The presidents of China and the Philippines agreed to resume talks on oil and gas exploration in the South China Sea and discuss maritime differences amicably after meeting in Beijing on Wednesday, according to Chinese state media.
(Bloomberg) — The presidents of China and the Philippines agreed to resume talks on oil and gas exploration in the South China Sea and discuss maritime differences amicably after meeting in Beijing on Wednesday, according to Chinese state media.
“China is willing to properly handle maritime issues with the Philippines side through friendly consultation, and restart negotiations on oil and gas exploration,” China Central Television quoted President Xi Jinping as saying.
The two sides decided to establish a direct communication mechanism between the Department of Boundary and Ocean Affairs of the Ministry of Foreign Affairs of China and the Maritime and Ocean Affairs Office of the Department of Foreign Affairs of the Philippines.
They plan to also expand cooperation in agriculture, infrastructure and culture, CCTV reported following Xi’s meeting with Ferdinand Marcos Jr.
Marcos’s predecessor, Rodrigo Duterte, ended talks in June with Beijing on oil and gas exploration in the disputed sea, with then-foreign affairs chief Teodoro Locsin saying discussions had gone as far as “it is constitutionally possible to go.”
Marcos’s visit comes amid renewed tension between the nations over territorial claims in the South China Sea. Bloomberg News reported in December that China is building up several unoccupied land features, prompting the Chinese Foreign Ministry to say “the relevant report is purely made out of thin air.”
The Philippines later ordered an increased military presence in the contested waters and urged China to “refrain from acts that will exacerbate tensions” in the area.
The Southeast Asian nation has also expressed “great concern” over gatherings of Chinese vessels closer to its western coast. The US State Department backed Manila’s call for Beijing to respect international law.
Xi told Marcos the two countries should work to “safeguard the central role of Asean” in regional development and avoid confrontation among blocs, suggesting concern about American influence in the region.
Marcos’s government has ramped up diplomatic protests against China and fostered closer ties with the US that were undermined by Duterte. During a meeting with Marcos in September, President Joe Biden reaffirmed his country’s “ironclad commitment” to defend the Philippines.
Philippines Orders Military to Boost Presence in South China Sea
During the visit, the two countries signed agreements that included $201.8 million in loans with the Export-Import Bank of China for bridge projects, said Finance Secretary Benjamin Diokno.
Chinese Premier Li Keqiang also met Marcos on Wednesday and told him that China’s willing to deepen economic and trade cooperation with the Philippines to push trade volume between the two countries to over $100 billion, Xinhua News Agency reported.
Trade volume between China and the Philippines reached $82.05 billion in 2021, 34% higher from a year ago, China’s embassy in the Philippines said earlier. China will also help the Philippines boost its grain production capacity, Li told Marcos.
Marcos, who has called China the Philippines’ strongest partner in pandemic recovery, said he received a commitment from Xi to narrow the trade deficit with China as the latter readies to accept Philippine agricultural products, according to the Office of the Press Secretary in Manila.
The Philippine leader is scheduled to meet with Chinese businessmen Thursday morning where he’s expected to discuss prospects for cooperation in nickel processing and electric vehicle production, among others. He is due to head back to Manila later in the day.
–With assistance from Phila Siu, Manolo Serapio Jr. and Kevin Ding.
(Updates with details throughout)
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