Home
FacebookTwitterSearchMenu
  • Subscribe
  • Subscribe
  • News
  • Features
  • Knowledge Library
  • Columns
  • Customs
  • Jobs
  • Directory
  • FX Rates
  • Categories
    • Categories
    • Africa
    • Air Freight
    • BEE
    • Border Beat
    • COVID-19
    • Crime
    • Customs
    • Domestic
    • Duty Calls
    • Economy
    • Employment
    • Energy/Fuel
    • Events
    • Freight & Trading Weekly
    • Imports and Exports
    • Infrastructure
    • International
    • Logistics
    • Other
    • People
    • Road/Rail Freight
    • Sea Freight
    • Skills & Training
    • Social Development
    • Sustainability
    • Technology
    • Trade/Investment
    • Webinars
  • Contact us
    • Contact us
    • About Us
    • Advertise
    • Send us news
    • Editorial Guidelines
Sea Freight

Trade at risk as South China Sea tension rises

19 Aug 2024 - by Staff reporter
The Spratly Islands area where vessels from China and the Philippines collided. Source: FMSO
0 Comments

Share

  • Facebook
  • Twitter
  • Google+
  • LinkedIn
  • E-mail
  • Print

Tensions between China and the Philippines in the South China Sea continue to escalate, particularly around the Spratly Islands, a region rich in resources and strategically important for trade.

Monday morning’s collision between Chinese and Philippine coast guard vessels near Sabina Shoal highlights the ongoing confrontations, with both sides blaming each other for the incident.

Apart from the threat to maritime trade on this sea route, regarded as a crucial access way to Taiwan, whose sovereignty isn’t recognised by China, the ocean near the Spratly Islands is believed to contain significant reserves of oil and natural gas.

As a result, it has become a focal point for territorial disputes among several Southeast Asian nations, including the Philippines, Vietnam, and Malaysia.

Following the latest incident at sea, China accused the Philippines of deliberately causing the crash, while the Philippines countered that the Chinese were engaging in aggressive manoeuvres. 

This incident is part of a broader pattern of confrontations in the region, particularly around the Second Thomas Shoal, which lies within the Philippines' exclusive economic zone (EEZ) and is a site of ongoing military resupply missions by the government in Manila.

The backdrop to these tensions includes a significant ruling by the Permanent Court of Arbitration in July 2016, which favoured the Philippines in its legal battle against China regarding maritime entitlements in the South China Sea.

The tribunal concluded that China had violated the Philippines' sovereign rights and invalidated China's extensive claims marked by the "nine-dash line" that encompasses most of the South China Sea. 

Despite this ruling, China has refused to recognise the tribunal's authority or the decision itself, asserting that it will not be bound by such international legal determinations.

According to Global Conflict Tracker (CFR), the ongoing disputes and military confrontations have serious implications for trade and regional stability.

The South China Sea is vital for global shipping, with a significant portion of the world's maritime trade transiting through these waters. Disruptions due to military tensions could threaten these trade routes, impacting not only regional economies but also global markets.

CFR points out that the US has shown a vested interest in maintaining freedom of navigation in the area, conducting military operations to challenge China's assertive claims.

This involvement could lead to increased tensions and potential conflict, drawing in other regional players like Japan, which has also been enhancing military cooperation with the Philippines and Vietnam.

Sign up to our mailing list and get daily news headlines and weekly features directly to your inbox free.
Subscribe to receive print copies of Freight News Features to your door.

Teta summit a wellspring of freight forwarding insights

Logistics

Several dignitaries are scheduled to attend the summit, including Transport Minister Barbara Creecy.

26 May 2025
0 Comments

New salt storage facility opened at the Port of Walvis Bay

Infrastructure
Logistics

Dust pollution from the Namib Desert became a threat to Walvis Bay Salt.

23 May 2025
0 Comments

Creecy announces R51bn guarantee for Transnet

Logistics

The government facility aims to support the ports and rail operator on its journey to economic and operational recovery.

23 May 2025
0 Comments

Revenue service fires up AI to catch tax evaders

Economy
Technology

Enhanced enforcement against smuggling and counterfeit goods is among the steps the revenue service will take to collect funds.

23 May 2025
0 Comments

Tanzania eyes South African investors as US export tariffs loom

Imports and Exports
Trade/Investment
23 May 2025
0 Comments

New bridge heralds forward leap for Lake Vic logistics

Infrastructure
Logistics
Road/Rail Freight

It includes an additional 1.66 kilometres of connecting approach roads.

23 May 2025
0 Comments

Hammer and gavel wait for logistics parastatal's properties

Logistics

The ports and rail operator is disposing of residential houses, hostels, lodges and line camps.

23 May 2025
0 Comments

Presidency takes over oil and gas oversight in Namibia

Africa
Logistics

Logistics operators have said the president’s decision has clearly signalled the sector’s growing importance.

23 May 2025
0 Comments

South Africa bans Brazilian poultry imports

Imports and Exports

Trade has been suspended to prevent the spread of avian flu that the country is currently battling.

22 May 2025
0 Comments

Tanzania refutes reciprocal trade embargo against SA’s ‘banana ban’

Imports and Exports

Recent reports indicated that Tanzanian was considering restrictions on South African imports.

22 May 2025
0 Comments

Ramaphosa underpins importance of duty-free trade with the US

Economy
Trade/Investment

The current threat to the duty-free framework includes 32 other African economies.

22 May 2025
0 Comments

Godongwana’s fuel levy hike to hit consumers hard

Domestic
Economy
Energy/Fuel

The increase adds 16 cents and 15 cents to the price of petrol and diesel respectively.

22 May 2025
0 Comments
  • More

FeatureClick to view

Durban & Richards Bay 6 June 2025

Border Beat

Zim's anti-smuggling measures delay legitimate freight operations
06 Jun 2025
Cross-border payments remain a hurdle – Masondo
30 May 2025
BMA steps in to help DG and FMCG cargo at Groblersbrug
21 May 2025
More

Featured Jobs

New

Seafreight Import / Export Controller DBN

Tiger Recruitment
Durban
06 Jun

CargoWise Specialist

Switch Recruit
Eastrand
05 Jun

Estimator

VDM Cargo Solutions (Pty) Ltd
Brackenfell, Cape Town
05 Jun

Sea Freight Import Controller

VDM Cargo Solutions (Pty) Ltd
Brackenfell, Cape Town
05 Jun
More Jobs
  • © Now Media
  • Privacy Policy
  • Freight News RSS
  • About Us
  • Advertise
  • Send us news
  • Contact us