Cross-Strait relations in the Lai era
On May 20, Lai Ching-te was inaugurated as Taiwan's new president, prompting significant military...
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Dryad Global's latest Metis Insights analysis, The South China Sea: Oil and Gas and an Increasingly Assertive China uncovers how China’s militarisation and harassment of vessels are impacting oil, gas, and offshore operations—putting Southeast Asia’s maritime sector at risk.
Key Points:
• Strategic shipping lanes under pressure
• Energy exploration obstructed by Chinese aggression
• Vietnam & Malaysia pushing offshore drilling despite risks
• Artificial islands transforming into military outposts
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- How is China’s militarisation of the South China Sea impacting global shipping routes and energy exploration?
- What oil and gas reserves are estimated to be in the South China Sea, and why are they contested?
- How are Vietnam, Malaysia, and the Philippines responding to China’s increasing maritime aggression in the South China Sea?
- What are the legal implications of China’s ‘nine-dash line’ claim under international maritime law (UNCLOS)?
- How could escalating tensions in the South China Sea affect energy security and offshore drilling in Southeast Asia?
The South China Sea is not only vital for global trade but also holds major oil and gas reserves that are critical for the energy security of claimant states. Countries like Vietnam and Malaysia are investing in offshore drilling to meet domestic needs amidst declining onshore reserves.
The militarization of artificial islands and increased Chinese aggression have aggravated tensions in the South China Sea, in turn jeopardizing the economic and energy interests of Southeast Asian nations.
It will be essential to closely monitor future changes in the presence of, and hostility by, China, Southeast Asian nations, the U.S., and other interest parties. Active dialogue and cooperation among claimant states are vital for managing disputes and reducing tensions.
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