 |
| Navigating Economic Strategies Amidst South China Sea Tensions |
Amidst the escalating territorial disputes between the Philippines and China in the South China Sea, the Philippines is strategically preparing to address potential economic challenges. President Ferdinand Marcos Junior's assertive stance on the South China Sea issue has heightened tensions, leading the Philippines to explore new trade avenues and partnerships to reduce dependency on China.
Diversification of Trade Partnerships:
Recognizing the need to reduce economic reliance on China, the Philippines is focusing on diversifying its trade partners and investments. Enhancing its position in the supply chain is a key focus, alongside improving infrastructure, promoting logistical development, investing in human capital, and adhering to technology transfer regulations.
Contingency Plans for Supply Chain Disruptions:
In light of potential supply chain disruptions, the Philippines is actively seeking economic partnerships with other strategic Asian countries as well as traditional allies like the United States and European nations. Efforts are underway to expand economic ties with South Korea, France, and discussions are ongoing with Japan. However, due to the trade war with China, the Philippines has postponed oil and natural gas exploration in disputed territories.
Military Preparedness:
With China blocking access to areas claimed by the Philippines within its exclusive economic zone, the Philippines is increasing troop rotation exercises and resupply missions to its warship, BRP Sierra Madre, to maintain a strong presence in the region.