Perth-Fremantle), saying that the old home port is too dangerous.
I'm not sure if the port ever opens back up (as the allies capture more and more territory through the war). I haven't gotten that far in my second campaign.
Hope this helps.
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