The Philippines’ territorial and economic relations with China

The economic relations of The Philippines to China dates back to the 10th Centenary where
it was established by the political relationship of Chinese traders to Filipino chieftains. The
direct and regular trade of the Chinese was extensive and covered a vast portion of the
Philippine archipelago and the neighboring Southeast Asian countries in which the Filipino
traders benefited as a whole. And after a quarter in a half-century diplomatic relation to
China were renewed on June 9, 1975, in the reign of President Ferdinand Marcos. Over 45

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years of bilateral partnership, it has prospered and continues to strengthen its ties with the

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Philippines. With nearly 100 bilateral agreements signed that covers the issues of

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governance, security, trade and investment, judicial cooperation, infrastructure

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development, etc, reflects the depth and the growing association between the two
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countries. But amidst the efforts and contributions to strengthen these ties, in 1995, The
Philippine Navy stumbled upon several built structures that The People’s Republic of China
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occupied on the western coast of Palawan. This incident led to many tensions and issues
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that are still rising between the two countries.

The territorial disputes of China are considered to be one of the external challenges to the
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country’s sovereignty and security; China has been especially keen to obstruct the attempts
of the Philippines and others to exploit the wealth it needs for itself. Our government claims
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that Chinese naval vessels fired warning volleys at Filipino fishermen, harassed an oil
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exploration vessel, and placed a marker on Filipino waters in 2011 after China's "9-dash
assertion" to the sea in 2009. Moreover, Chinese naval vessels assaulted a seismic operating
for Forum Energy, a British oil company under contract with the Philippines last spring 2011.
Another particular territorial dispute between China to the Philippines is the month-long
impasse in the Scarborough Shoal, 220 kilometers west of the main Philippine island of
Luzon. Both of the two countries declare ownership to the uninhabited, horseshoe-shaped
shoal of coral reefs and islets in which caused economic pressures to the Philippines. After a
month of the dispute, it was reported that China imposed strict phytosanitary restrictions on

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 Philippine bananas. And since 16 percent of the Philippine banana exports went to China, its
quarantine restrictions to the exported bananas caused losses of up to one billion pesos.
Tourism services were also made vulnerable during the Scarborough Shoal dispute.
According to the Tourism Research and Division, China is the fourth-largest source of tourists
to the Philippines in 2011 and the cancellations of the tourist visits by the Chinese tourist
have resulted in a net loss of 1 million dollars in the country’s tourism industry.

The Mischief Reef is considered to be a wakeup call to the Philippine defence establishment
that they had been immersed with the internal security issues rather than threats from
abroad. In result of this, the Philippine Congress approved the Modernization Program for
the Armed Forces of the Philippines to have … idk hahahha basta in order for them to

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protect our seas??? And ano to defend it against illegal poachers??

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However, relations between the two countries peaked under the government of President

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Gloria Arroyo, when they decided to establish a “strategic and cooperative relationship for

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peace and development”. It was in 2005, during Arroyo’s time in office that the Philippines
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agreed to the Joint Marine Seismic Undertaking, under which Chinese, Philippine and
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Vietnamese oil companies began a survey of the South China Sea.

But in April 2012, the Philippines dispatched a naval vessel to the region in response to
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Chinese fishing vessels operating in the waters surrounding the Scarborough Shoal. China
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replied by sending in its underwater surveillance boats, resulting in a standoff. (paraphrased

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And in response to the illegal poaching of Chinese fishermen along the Scarborough Shoal,
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the government filed an arbitration case against China on January 22, 2013 under the
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auspices of the U.N. convention on the Law of the Sea (UNCLOS).

On July 12, 2016, the arbitral tribunal adjudicating the Philippines’ case against China in the
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South China Sea ruled overwhelmingly in favor of the Philippines, determining that major
elements of China’s claim—including its nine-dash line, recent land reclamation activities,
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and other activities in Philippine waters—were unlawful. Predictably, China reacted

negatively to the ruling, maintaining it was “null and void.” China may take assertive and
inflammatory steps to defend its position. The extent to which China abides by the ruling in
the long term, and to which the international community supports and seeks to enforce the
ruling, will have consequences for the utility of international law as a tool to ensure the
peaceful, stable, and lawful use of the seas going forward.

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