RegionASIA & PACIFIC
Impact on U.S. InterestsCRITICAL
Conflict StatusWORSENING
Type of ConflictTERRITORIAL DISPUTE
11 BILLIONEstimated barrels of oil in the South China Sea
190 TRILLIONEstimated number of cubic feet of natural gas in the South China Sea
$5.3 TRILLIONTotal annual trade passing through the South China Sea
China Announces Regular Patrols, Military Drills in South China Sea
China announced it began air patrols that would become a regular occurrence over disputed islands in the South China Sea. A spokesman said the People's Liberation Army Air Force sent H-6K bombers, fighter jets, and tankers to the South China Sea (NYT).JULY 7, 2016
UN Tribunal Rejects China's Maritime Claims
A UN tribunal has ruled that there is "no legal basis" for China's claims to expansive stretches of the South China Sea. The Permanent Court of Arbitration at The Hague ruled in favor of the Philippines in the four year-long case, which challenged China's so-called "nine-dash line" (NYT) that encircles the majority of the body of water. Chinese President Xi Jinping rejected the ruling and said China would not accept any action based on the court's decision (Xinhua). JULY 6, 2016
Increased Chinese Military Presence in the South China Sea
Days before an expected ruling at the Permanent Court of Arbitration at The Hague on China’s territorial claims in the South China Sea, Beijing launched a week-long military exercise around the disputed Paracel Islands (Guardian). JUNE 23, 2016
Indonesian President Visits Disputed Natuna Islands in South China Sea
President Joko Widodo led a high-level delegation to the Natuna Islands in a show of force following clashes with Chinese vessels and increased fears of encroachment on territorial waters by Beijing (ABC).
JUNE 22, 2016
Chinese Tourism Proposed for the South China Sea
A state-owned shipping company announced the launch of a cruise line with service to the disputed Paracel Islands (FT), which both China and Vietnam claim. The venture is the second cruise line to the contested islands in the South China Sea.
Recent Developments
Territorial and jurisdictional disputes in the South China Sea continue to strain relationships between China and other countries in Southeast Asia and risk escalation into a military clash. The United States has sought to uphold freedom of navigation and support other nations in Southeast Asia that have been affected by China’s assertive territorial claims and land reclamation efforts. In the fall of 2015, the United States signaled that it will challenge China’s assertion of sovereignty over disputed territory by flying military aircraft and deploying ships near some of the islands.
In recent years, satellite imagery has shown China’s increased efforts to reclaim land in the South China Sea by physically increasing the size of islands or creating altogether new islands. In addition to piling sand onto existing reefs, China has constructed ports, military installations, and airstrips—particularly in the Spratly Islands.
Background
China’s sweeping claims of sovereignty over the sea—and the sea’s alleged 11 billion barrels of untapped oiland 190 trillion cubic feet of natural gas—have antagonized competing claimants Malaysia, Vietnam, Brunei, Taiwan, Indonesia, and the Philippines. As early as the 1970s, countries began to claim as their own islands and various zones in the South China Sea such as the Spratly islands, which may possess rich natural resources and fishing areas.
China maintains that under international law, foreign militaries are not able to conduct intelligence gathering activities, such as reconnaissance flights, in its exclusive economic zone (EEZ). According to the United States, countries should have freedom of navigation through EEZs in the sea and are not required to notify claimants of military activities. China’s claims threaten sea lines of communication, which are important maritime passages that facilitate trade and the movement of naval forces. In response to China’s assertive presence in the disputed territory, Japan sold military ships and equipment to the Philippines and Vietnam in order to improve their maritime security capacity and to deter Chinese aggression.
In recent years, China has built three airstrips on the contested Spratly Islands to extend its presence in disputed waters, and militarized Woody Island by deploying fighter jets, cruise missiles, and a radar system. China has warned its Southeast Asian neighbors against drilling for oil and gas in the contested region, which has disrupted other nations’ oil exploration and seismic survey activities. To challenge China’s claims in international waters, the United States has occasionally deployed destroyer ships on freedom of navigationoperations in the South China Sea to promote freedom of passage. Currently, the Permanent Court of Arbitration in The Hague is hearing a claim brought by the Philippines against China, although Beijing refuses to accept the court’s authority.
Concerns
The United States, which maintains important interests in ensuring freedom of navigation and securing sea lines of communication, has expressed support for an agreement on a binding code of conduct and other confidence-building measures. The United States has a role in preventing military escalation resulting from the territorial dispute. However, Washington’s defense treaty with Manila could draw the United States into a China-Philippines conflict over the substantial natural gas deposits in the disputed Reed Bank or the lucrative fishing grounds of the Scarborough Shoal. A dispute between China and Vietnam over territorial claims could also threaten the military and commercial interests of the United States. The failure of Chinese and Southeast Asian leaders to resolve the disputes by diplomatic means could undermine international laws governing maritime disputes and encourage destabilizing arms buildups.
A Visual Exploration of the Conflict
Chinese naval soldiers stand guard on China's first aircraft carrier Liaoning, as it travels towards a military base in Sanya, Hainan province, in this undated picture made available on November 30, 2013. (Stringer/Reuters)
A Vietnamese naval soldier stands quard at Thuyen Chai island in the Spratly archipelago January 17, 2013. (Quang Le/Reuters)
A ship of Chinese Coast Guard is seen near a ship of Vietnam Marine Guard in the South China Sea, about 210 km (130 miles) off shore of Vietnam on May 14, 2014. (Nguyen Ha Minh/Reuters)
A Chinese Coast Guard vessel passes near the Chinese oil rig, Haiyang Shi You 981 in the South China Sea, about 210 km (130 miles) from the coast of Vietnam on June 13, 2014. (Nguyen Minh/Reuters)
U.S. Defense Secretary Ash Carter and Vietnam's Defense Minister Phung Quang Thanh review the guard of honour during a welcoming ceremony at the Defense Ministry in Hanoi, Vietnam, on June 1, 2015. (Hoang Dinh Nam/Pool/Reuters)
Chinese naval soldiers stand guard on China's first aircraft carrier Liaoning, as it travels towards a military base in Sanya, Hainan province, in this undated picture made available on November 30, 2013. (Stringer/Reuters)
A Vietnamese naval soldier stands quard at Thuyen Chai island in the Spratly archipelago January 17, 2013.
APRIL 12, 2016Next
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