PHNO-HL: DISPUTE WITH CHINA TAKING TOLL ON PHL GROWTH

DISPUTE WITH CHINA TAKING TOLL ON PHL
GROWTH

[PHOTO- Photo taken from
the South Sea Conversations website shows Philippine Navy personnel and then
congressmen Roque Ablan and Jose Yap planting a Philippine flag on Scarborough
Shoal in May 1997.]
MANILA,
MAY, 2012
(INQUIRER) By Lawrence Agcaoili -
China's incursion in Panatag (Scarborough) Shoal as well as its growing
aggressiveness in asserting its claims in the West Philippine Sea are likely to
make a dent on the Philippine economy, as uncertainties are expected to slow
down investments and push up interest rates.
Socioeconomic Planning Secretary Cayetano Paderanga made the observation
during the launching of the book "Role of Key Emerging Economies – ASEAN, the
People's Republic of China, and India" by the Asian Development Bank Institute
(ADBI) on Wednesday.
The launching was on the sidelines of the 45th annual meeting of the ADB
Board of Governors in Manila.
But Paderanga, who is also director general of the National Economic and
Development Authority, voiced confidence the issue would be resolved peacefully.

"I am optimistic that this could be resolved. There is a spirit of
cooperation in the region," he said.
The NEDA chief announced Wednesday that the country's gross domestic product
(GDP) had likely expanded by 5.5 percent in the first quarter of the year on the
back of higher government spending, from 4.6 percent in the same quarter last
year.
The Cabinet-level Development Budget Coordination Committee (DBCC) sees the
country's GDP expanding between five percent and six percent this year after
slackening to 3.7 percent last year from 7.6 percent in 2010 due to weak global
demand and cautious spending by the government.
Chinese professor Yu Yongding also expressed belief the standoff in Panatag
Shoal would stall Philippine growth. Like Paderanga, he was also optimistic that
the issue would be settled peacefully.
"I believe the leaders and the people are wise enough to find a way to calm
things down," Yu, a professor at the Chinese Academy for Social Sciences, said.

The standoff began on April 10 when Chinese vessels prevented the crew of
Philippine Navy ship BRP Gregorio del Pilar from arresting Chinese poachers on
eight fishing boats held two days earlier for harvesting endangered corals,
giant claims and live sharks. The poachers eventually were able to sail out of
the shoal with their illegal catch.
Panatag Shoal, originally called Bajo de Masinloc, is only 124 nautical miles
from Zambales.
China bases its claim on ancient maps and text.
China has rejected a Philippine invitation to bring the dispute before the
International Tribunal on the Law of the Sea (ITLOS). It even called on the
Philippines not to draw other countries into the territorial dispute.
China to Phl: Don't draw other nations into dispute
By Pia Lee-Brago (The Philippine Star) Updated May 03, 2012 12:00
AMComments (58)

MANILA, Philippines - China has called on the Philippines not to draw other
countries into the territorial dispute in the West Philippine Sea or demand them
to take sides.
"It is neither justified nor helpful to expand the issue of territorial
sovereignty over the Huangyan Island (Panatag Shoal) to the entire South China
Sea. We urge the Philippine side not to make misleading remarks over and over
again in disregard of facts," Chinese Foreign Ministry spokesperson Liu Weimin
said in a press conference in Beijing last April 25.
"Internationalizing this issue will only complicate and amplify it and cannot
help solve the situation at all. The Philippine side should not draw other
countries into the issue or demand them to choose sides."
Liu said the cause of the dispute over the shoal is the Philippines'
violation of Chinese territorial sovereignty.
However, Liu said Beijing hopes that the Philippine side will make efforts
with China to defuse the situation soon.
Foreign Affairs Secretary Albert del Rosario earlier said the standoff poses
a threat to all countries that utilize the West Philippine Sea amid concerns
about freedom of navigation and unimpeded commerce.
The Philippines had downplayed China's warning against involving the United
States in the standoff and raised the issue during the 2+2 meeting between
Philippine officials and their US counterparts.
China rejected again a Philippine invitation to bring the matter to the
International Tribunal on the Law of the Sea (ITLOS).
Liu said China has full historical and jurisprudential evidence for its
sovereignty over Panatag Shoal, noting that it is "completely in line with
international law."
Liu claimed the shoal is outside of the Philippine territory in accordance
with relevant international treaties that set the territorial limits of the
Philippines.
The spokesperson accused the Philippines of unilaterally misinterpreting the
United Nations Convention on the Law of the Sea (UNCLOS).
"Its (Philippines) claim of a 200-nautical miles of exclusive economic zones
has impaired China's territorial claim, which is in itself against international
law. International rules are made jointly by all countries in the world and
countries, big or small, should abide by them. We believe the public are able to
tell right from wrong," Liu said.
Liu said China is confident that other countries will not take a stand on the
dispute between the Philippines and China.
"Usually countries do not take positions on the sovereign dispute between
others. We have noticed that other countries have not taken positions on this
issue," the official said.
China has recognized that the UNCLOS allows coastal states to claim a
200-nautical-mile exclusive economic zone (EEZ) providing legal basis for the
Philippines' territorial claims but declared "there is no such issue of taking
the dispute to ITLOS."
"Effectively they said no to our suggestion that we take it to international
arbitration," Del Rosario said.
US Secretary of State Hillary Clinton had said during the 2+2 meeting at the
Department of State in Washington last Monday that the US is deeply concerned
about the events in the West Philippine Sea, including the tensions surrounding
Panatag Shoal.
Clinton said Washington opposes the threat or use of force by any party to
advance its claims and "we will remain in close contact with our ally, the
Philippines."
Del Rosario said the US also gave assurance it would honor their obligations
under the Mutual Defense Treaty (MDT).
Pinoys abroad to hold rallies
Meanwhile, overseas Filipinos and their civil society partners will hold
rallies in the US, Canada and Australia on May 11 to protest China's intrusion
into Panatag Shoal.
Loida Nicolas Lewis, national chair of the US Pinoys for Good Governance,
said the protest actions seek to pressure China to stop its "bullying" and to
adhere to international law.
"I'm just totally aghast that something that has been under the effective
jurisdiction of the Philippines is being claimed by China, which is claiming to
be a world power. If you want to be a world power, you should be the first to
follow international laws," Lewis said in a press briefing yesterday.
The rallies will be held in front of Chinese embassies and consulates in
Washington, New York, Chicago, Houston and Los Angeles in the US; Vancouver and
Toronto in Canada; and Sydney in Australia at noon.
Civil society groups will also hold a rally in front of the Chinese consulate
along Sen. Gil Puyat Ave. in Makati City.
"We are calling on all Philippine-loving Filipinos to come to China's
consulate in Makati City, Sen. Gil Puyat Ave. and stand up to defend Philippine
sovereignty," Lewis said.
She said they are also talking to other Filipino groups in Germany, Italy and
Singapore to convince them to hold protests in their respective areas.
"The rallies will be held to express sentiments and encourage the
international community to express solidarity with us," former Akbayan
party-list representative Risa Hontiveros-Baraquel said.
Baraquel said China could not afford to act as a rogue state by ignoring
international laws such as the UNCLOS.
Women lawmakers' goodwill visit
In a related development, Pangasinan Rep. Gina de Venecia said the goodwill
visit to China of 14 women lawmakers – the largest ever in Philippine-China
parliamentary relations – amid tensions over Panatag Shoal was an enriching
experience and a modest diplomatic triumph for both countries.
De Venecia, wife of former speaker Jose de Venecia Jr. and president of the
Association of Women Legislators Foundation, said the friendly and spirited
discussions between Philippine lawmakers and Chinese political and business
leaders in Beijing, Shanghai, Chengdu and Dijuangyan of Sichuan province,
touched on women issues and the promotion of Chinese-Philippine relations.
In an interview with The STAR when she came to Dagupan City, Pangasinan for
the Bangus Festival on Tuesday, De Venecia said: "We were treated well by
Chinese leaders and we learned a lot of things and they also learned a lot from
us, especially on issues on women empowerment, because the Philippines is number
one in the entire Asia on gender equality."
She said a study by the Grant Thorton International Business Report showed
that 97 percent of Philippine businesses have women in senior management
positions.
– With Alexis Romero, Eva Visperas



Chief News Editor: Sol
Jose Vanzi

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NEWS ONLINE
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