Weekly Bulletin (8 July - 14 July)

Activities of the Claimants

China

China does not accept the Philippines filed an international arbitration South China Sea issue

In response to the question: “The Philippine Department of Foreign Affairs recently distributed foldouts about international arbitration in relation to the South China Sea issue to foreign diplomatic missions in Manila, promoting its position on arbitration and publicizing statements by relevant countries in support of its claim for arbitration. What is China's comment?”, Chinese Foreign Ministry Spokesperson Hua Chunying  said the Philippines attempted to use the arbitration to mislead the international community and pressure China. China is firmly opposed to that, she added.

U.S. should keep promise on South China Sea disputes

Chinese Foreign Ministry spokeswoman Hua Chunying on July 12^th asked the United States to live up to its promise to refrain from siding with any particular side involved in sovereignty disputes in the South China Sea. "China hopes the United States will respect the facts and not side with any particular party," Hua said in a written statement. She expressed hope that concerned nations can keep their promises and properly handle the disputes through bilateral negotiations with China.

Full statement

Philippine proclamation not factual

The Philippines' proclamation that it has exhausted all political and diplomatic means for the peaceful resolution of disputes in the South China Sea is not factual, Chinese Foreign Ministry spokeswoman Hua Chunying said July 12^th. Hua said at a regular press briefing that the Chinese side has repeatedly proposed that the two sides resume and use existing consultation mechanisms or set up a new consultation mechanism to resolve the issue, but so far it has yet to receive any response from the Philippine side. "The Philippine side has closed the door on talks and consultations and at the same time remained keen on attacking China in the international arena," Hua said. "Such acts are not helpful in resolving the issue," she said.

Full statement

China's largest search-and-rescue vessel visits Indonesia

China's patrol and search-and- rescue vessel "Haixun 01" arrived at Jakarta on July 14^th, commencing its goodwill visit to Indonesia for the next four days. Indonesia is the second stop of the vessel's two-month global voyage, which started from east China's Shanghai port in mid-June. "Haixun 01" is expected to return to Shanghai on August 9th after visiting Myanmar and Malaysia.

Vietnam

Vietnam fishermen accuse Chinese ship of attacking them

Fishermen on two Vietnamese fishing boats have reported to authorities that officers of a Chinese fishery patrol boat have beaten them, destroyed equipment on the vessels, and taken away their navigation equipment, fish, and oil while they were operating in Vietnam’s territorial waters. The two boats, from central Quang Ngai province, were operating off Da Loi Island, part of Vietnam’s Hoang Sa (Paracel) archipelago, on the night of July 6^th when they were attacked by a Chinese fishery patrol boat with code number 306 in two separate incidents, fishermen said. After suffering heavy damage caused by the Chinese boat, the two fishing ships, QNg 96787 TS and QNg 90153 TS, with 30 crew members, returned to Quang Ngai’s Ly Son Island on July 9^th. The Vietnam Fisheries Association strongly objects to the attacks by the Chinese ship, calling them inhuman treatment towards Vietnamese fishermen, said Nguyen Ngoc Duc, Chief of the Secretariat of the Association.

The Philippines

China’s surveillance ships back at Scarborough Shoal

The Philippine Department of Foreign Affairs (DFA) confirmed on July 8^th that at least two Chinese maritime surveillance ships from China have sailed back into the Scarborough Shoal. “Yesterday, we received a report from the Philippine Navy confirming that Chinese ships are back in Bajo de Masinloc in Panatag Shoal. So they come, go back and fourth in that area,” said DFA spokesperson Assistant Secretary Raul Hernandez. He said reports of Chinese ships coming in and out of the shoal’s vicinity was routine. “They have been intruding in that area for some time now and those reports of Chinese ships leaving and coming back have been a normal report,” said Hernandez.

China turning sea into its lake

China is turning the South China Sea into “one country’s lake,” Philippine Foreign Secretary Albert del Rosario said on July 9^th, pressing Manila’s effort to roll back Beijing’s expansive claims in the strategic waterway. Speaking before an experts’ roundtable on maritime security in Brussels, Belgium, Del Rosario said China’s assertion of ownership over almost all of the sea could restrict freedom of navigation in sea-lanes critical to global trade. Del Rosario also reiterated the Philippines’ bid for a peaceful resolution to its territorial dispute with China in the South China Sea by bringing it to the United Nations for arbitration. “The Philippines had exhausted almost all political and diplomatic avenues for a peaceful negotiated settlement of its maritime dispute with China. Our last resort therefore when confronted with increasing incursions into our territory was to utilize the legal track, which also covered the management of disputes,” Del Rosario said.

Full statement

Obama warning to China consistent with Philippine stand on territorial disputes

In an interview on July 13^th, Philippine Deputy government’s spokesperson Abigail Valte said: “The statement of President Obama as embodied in the White House statement is consistent with the Philippine government’s position (that) any maritime dispute should be resolved under a rules-based regime of international law. Force should not be resorted to in any case”.

The U.S.

Obama warns China against "coercion" at sea

US President Barack Obama warned China on July 11^th against using force or intimidation in its tense maritime disputes with its neighbours and urged a peaceful resolution. Obama, meeting Chinese officials who were in Washington for wide-ranging talks, "urged China to manage its maritime disputes with its neighbours peacefully, without the use of intimidation or coercion", a White House statement said.

Full statement

Regional Snapshots

US-China Strategic and Economic Dialogue opens

The 5th annual US-China Strategic and Economic Dialogue opened in Washington on July 10^th. During the two-day meeting, the heads of 20 US and Chinese government agencies will discuss a number of political, security, economic, and financial issues. Strategic discussions will be chaired by Chinese State Councilor Yang Jiechi and US Secretary of State John Kerry. Vice Premier Wang Yang and Treasury Secretary Jack Lew will host the economic and financial sessions. Speaking at the opening session, US Vice President Joe Biden said that despite differences, Washington and Beijing can find solutions benefiting both sides through cooperative, frank, and honest discussions.

The 15^th Vietnam-India Inter-Governmental Committee Meeting

The Vietnam-India Inter-Governmental Committee on Economic and Science-Technology Cooperation convened its 15 th meeting in New Delhi , India on July 11^th. The meeting was presided over by Vietnamese Foreign Minister Pham Binh Minh who is paying an official visit to India from July 10^th-12^th and his Indian counterpart Salman Khurshid. Referring to the East Sea issue, India stressed its support for maritime freedom, security and safety in the East Sea, and said it backs relevant countries in the settlement of disputes by peaceful means in line with international law, including the 1982 United Nations Convention on the Law of the Sea (UNCLOS), the Declaration on the Conduct of Parties in the East Sea (DOC) and the early establishment of a Code of Conduct in the East Sea (COC).

Senior Chinese, US military officers meet on ties

Chairman of the US Joint Chiefs of Staff Martin Dempsey on July 11^th met with Wang Guanzhong, deputy chief of general staff of the Chinese People's Liberation Army (PLA). During their meeting at the Pentagon, Dempsey spoke highly of the positive momentum of bilateral military ties, saying that high-level contacts between the two militaries are conducive to the development of US-China military ties. Dempsey also expressed the hope that the two militaries would continue to increase exchanges and strengthen cooperation.

Commentaries & Analyses

Tensions easing in the South China Sea?

By Katie Hunt

China has agreed to hold formal talks with its southeast Asian neighbors about establishing a "code of conduct" to ease maritime tensions in the South China Sea, a major step forward in the long-running dispute. However, analysts said the move was unlikely to yield a quick fix for one of the region's biggest flash points. Stephanie Kleine-Ahlbrandt, Northeast Asia Director at the International Crisis Group in Beijing, said that it was a "positive development" and a code of conduct was urgently needed as China steps up its law enforcement patrols and military exercises in the South China Sea. "It also provides substance to Beijing's rhetoric that its relations with Southeast Asian countries remain a foreign policy priority," she said. "But this is only a first step, and there is a long way before an effective code can be developed and implemented. Beijing has a record of suspending talks as soon as tensions with rival claimant countries flare -- precisely when talks are most needed." China has previously stated that it wishes to deal bilaterally with disputes in the South China Sea but a multitude of domestic problems, and the headway the U.S. is making in the region as part of its "pivot" to Asia, means China's new leaders have decided that now is not the time to press issue, Kleine-Ahlbrandt added.  Ian Storey, senior follow at the Institute for Southeast Asian Studies in Singapore, says a code of conduct is a way to manage, not solve, the dispute and China is likely to drag out talks. It has already asked for the formation of an "experts committee" to advise on the drafting on the code of conduct that could slow negotiations, he added. "Even at the end of the process, the final agreement is unlikely to be this formal, binding, effective and robust agreement that people are hoping to see."

India: The stabilising factor for disputes?

By  Darshana M. Baruah

The ongoing maritime disputes in the South China Sea are a major concern for the ASEAN nations. It has created a rift within ASEAN as the nations are divided on how to resolve the disputes. Countries like Singapore and Vietnam believe that India can play a positive role in the regions peace and stability. India is concerned over the maritime disputes and their implications. The maritime disputes and the safety of sea lanes are discussed in all major forums between India and ASEAN for whether it is the India ASEAN Summit, or the Delhi Dialogue. What is yet to be seen if India can be the balancing actor that the region seeks. New Delhi's presence in the area is not a strategy to counter China but rather a necessity to safeguard its interests from an increasingly assertive Beijing. India looks to increase its engagements with ASEAN nations and in turn, the Southeast Asian nations seek its presence in stabilising the region. Although there is a concerted effort for an increased cooperation on maritime security, New Delhi must be careful not to let China intimidate this collaboration. Keeping in mind the rapidly changing geo political dynamics in Asia, and India's vision of enhanced cooperation, it would be beneficial for India to remain in the area and protect its interests. New Delhi must continue to engage and cooperate with the ASEAN countries to realise its desired level of strategic partnership. This in turn would involve deepening naval cooperation with the key countries of ASEAN and major powers sharing India's interest in defending the principle of Freedom of Navigation and maintaining peace and stability. New Delhi must find the political will to be the stabilising factor that its ASEAN friends seek.

Fishing Wars: Competition For South China Sea’s Fishery Resources

By Lucio Blanco Pitlo III

The hydrocarbon potential of the South China Sea (SCS) has become a source of tension between the littoral states of the region and, to a certain extent, a number of outside actors. However, the SCS’s significance to global oil and gas supplies is over-hyped. Instead, it is the region’s fisheries rather than fossil fuels that have the potential to ignite a regional conflict. At present, however, this transboundary issue does not receive the attention it deserves in international maritime law, which grants ‘exclusive’ territorial rights over a maritime area, contributing to a tragedy of the marine commons. Agreements on fishing seasons, maximum catch limits, prohibition on the capture of certain marine species and protection from unilateral arrests are among the ‘neutral’ issues that may facilitate dialogue without spilling over into geopolitics. The last thing individual fishermen need is to get caught in a political standoff, or become modern day soldiers of territorial expansion. This blurring between civilian and state interests leaves them vulnerable as legitimate targets of neighboring governments, in whose waters they use to fish, long before such tensions resurfaced.

China on charm offensive at Asean security forum

China turned on the charm at ARF 2013, signalling a change in tone as President Xi Jinping seeks to counter a US push for more influence in Asia. Beijing agreed during an Association of Southeast Asian Nations-hosted forum in Brunei to meet the 10-member group in September to develop rules to avoid conflict in waters marked by confrontations with nations such as Vietnam and the Philippines. China also expressed unity with the United States, South Korea and Japan to rid North Korea of nuclear weapons. Those policy stances may reflect a more conciliatory approach after China's aggressive assertion of sovereignty in the South China Sea in recent years prompted neighbours to boost security links with the US. China is vying for influence in Asia, while the US conducts a pivot toward the region and supports allies like the Philippines. "China has moved from the, 'Do little, engage little' form of engagement to, 'Do a lot, engage a lot," said Gary Li, a senior analyst at IHS Maritime in London. "The new dynamism signals a potential new era in Chinese relations with its neighbours, including Asean." Foreign Minister Wang Yi , attending his first Asean meeting since Xi took the presidency in March, said China and Asean were "like members of one big family". He pledged to upgrade an Asean-China trade agreement and push ahead with talks on a regional economic partnership. China is "turning on a charm offensive to Asean as a whole, and at the same time making it clear that it is the Philippines that is making trouble", said Steve Tsang, director of the China Policy Institute at the University of Nottingham in Britain.