South China Sea : Platform for prosperity or arena for altercation?

Abstract

The South China Sea provides a critical passage to a significant volume of global seaborne trade and a lifeline for East Asian economies which depend on energy imports from the Middle East. The Sea also features stunning mega biodiversity and rich fishing ground and is believed to contain prolific deposits of hydrocarbon energy resources. Several nations in the region are involved in overlapping territorial claims in the Sea. Some claimants have defended their interests in a vigorous manner which have led to conflicts and in the Sea. It is feared that if not managed and settled amicably, these claims may turn the Sea into a flashpoint that will threaten regional prosperity and stability. This paper highlights the economic and strategic importance of this strategic body of water as a prelude to discussing the overlapping claims by several nations on parts of the sea. It warns against overzealous acts by nations to stake their claims that may pose a threat to security, stability and prosperity in the region and may invite the presence of outside powers keen to capitalize on such situation. It strongly advocates using trade and economic development as a common denominators to foster cooperation among the nations as a way to ease tension arising from their claims in the sea. The paper recommends several policy options – including introducing a binding Code of Conduct, exploring joint exploration and increasing cooperation in are s such as navigation safety and resource management – towards making the Sea a platform of prosperity for its littoral nations.