China-Philippines Relations: Cautious Cooperation

In a speech given in October 2003, the Chinese ambassador to the Philippines began by saying, China and the Philippines are friendly neighbors separated only by a strip of water and the two peoples have enjoyed a time honored friendship and cooperation dating back to 1,700 years ago. With the end of the Cold War, this bilateral relationship has the potential to become a pivotal factor for both ASEAN-China relations as well as U.S.- China relations. For China, the Philippines represents a significant challenge to its strategic engagement with Southeast Asia. By trying to leverage its cooperation with the United States on the global war on terrorism as a security buffer against China, the Philippines may find itself caught in the middle of a Sino-U.S. conflict over Taiwan. There are three interrelated issues that have shaped and will largely determine the future course of Sino-Philippine bilateral relations. They are Philippine adherence to the One China policy, the South China Sea territorial dispute, and China s commitment to strategic engagement in ASEAN. If both sides perceive progress in these areas, relations are likely to improve. Conversely, conflict in any of these areas is likely to push the two sides apart and result in the Philippines working to draw support for its position from both the United States and its ASEAN partners. Direct bilateral relations between the two countries extend back to the tenth century when Chinese traders plied regional ports, and a small community of Chinese merchants stayed to establish a permanent presence in the Philippines. During the Spanish colonial era, Manila became an important entrepot for the galleon ships as well as a destination for large numbers of Chinese agents and brokers associated with the trade. With subsequent intermarriages, upwards of half of today s Filipinos claim at least some percentage of Chinese ethnic heritage.