Why tiny island Scarborough Shoal has fuelled tensions between US and China

On Wednesday (August 13), in a face-off with the US, the Chinese military issued a statement claiming it had tracked and "expelled" a US destroyer that sailed close to Scarborough Shoal in the South China Sea – a vital maritime route that handles over $3 trillion in annual ship-borne trade.

US, China trade barbs

The China, which considers the island, situated 200 miles from the Philippines and found inside its exclusive economic zone, said in a statement that the USS Higgins had entered the waters "without approval of the Chinese government" on Wednesday. It added that the US move seriously violated China's sovereignty and security and undermined peace and stability in the South China Sea.

The US rejected the accusation, asserting its navigational rights under international law.

Meanwhile, the US Navy’s Seventh Fleet in its response termed China’s statement as “false” and said they were just asserting their navigational rights and freedoms near the Scarborough Shoal.

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Reuters reported that the US navy told them in an email that the United States is defending its right to fly, sail and operate wherever international law allows, as USS Higgins did. “Nothing China says otherwise will deter us," said their response, the report added.

Tussle over Scarborough Shoal

Notably, this move by US to enter the shoal's waters came a day after a faceoff in the island between Philippines and China.

Philippines accused China of using its vessels for "dangerous manoeuvres and unlawful interference" while their fishermen were on a supply mission in the area. There was a “collision” between Philippine vessels and the China’s coast guard, admitted Manila, which is supposed to be the first of the kind in the area.

The Scarborough Shoal, strategically located in the heart of the South China sea, is important for China. It has therefore long been a focal point of tensions in the area. The shoal is also brimming with bountiful fish stocks and a stunning turquoise lagoon that vessels take shelter in during storms.

There has been a long-standing tussle between Philippines and China over the picturesque shoal, named after a British ship. But sovereignty has not been established though it remains under Beijing's control.

Though, in 2016, an international arbitration tribunal concluded that Beijing’s claims based on historical maps had no foundation in international law. It ruled China's blockade of the shoal violated international law and said the area was a traditional fishing ground for several countries. But China has turned a deaf ear to this ruling.

Also read: Quad calls out China’s ‘militarisation of disputed features’ in South China Sea

China had seized the shoal in 2012 after a standoff with the Philippines and has since maintained a constant coastguard and fishing trawlers. During the regime of pro-China former Philippine President Rodrigo Duterte in 2016-2022, China's coastguard allowed small fishing boats from Philippines to operate near the shoal.

Tensions flare up

In the recent flare up, on August 11, the Philippine’s coastguard entered the shoal on a small motor boat posing as fishermen and cut of the floating barrier that China had erected.

The mission, approved by President Ferdinand Marcos Jr, was meant to show his country's determination to maintain a presence at the shoal. However, the Reuters report stated that Philippines' coastguard cannot take on China's naval might.

The Philippines maintained that they will Chinese move to block its fishermen entering the shoal, while Beijing warned against provocations after Manila severed its floating barrier.

US, Philippine ties strengthen

In this backdrop, as defence ties between Manila and Washington has strengthened, and President Marcos has secured clarity from the United States regarding its obligations under the 1951 Mutual Defence Treaty. The Pentagon affirmed that any attack "anywhere in the South China Sea" would trigger mutual defence commitments, explicitly including coastguard vessels under its protection.

In its recent foray into Scarborough shoal, the US maintained that it is carrying out "freedom of navigation" operations in the South China Sea and to challenge the alleged curbs imposed by China and other claimants.

The stakes are high for Manila and Beijing and neither may want tensions to escalate. There have been minor altercations elsewhere in the South China Sea this year, including at the Second Thomas Shoal.

But, for now, a deterrent for any further escalations could be the US ostensibly waiting close by.