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GEOPOLITICS | 29.11.2022

Xi Jinping's Maritime Fortresses Spark New Conflicts

Aerial view of a coral atoll in French Polynesia in the South Pacific Ocean.

Once, there was a tiny Chinese fishing village built on an atoll. It was located just 200 kilometers from the Philippine island of Palawan, and in the 1990s, it consisted of little more than a small structure on stilts. Just 10 years later, Mischief Reef, the subject of this discussion, underwent a remarkable transformation: sand was reclaimed, and the reef was turned into a military base with anti-aircraft guns and other close-range weapon systems. It is no wonder that the Philippine government feels threatened.

Mischief Reef is part of the Spratly Islands, which are also claimed in part by Brunei, Malaysia, and the Philippines. China is increasingly transforming more islands in this area into fortresses, such as Subi Reef, Fiery Cross Reef, and Gaven Reef. This clearly demonstrates the power-political tendency of China’s current policy. The People’s Republic claims 80% of the 3.9 million square kilometer South China Sea.

With its “power games,” China creates unpredictable developments that could impact European markets at any time, for example, through supply stoppages and tariffs on technology metals and rare earths. This is particularly significant given that Taiwan, which China does not recognize as a state, is also among the riparian states of these waters.

Alongside China, Taiwan is one of Europe’s most important exporters of critical raw materials. We do not even want to consider what would happen if this conflict escalated.

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