The major island and reef formations in the South China Sea are the Spratly Islands, Paracel Islands, Pratas, the Natuna Islands and Scarborough Shoal.Ĭompeting claims of territorial sovereignty over islands and smaller features in the South China Sea have been a longstanding source of tension and distrust in the region. The South China Sea also contains rich, though unregulated and over-exploited fishing grounds and is reported to hold significant reserves of undiscovered oil and gas, which is an aggravating factor in maritime and territorial disputes. Japan and South Korea rely heavily on the South China Sea for their supply of fuels and raw materials and as an export route, although the availability of diversionary sea lanes bypassing the South China Sea provides non-littoral states with some flexibility in this regard.

Their recent economic growth has contributed to a large portion of the world’s commercial merchant shipping passing through these waters. The South China Sea is bordered by Brunei, Cambodia, China, Indonesia, Malaysia, the Philippines Singapore, Taiwan, Thailand and Vietnam. Geographically, the South China Sea plays a significant role in the geopolitics of the Indo-Pacific. It is also the site of several complex territorial disputes that have been the cause of conflict and tension within the region and throughout the Indo-Pacific. The South China Sea is a critical commercial gateway for a significant portion of the world’s merchant shipping, and hence is an important economic and strategic sub-region of the Indo-Pacific.

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