Philippine-China Standoff Over Second Thomas Shoal: There Are Three Others

In the ensuing standoff between the Philippines and China in the South China Sea, the spotlight has been on the Second Thomas Shoal, where a World War II-era warship has been grounded. But there are other maritime features in the area that could serve as sparks of tensions between the two countries.

Last month, the Philippine Navy encountered its most violent skirmish with the China Coast Guard (CCG) in over a decade while ferrying supplies for troops in BRP Sierra Madre, the Philippines’ military outpost in Second Thomas Shoal. Dozens of CCG personnel wielding knives and axes rammed the military boat, resulting in a Philippine Navy sailor losing a finger.

This signalled a new escalation of tensions in the West Philippine Sea, the part of the South China Sea that falls within Manila’s exclusive economic zone (EEZ). President Ferdinand Marcos Jr., who has consistently stood up to China and its aggressive behaviour in the contested waters, faces the difficult task of calming down nerves.

Previous encounters with the CCG now look benign. In November last year, a few hundred meters away from the ageing and decrepit BRP Sierra Madre, CCG boats chased Filipino journalists, including one of the authors, on board a Philippine Coast Guard dinghy on a resupply mission as they tried to get near the Second Thomas Shoal. Huge holes filled the ship’s bottom. Tires were used as weights against the wind. Plyboards and aluminium sheets served as doors and windows.

It was the closest view the journalists have had of the World War 2 vintage ship, the first time in recent years members of the media were allowed to get this near to the atoll which China claims but which lies within the Philippines’ EEZ.

It has become almost routine for CCG ships and its maritime militia vessels to shadow Philippine boats. This would then escalate to chasing, blocking, and even ramming. But last month was the first time the CCG boarded Philippine Navy boats.

The Second Thomas Shoal is only one of the flashpoints in the West Philippine Sea — and it is the most vulnerable. Delfin Lorenzana, Defense Secretary of ex-president Rodrigo Duterte, had said that “slowly, the Chinese will take hold of BRP Sierra Madre.”

In our book, “Unrequited Love: Duterte’s China Embrace”, we lay out the maritime features in the West Philippine Sea that will remain sources of tension between Manila and Beijing. These include Scarborough Shoal, which China controls but is part of the Philippines’ EEZ; Sandy Cay, a sandbar that is part of the Philippine-occupied Thitu Island; and Reed Bank, also part of the Philippines’ EEZ and endowed with oil and gas.

The Department of Energy estimates that Reed Bank contains a potential of 165 million barrels of oil and more than three billion cubic feet of gas. With the looming energy crisis in the country, this feature becomes even more important.

Fishing rights are a big issue in Scarborough Shoal. In 2016, the international arbitral tribunal ruled in favour of the Philippines, in Manila’s case against China’s nine-dash-line claim over the South China Sea. The tribunal ruled the shoal a traditional common fishing ground for Filipinos, Chinese and Vietnamese. However, CCG vessels keep a vigilant watch over the shoal and allow Filipinos to fish mainly outside the reef. At times, they are allowed into the lagoon, where the fish stocks are rich, keeping Filipino fishermen at their mercy.

In December last year, one of the authors joined the Philippines’ fisheries bureau in its mission to provide food and fuel to the fishermen in Scarborough Shoal. A few kilometres away from the shoal, we suddenly felt what seemed like an earthquake at sea. A huge CCG ship repeatedly fired its water cannon at our ship, destroying its radar and railings.

The Philippine ship moved farther from the shoal to safely allow fishermen to get their supplies. But as the small fishing boats queued for fuel, an enormous CCG vessel stationed itself near them, harassing the fishermen with its water cannon.

It is a similar story in Sandy Cay, which lies between the China-controlled Subi Reef, a vastly developed military outpost in the Spratly Islands, and Thitu Island (which was occupied by the Philippines in 1974). Chinese ships and military planes have been using Subi Reef as a base. They had pulverised the corals there to build an artificial island more than seven times larger than Thitu.

The structures on Subi Reef are visible from Thitu, and at night, residents can see the lights from the artificial island.

Last month, one of the authors visited Thitu and saw over 30 CCG ships and militia vessels stationed around Sandy Cay and two other adjacent sandbars. Residents in Thitu used to fish and hold picnics in these sandbars — but Chinese ships have been closely guarding the area. Now, the residents complain of dwindling catch, citing China’s presence as among the reasons.

Among the flashpoints, Reed Bank appears to be the most quiet. This is because the Philippines has not yet resumed surveying for oil and gas in the area. Under Duterte,  survey activities by a private Philippine company were halted so as not to offend China, which insists that Reed Bank is theirs.

The Department of Energy estimates that Reed Bank contains a potential of 165 million barrels of oil and more than three billion cubic feet of gas. With the looming energy crisis in the country, this feature has become even more important.

China has consistently prevented the Philippines from conducting surveys there. In 2011, China used surveillance and fishing ships to intimidate survey vessels. This was one of the triggers for then-President Benigno Aquino’s decision to haul China to an international tribunal in 2013.

The Duterte administration tried to negotiate with China for a joint oil and gas exploration deal but failed. China did not agree to do a service contract with the Philippines, a standard partnership arrangement, because it would mean that China would have to acknowledge Philippine sovereign rights over Reed Bank and thus comply with the country’s laws, including paying taxes.

Marcos has said that China and the Philippines are at an impasse, but “any exploration [within our EEZ] should be conducted by the Philippines however we choose to do it — if we choose to do it by ourselves, if we choose to do it in partnership with other corporations, which will probably be the case because we don’t have that capacity for very large-scale engineering.”

If and when this happens, Reed Bank may turn into another crisis point in the South China Sea.

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