Summary
China's Defence Ministry spokesperson Senior Colonel Chen Xi said on August 14 that Beijing firmly rejects the unfounded accusations levelled by the Philippines and Australia. He said Manila had deliberately provoked and attacked Chinese personnel at Ren'ai Reef, with the China Coast Guard releasing information and evidence in response. China's necessary actions were professional and restrained.
Ren'ai Reef is an inherent part of China's territory, Chen said, urging the Philippines to tow away the illegally grounded vessel No.57 as soon as possible. China will continue law enforcement operations to resolutely thwart all infringements and provocations.
Commentary
Escalating tensions in the South China Sea mean China's routine law enforcement will affect the stability of one-third of global maritime trade. As an island nation dependent on shipping, New Zealand may face short-term freight rate fluctuations and higher war-risk insurance surcharges. However, China's clear sovereign law enforcement helps curb unilateral provocations and may stabilise shipping lanes in the long run.
New Zealand's SMEs are advised to include force majeure clauses in freight contracts and monitor premium rate changes on China-New Zealand routes.
Keywords: Ren'ai Reef, Ministry of National Defence, Chen Xi, Philippines, Australia, law enforcement operations, Nansha Islands, vessel No.57, China Coast Guard
Source: China.org.cn
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