By The ICAS Team
China Criticizes US Joint Carrier Drills in South China Sea
Associated Press, July 7
China on Monday accused the U.S. of flexing its military muscles in the South China Sea by conducting joint exercises with two U.S. aircraft carrier groups in the strategic waterway. Foreign ministry spokesperson Zhao Lijian said the exercises were performed ‘totally out of ulterior motives’ and undermined stability in the area.
With New Security Law, China Outlaws Global Activism
Bethany Allen-Ebrahimian
Axios, July 7
The security law that Beijing forced upon Hong Kong last week contains an article making it illegal for anyone in the world to promote democratic reform for Hong Kong. Article 38 of the national security law states, ‘This Law shall apply to offences under this Law committed against the Hong Kong Special Administrative Region from outside the Region by a person who is not a permanent resident of the Region.’ In other words, every provision of the law applies to everyone outside of Hong Kong. Several experts in Chinese and international law confirmed this interpretation of the law to Axios.
U.S. Trade Groups Urge China to Increase Purchases of U.S. Goods, Services
Andrea Shalal
Reuters, July 6
The U.S. Chamber of Commerce and over 40 trade associations on Monday urged top American and Chinese officials to redouble efforts to implement a Phase 1 trade agreement signed by the world’s two largest economies in January despite pandemic-related strains.
In a letter to U.S. Treasury Secretary Steven Mnuchin, U.S. Trade Representative Robert Lighthizer and Chinese Vice Premier Liu He, the groups said they were encouraged by the progress so far, but urged a significant increase in China’s purchases of U.S. goods and services. They said combating the novel coronavirus pandemic and restoring global growth depended in part on successful implementation of the U.S.-China trade deal, which helped defuse a nearly 18-month trade war marked by tit-for-tat tariffs. The agreement called for China to purchase $200 billion in additional U.S. goods and services over the next two years.
Tensions Heat up in South China Sea as US Makes Significant Show of Force
Brad Lendon
CNN, July 6
For the first time in six years, two US Navy aircraft carriers are in the South China Sea, the latest show of military might from Washington as it pushes back against China’s sweeping claim to much of the contested region. The two US carriers arrived in the region as China wrapped up its own set of naval exercises near a disputed island chain, an apparent synchronicity not lost on Beijing’s state media, which carried reports boasting of the country’s readiness to repel any US attempt to challenge its claims.
Goldman Says U.S. Tensions Won’t Hurt China Stocks Too Much, Yet
Joanna Ossinger
Bloomberg, July 5
The relationship between the U.S. and China would have to get a lot worse to hurt Chinese stocks in a significant way, according to Goldman Sachs Group Inc. There’s ‘still-decent risk/reward for Chinese stocks unless U.S.-China relations substantially deteriorate from here, lending support to our Overweight call on China in a regional context,’ strategists including Kinger Lau and Timothy Moe wrote in a note dated July 5. ‘Old Economy and Value may have generally overreacted to the rising tensions, while ‘New China’ and Growth may have under-priced the US-China risk’ in recent months, they added. The strategists came to that conclusion via a U.S.-China ‘relations barometer’ they created that includes factors like geopolitics and capital markets. A gauge of trade tensions they’ve been using doesn’t fully capture the broad range of issues that have begun to affect markets, they said.
Red Flags Raised over Chinese Research Published in Global Journals
Eva Xiao
The Wall Street Journal, July 5
More than 100 scientific research papers from China-based authors appear to have reused identical sets of images—a sign that many were likely produced by the same company or ‘paper mill,’ said Elisabeth Bik, a California-based microbiologist and image-analysis expert.
The problematic research reports, published by different authors over a four-year period, made it past the scientific peer-review process at six international journals. The European Review for Medical and Pharmacological Sciences, which alone published 113 of the 121 papers, said it would ask the authors in question to prove the originality of their data. Some of the 121 researchers said they would produce the raw data and asked for more information to check their paper and clear their names.
U.S. Lawmaker Seeks to Ban Chinese Firms from U.S. Capital Market
Alexandra Alper
Reuters, July 2
A top senator is preparing a bill to ban Chinese companies from U.S. capital markets if they engage in syping, human rights abuse or support China’s military, threatening a financial blow as tensions mount over COVID-19 and Beijing’s crackdown on Hong Kong.
Republican Marco Rubio, a prominent China hardliner, said he plans to unveil the legislation in the coming weeks after the U.S. Department of Defense released a list of 20 companies that it alleges are owned or controlled by the Chinese military.
Senate Passes Sanctions Bill Targeting China over Hong Kong Law
Jordain Carney
The Hill, July 2
The Senate passed legislation on Thursday to slap sanctions on Chinese officials who restrict Hong Kong’s autonomy. The legislation, which is now headed to President Trump’s desk, would impose penalties on individuals who infringe on Hong Kong’s semi-independence from China, as well as the banks who do business with them.
China Hits Back at US with New Media Restrictions as Tensions Rise
Hadas Gold and Steven Jiang
CNN Business, July 1
China has hit back at what it calls Washington’s ‘suppression of Chinese media’ by demanding that four US news organizations declare details of their finances and staffing in the country.
The Associated Press, United Press International, CBS News and NPR News must submit relevant paperwork to the Chinese government within seven days, Foreign Ministry spokesman Zhao Lijian said Wednesday at a regular press briefing. A spokesperson for the Associated Press told CNN Business the agency is ‘seeking more information about the requirements announced today and will review them carefully.’
China Strikes Back at U.S. Move to Restrict Visas for Party Officials Over Hong Kong
Chao Deng
Wall Street Journal, June 30
China’s Foreign Ministry said Monday that Beijing would impose visa restrictions on ‘U.S. personnel who have behaved egregiously on Hong Kong-related issues.’ It said the move came in response to Washington’s announcement last week that it would sanction Chinese officials who it said contribute to undermining Hong Kong’s autonomy.
China analysts say Beijing’s restrictions could apply to Hong Kong as well as to mainland China, and could cover not only American officials but political figures and representatives of nonprofits.
FCC Designates Huawei and ZTE as National Security Threats
The Federal Communications Commission, June 30
The FCC’s Public Safety and Homeland Security Bureau formally designated two companies – Huawei Technologies Company (Huawei) and ZTE Corporation (ZTE), as well as their parents, affiliates, and subsidiaries – as covered companies for purposes of the agency’s November 2019 ban on the use of universal service support to purchase equipment of services from companies posing a national security threat. As a result, money from the FCC’s $8.3 billion a year Universal Service Fund may no longer be used to purchase, obtain, maintain, improve, modify, or otherwise support any equipment or services produced or provided by these suppliers.[Full order: Huawei; ZTE.]
China Passes Sweeping Hong Kong National Security Law
Helen Regan
CNN, June 30
Beijing imposed a wide-reaching national security law on Hong Kong on Tuesday, which many fear could be used to override existing legal processes and erode the city’s civil and political freedoms. The new legislation criminalizes secession, subversion, terrorism, and collusion with foreign powers and allows Beijing to exercise jurisdiction over Hong Kong in cases involving foreign forces, serious situations that the Hong Kong government cannot handle effectively, and when national security faces a major threat.
Under the new law, the Chinese central government will establish its own law enforcement presence in Hong Kong as well as a national security committee for Hong Kong, comprised of Hong Kong government officials and an advisor appointed by the Chinese central government. According to a summary published by the Hong Kong government, this committee’s work ’shall not be disclosed to the public,’ and ‘decisions by the Committee shall not be amenable to judicial review.’
Pompeo Calls China Muslim Sterilization Reports ‘Shocking’ and ‘Disturbing’
David Brunnstrom
Reuters, June 29
U.S. Secretary of State Mike Pompeo on Monday labeled as ‘shocking’ and ‘disturbing’ reports that China’s ruling Communist Party is using forced sterilization, forced abortion and coercive family planning against minority Muslims.
Pompeo highlighted a report by German researcher Adrian Zenz, who said his findings represented the strongest evidence yet that Beijing’s policies in Xinjiang ‘impos[e] measures intended to prevent birth within the [targeted] group.’ The Chinese Embassy in Washington referred to a statement by Foreign Ministry spokesman Zhao Lijian, saying that ‘some institutions are bent on cooking up disinformation on Xinjiang-related issues. … Their allegations are simply groundless and false.’
China Message to U.S.: Crossing ‘Red Lines’ Could Put Trade Deal at Risk
Lingling Wei and Bob Davis
The Wall Street Journal, June 26
Beijing has begun quietly delivering a message to Washington: U.S. pressure over matters China considers off limits could jeopardize Chinese purchases of farm goods and other U.S. exports under the ‘Phase One’ trade deal.
During a meeting with Secretary of State Mike Pompeo last week in Hawaii, China’s top diplomat, Yang Jiechi, listed Washington actions in Hong Kong and Taiwan as well as China’s ‘strong dissatisfaction’ with a bill mandating sanctions against Chinese officials and entities deemed responsible for mass detention of Uighur Muslim in Xinjiang. Mr. Yang reiterated Beijing’s commitment to carrying out the trade deal but stressed that both sides had to ‘work together.’ A Chinese official said that meant ‘the U.S. side should refrain from going too far with meddling.’ The official added, ‘Red lines shouldn’t be crossed.’ According to those briefed on the talks, Mr. Pompeo didn’t give any ground.
Defense Department Produces List of Chinese Military-linked Companies
Bethany Allen-Ebrahimian, Zach Dorfman
Axios, June 24
The Defense Department is making public for the first time a list of Chinese companies that are operating in the U.S. and are tied to the Chinese military. The list includes Huawei, Hangzhou Hikvision, China Railway Construction Corporation, and China Telecommunications Corporation. It is not yet known if the new list is a prelude to Treasury actions. A Hikvision spokesman denied that Hikvision is a Chinese military company and said Hikvision will continue to work with the U.S. government to resolve the matters.
Political Donors Linked to China Won Access to Trump, GOP
Brian Spegele
The Wall Street Journal, June 23
Chinese nationals linked to the Chinese government have donated hundreds of thousands of dollars to Trump’s reelection campaign in an attempt to get closer to the president. The efforts to gain political access came shortly after Trump took office, but have stalled given the trade war between the US and China and then the coronavirus. Several of the Chinese nationals worked closely with China’s national-security apparatus, including organizations linked to its military, and briefed high-ranking Chinese officials about their efforts. In response to inquiries, the Republican National Committee said it had instructed the involved Republican official to break ties with several of these Chinese nationals, but said it wouldn’t return donations because it didn’t believe campaign-finance laws were broken. There’s no indication that Mr. Trump was aware of the political contributions.
China Launches its Final Satellite to Complete its Rival to the US-owned GPS System
Arjun Kharpal
CNBC, June 22
China sent the last satellite to space on Tuesday to complete Beidou, its global navigation system and a rival to the U.S. government-owned Global Positioning System (GPS). With the launch of the final satellite at 10:15 a.m., Beijing time, this completed version of Beidou consists of 30 satellites and now has global coverage.
China’s Top Legislature Adopts Decision on Joining Arms Trade Treaty
Li Jiayao
Chinese Ministry of National Defense, June 21
China’s top legislature voted to adopt a decision on joining the Arms Trade Treaty on Saturday at a legislative session of the National People’s Congress Standing Committee. The approval is a major step in China’s active participation in global governance on the arms trade and safeguarding international and regional peace and stability. The move embodies China’s determination and sincerity in supporting multilateralism, safeguarding the existing international arms control system, and building a community with a shared future for humanity.
US-China US$200 Billion Trade Deal Leaves European Suppliers Feeling Left Out
Keegan Elmer
South China Morning Post, June 21
China’s commitments under the Phase One trade deal with the United States have left European firms feeling frozen out of the world’s largest consumer market, observers say. According to an EU diplomat, the Phase One deal has meant far less space for European firms to access the Chinese market and ‘has effectively sucked most of the air from the room when it comes to agricultural deals, and left firms and governments frustrated.’ Max Zenglein, chief economist at the Mercator Institute for China Studies in Berlin, said European firms saw the US-China deal as ‘highly problematic.’
Balancing Act: Major Powers and the Global Response to US-China Great Power Competition
By Fiona Hill, Tanvi Madan, Amanda Sloat, Mireya Solís, Constanze Stelzenmüller, Bruce Jones, Emilie Kimball, Jesse I. Kornbluth, and Ted Reinert
Brookings Institute, July
“The U.S.-China debate is particularly salient across the entire European digital landscape. The United Kingdom, eager to upgrade its domestic infrastructure after leaving the European Union, ignored Washington’s admonitions against partnering with Huawei for its 5G network infrastructure…”
“Though its members continue to engage China on a state-to-state level, in 2019 the European Union collectively acknowledged China as a ‘systemic rival.’ While the EU remains the chief investor in Europe’s infrastructure, China is closing the gap, and Europeans are becoming increasingly aware of and concerned by China’s ability to challenge and shape their continent. Europeans find that Washington’s current approach to China is overly aggressive, and they do not want to be squeezed between the United States and China.”
“In this era of great power competition and fragile international order, international institutions are increasingly caught in a bind, reluctant to criticize either one of those two powers, even with strong backing from one of them. That is weakening public confidence in international institutions, although the governments discussed here tend to a realist view of the role and limits of international institutions.”
Three Kinds of Power: What U.S. Can — and Can’t — Actually do about China
By Kevin D. Williamson
National Review, July 2
“U.S. policy toward China has gone wrong because Washington behaves as though our relationship with China were a patron-client relationship, in which the United States graciously grants Chinese firms access to U.S. markets in exchange for certain vaguely defined (and often conflicting) reforms: that China become more democratic, less aggressive, less mercantilist, etc.”
Balancing Standards: U.S. and Chinese Strategies for Developing Technical Standards in AI
By Jeffrey Ding
The National Bureau of Asian Research, July 1
“[B]oth the United States and China are adopting a strategy that attempts to balance multiple interests, including protecting competitiveness, promoting innovation, and ensuring safe and trustworthy development of new technologies.”
“Analysts should be careful to not attribute unique effects to the act of standards-setting, especially if it just consolidates or reflects developments that would have taken place anyway. … since some standards organizations like the ISO are heavily dependent on industry stakeholders, the process often results in ‘modest, least-common-denominator’ standards. Oftentimes the discussion of technical standards also devolves into least-common-denominator concerns about U.S.-China competition and great-power machinations over international influence. These concerns must be balanced with an understanding of how technical standards can also be used to better govern technologies like AI.”
China Could Be in Reach of Hawaii after Kiribati Elects Pro-Beijing President
By Christopher Pala
Foreign Policy, June 19
“Maamau’s reelection gives China the tantalizing possibility of gaining a foothold in Kiribati’s Christmas Island, the world’s biggest atoll with a land area of 150 square miles. It’s located just 1,300 miles south of Honolulu, home to the U.S. Pacific Command. Building port facilities on Christmas Island, ostensibly for tourism but capable of use by Chinese warships, is a concern for the U.S. military.”
China and its Arctic Trajectories: Final Remarks
By Sanna Kopra
The Arctic Institute, June 18
“Although China’s growing regional engagement has raised speculations and concerns among regional actors and stakeholders, there is no shared threat perception about ‘China threat’ among the eight Arctic states. While some Arctic states are concerned about political and economic risks related to the Chinese investments in the region, the US is ‘prepared to go fully kinetic’. Thus, it seems that traditional security issues and great power competition are making a come-back to the Arctic security discussions, especially due to the tightening geopolitical tensions between the United States and China.”
“Unfortunately, the outbreak of the coronavirus pandemic seems to have fostered deep mistrust between the two countries. It remains to be seen whether, and how, the growing mistrust will affect Arctic cooperation and undermine the important work done by the Arctic Council, the intergovernmental regional body, on promoting sustainable development in the region. Presently, it is too early to anticipate whether or not China will emerge a stronger regional player in the Arctic in the aftermath of COVID-19.”
China’s Post-Coronavirus Aggression Is Reshaping Asia
By Lindsey W. Ford and Julian Gewirtz
Foreign Policy, June 18
“If crises and wars tend to be the crucibles in which new orders and institutions are forged, the COVID-19 crisis is likely to be no exception—it may be remaking the geopolitics of the Indo-Pacific. The ongoing crisis seems to have imbued countries in the region with a new seriousness of purpose about the risks of a slow slide toward Chinese hegemony. This is handing the administration of U.S. President Donald Trump openings it has long sought: more credible multilateral coordination among allies, pushback against online disinformation, and the desire to better integrate like-minded economies and supply chains.”
Competing U.S.-China Approaches to Security in China’s Backyard
Event hosted by The National Bureau of Asian Research, July 8
Video Event | China’s Attempt to Influence U.S. Institutions: A Conversation with FBI Director Christopher Wray
Event hosted by the Hudson Institute, July 7
Online Event: CSIS Debate Series: Great Power Competition
Event hosted by Center for Strategic & International Studies, July 7
Reports Launch: Shaping the Post-COVID-19 World Together
Event hosted by The Atlantic Council, July 7
Can Cooperation on Missile Defense Avoid a U.S.-China Nuclear Arms Race?
Event hosted by Carnegie Endowment for International Peace, June 30
Online Event: Party on the Bridge: Political Commissars in the Chinese Navy
Event hosted by Center for Strategic & International Studies, June 30
Online Event: A Book Talk on ‘China: The Bubble That Never Pops’
Event hosted by Center for Strategic & International Studies, June 26
Webinar – China, Africa, and Debt Distress: Fact and Fiction About Asset Seizures
Event hosted by Johns Hopkins SAIS, June 25
Southeast Asia’s Anglophone Elites and U.S. Foreign Policy
Event hosted by Wilson Center, June 19
Online Event: Cross-Strait Relations in Tsai Ing-wen’s Second Term
Event hosted by Center for Strategic & International Studies, June 19
Online Event: U.S.-China Relations: The Great Disruption
Event hosted by Center for Strategic & International Studies, June 18
The Future of U.S. Strategy in the Indo-Pacific
Event hosted by The National Bureau of Asian Research, June 17
Bilateral Breakdown: Views From our Allies
Event hosted by National Committee on U.S.-China Relations, July 9
Online Event: Tenth Annual South China Sea Conference, Keynote and Session One
Event hosted by Center for Strategic & International Studies, July 14
Current trends and challenges in the Chinese banking sector
Event hosted by the Peterson Institute for International Economics, July 22
Tensions in the Taiwan Strait
Event hosted by Vermont Council on World Affairs, August 13
China Aerospace Studies Institute Conference 2020 – PRC Space
Event hosted by the Air University, September 17
By The ICAS Team
On July 4, 2020, the U.S. Navy held its first dual-carrier drills in the South China Sea since 2014. At the same time, the Chinese Navy was also conducting military exercises around the Paracel Islands (Xisha Islands) from July 1–5. Both China and the U.S. criticized each other for destabilizing the region. The region has, once again, become the epitome of the deteriorating bilateral relationship. In this regard, ICAS has consolidated the shared views and analyses from both the Chinese and the American sides in order to paint an objective picture of the evolving dynamics in the South China Sea.
The future of U.S.-China relations in the South China Sea (SCS) appears challenging. China sees the SCS transitioning from a period of stability to a period of turbulence. There are a few factors driving this transition. These factors include the gradual closing of the ‘window of opportunity’ afforded by the SCS Code of Conduct (CoC) negotiations, Vietnam’s supposedly audacious behavior in these waters, Malaysia’s recent extended continental shelf submission and the threat of lawfare by both Malaysia and Vietnam, and the U.S.’ more muscular and intrusive forward presence in the South China Sea and adjacent waters. These actions have tended to elicit an action-reaction cycle on China’s part, with Beijing occasionally resorting to tougher and unilateral measures to counteract these negative headwinds.
The SCS quarrels have been subsumed within the larger U.S.-China quarrels. This having been said, the U.S. views China’s ‘historic rights’ claims in the South China Sea as the key villain insofar as the prevailing tensions are concerned. The ambiguous nature of what China is claiming, along with its international law basis of this claim, has fueled tensions with claimant states and the U.S. alike. So long as the claim continues to stand, it will draw worst case assumptions about China’s intentions and purposes by these claimant states and in Washington. Not only will this further aggravate tensions, but there is even perhaps a hint that Washington may be prepared to drop its (formal) policy of studied neutrality and – beyond just freedom of navigation operations – engage more forthrightly in taking sides in South China Sea-related affairs.
Although the Trump Administration’s realist approach to the South China Sea has moved away from the Obama Administration’s multilateralist and lawfare-based approach, the intensification of U.S.-China military competition will nevertheless continue to be felt in this crucial waterway. In particular, President Trump might need to display his toughness vis-à-vis China to his regional allies as the election looms and the South China Sea could become an ideal strategic theater to drag China into a military conflict with the U.S. An “October Surprise” in these waters should not be ruled out. Other complicating factors, such as unilateral oil and gas exploitation, threats to unilaterally file for international arbitration, and claimant states’ jockeying for position in the run-up to the upcoming critical phase of Code of Conduct (CoC) negotiations, etc. will accelerate the South China Sea’s transition from the existing period of relative stability to one of turbulence.
Over the past few months, the South China Sea has witnessed multiple instances of aggressiveness by practically all claimant states. While Beijing has certainly not backed down in these instances, other states – Vietnam and Malaysia notably – have been just as fierce and aggressive in pursuing their narrower interests, as per the Chinese sides’ viewpoint. This is manifested most prominently in the voluminous amount of illegal fishing conducted by Vietnamese fishermen in China’s undisputed and disputed waters, with Beijing being relatively restrained in its response. Malaysia has been pushing the envelope too with its unilateral oil and gas exploration and exploitation, including on the extended continental shelf. Unfortunately, the issue of maritime engagement of China in the South China Sea needs to be framed not so much in terms of the means of engagement of China as much as in terms of the means to minimize disengagement with China.
China sees the U.S.’ overt and tacit support as the inescapable drivers of this brazenness displayed by China’s rival claimant states. This is, in turn, a product of the U.S. reversion to great power competition (as articulated in Washington’s national security and defense strategies), and the Western Pacific maritime theater becoming the specific locus of that competition. The U.S.’ maritime posture and deployments in the Western Pacific has very little to do with underwriting a rule-based order in the Asia-Pacific or providing a regional security anchor. Rather, the true purpose of the U.S. is to take advantage of the complex inter-state frictions in the South China Sea and, as it pivots away from other theaters (notably the Middle East), entrench Washington’s position and posture in China’s near and far seas. This has emboldened the South China Sea claimant states to challenge China’s authority. Furthermore, this constant, forward-deployed U.S. presence and pressure has aroused anxieties and insecurities at China’s end – in turn, prompting its own sovereignty-protecting operational measures. The need of the hour right now is a robust U.S.-China maritime crisis management framework (CUES is not enough), backed by deeper mil-mil acquaintance building between the two sides at all levels. Multilateral Confidence-Building Measures (CBMs) and management systems, such as those in the Arctic and the Atlantic, could also be contemplated at the China-US-ASEAN level.
The U.S. does not agree and takes exception to China’s characterization of anxiety and insecurity as a result of the U.S.’ Western Pacific naval deployments. China enjoys clear naval and military superiority in the South China Sea region; this is well known to U.S. Seventh Fleet commanders; and hyping China’s anxieties has not been helpful. This having been said, there is indeed a need for a better crisis management as well as a multilateral governance mechanism – although here too, i.e. in past mil-mil exchanges, the U.S. side has been somewhat disappointed by the repetitiveness of China’s talking points. At a broader level, the U.S. view is that insofar as the political dimension of the South China Sea issue is concerned, China has become its own worst enemy. This is because of the unfortunate extremeness of its legal position regarding these waters – as best exemplified by its extravagant and non-compliant ‘historic rights’ claim. ASEAN states have numerous sovereign rights and jurisdiction disputes amongst themselves. But none makes a claim to a SCS water area based on ‘historic rights’. And this ensures that they end up coalescing around each other and resisting China’s expansive interpretation of its rights in the SCS. U.S. has hardly therefore needed to take an active diplomatic role. The lesson for China at the end of the day is that until it grapples with this Nine-Dash Line/historic rights conundrum, and ideally finds some way to restore the pre-2009 ambiguity that existed in this regard, it will continue to become ever-more isolated in the politics of the SCS.
Maritime military conflict management in the South China Sea is governed by a number of multilateral and bilateral instruments, which ranges from the UN Charter and the International Regulations for Preventing Collisions at Sea 1972 (COLREGS) to the Code for Unplanned Encounters at Sea (CUES), UNCLOS and the Convention on International Civil Aviation (Chicago Convention). Regarding bilateral instruments, the most notable one is the U.S.-China MoU on Rules of Behavior for Safety of Air and Maritime Encounters of 2014. A supplement for safety of air-to-air encounters was added in 2015. While these instruments are non-binding, they contain important provisions on mil-mil communication and are designed to improve safety at sea and in the air. In the view of American participants, U.S. military forces scrupulously abide by the provisions listed in these instruments. And therefore, if these instruments are given full play and all parties, including China, abide professionally with these provisions at the operational and tactical level, a fundamental degree of conflict avoidance can be established and maintained in the South China Sea area.
Nevertheless, these instruments and mechanisms contain a fair degree of interpretive vagueness, which means both sides could come to different interpretations of the same provision. This lack of precision and scope for discretion could precipitate a serious incident. Furthermore, this exhaustive listing of provisions can also provide a false sense of security. As the deadly outcome of the recent China-India clash on their land border attests, an elaborate set of boundary conflict management protocols can sometimes lull the parties into underestimating the dangers of unplanned or bad faith encounters.
Navies and air forces of both China and the U.S., by and large, exhibit a high degree of professionalism and, given the constant level of high tension, tend to take decisions carefully and cautiously. The likelihood of escalation and U.S.-China conflict due to shoddy or rogue naval maneuvering is low. This having been said, the escalation of tensions in the South China Sea, which is putting pressure on the military conflict management mechanisms, is primarily because of the naval pressure that the U.S. is bringing towards and into this maritime theater – as best encapsulated by the recent case of the three aircraft carries in the Western Pacific and the Philippine Sea. China could perceive such actions as emboldening the U.S.’ regional allies, as well as SCS claimant countries, to engage in provocative actions against China, including those that challenge its bottom line. By testing both red lines and bottom lines, which inherently have an element of ambiguity, this puts potentially dangerous amounts of pressure on conflict management mechanisms. It is essential, therefore, that the U.S. and China maintain regular channels of military dialogue and communication. There should also be an effort bilaterally to improve the crisis management mechanism.
Without a doubt, U.S.-China maritime relations and China-ASEAN claimant state relations in the South China Sea is strained. But this strain should not be seen as the sum total of their respective interactions. In fact, both in the South China Sea and beyond, there is potential for creative approaches to constructive rulemaking and mutually beneficial functional cooperation. Within the SCS, the creation of a Regional Fisheries Management Organization (RFMO) that regulates single, highly migratory stocks like tuna is eminently doable – that is if the SCS coastal states are willing to summon the political will. For other marine organisms in these waters, a broader arrangement like the Antarctic Marine Living Resources Conservation Convention is more relevant. In the area of aquaculture too, there are promising opportunities for China-ASEAN and China-US cooperation. Beyond the South China Sea, one potentially low-hanging area of constructive and cooperative rulemaking is illegal, unreported and unregulated (IUU) fishing. Both, the executive and legislative branches of the U.S. government have been notably active on the seafood monitoring and traceability front and China, for its part too, has made remarkable strides on clamping down on IUU fishing in terms of reporting, tracing and conservation requirements. U.S. and Chinese interests neatly align.
Notwithstanding how international maritime law evolves at the multilateral level, it is important that China and the U.S play a more active role in the interim with regard to building a security mechanism in the South China Sea. Perhaps Washington and Beijing could co-organize a Track One-and-a-Half process workshop titled “Informal Workshop on South China Sea Maritime Security and LOS”, featuring scholars, experts, and senior representatives from government agencies represented in their personal capacity. The exchanges and outcomes could provide valuable pointers to all sides.
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