The ruling by the Permanent Court of Arbitration in The Hague against China's territorial claims in the South China Sea is a watershed moment for international law and an unmistakable warning to China about its strategic assertiveness in Southeast Asia. China says that it does not recognize the PCA ruling; but that doesn't mean it is undisturbed by it.
The question now is how China will respond. Will it change its often aggressive behavior in the region, or will it continue to view the South China Sea mainly in terms of U.S.-China competition? If China assumes that a war-weary and risk-averse U.S. will avoid conflict, it could simply assert its South China Sea claims by force.
But belligerence could backfire in several ways. First, it would force the members of the Association of Southeast Asian Nations to choose between China and the United States, a decision that all of them would prefer to avoid. Whereas ASEAN member states — particularly the Philippines, Singapore, Thailand, and Indonesia — generally have deep military ties with the U.S., they also value their economic ties with China. The reality is that ASEAN states could choose to become independent players, rather than pawns in the U.S.-China competition, implying that it is in China's interest to maintain ambiguity in U.S.-ASEAN relations.
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