Conflict of interests and investments

Most conflicts are economically-driven. As controversies on Scarborough

shoal heightened, we need to understand the diverse dynamism within PhilChinese relations.
In earlier centuries, Philippines welcomed Chinese merchants for barter and
trading relations. Their business was focused on paper-based products,
livestock, pharmaceutical and plastic toys. Chinese merchants later started
pouring investments for manufacturing industry (Dela Cruz, 2008). The latter
include textiles. Many of them are into infrastructure and real estate
investments as they have evidently constructed hotels, malls, restaurants,
and the like.
Over the years, China ranked as among the top leading traders of our country
with an investment of about US$ 370 M (as of 2006) (Dela Cruz, 2008). They
expanded agricultural interest over 1.2 million hectares of agricultural areas,
part of which is aimed at producing rice, sorghum, corn and ethanol (Dela
Cruz, 2008). Some of these are done in Palawan areas.
In return, China accommodated an estimated 200,000 overseas Filipino
skilled workers. These are either teachers, IT experts (working on US-owned
companies operating in mainland China) and in the hospitality industry
(working in hotels, restaurants etc.). They also import our bananas and other
agri-products. For leisure and enjoyment, they also open its gates as tourist
destination for neighboring countries.
As our government open mineral exploration and production to foreign
investments, the Chinese business sector also leaped to engage in mining for
chromite, gold, and silver in Mindanao. The mining operations are not without
controversies as these are met with local oppositions due to its encroachment
within indigenous people's ancestral domain; potential vast ecological
destruction; human rights and security-related concerns; and, policy-related
violations.
Recently, China offered Philippine government substantial amount as loan to
cover for the improvement of infrastructure facilities e.g. Angat Dam, railway
system, airport, roads, & ports (Dela Cruz, 2008). We're never certain what
went on with these projects. Whilst we struggle against the sale of Agus and
Pulangi hydropower complexes, China positioned itself to benefit from our
power industry by investing on our main transmission assets.

As this bilateral relations progress, we now confront China's controversial

claim over Scarborough shoals---geographically located within our territorial
and maritime area. This isn't just about fishes, certainly. However, while the
controversy is brought to international court for resolve, stakeholders of this
country should continually learn more for us to ascertain China's strategic
direction under this bilateral relation. Indeed, the issue isn't only challenging
territorial and security concerns. Its also challenging our executive and
legislatures about how foreign policy and regulations are enforced.
Amid these developments, China's political norm needs to be noted too.
Bhaskar (2012) pointed that China's officials are divided in their stance
pertaining to foreign relations and diplomatic strategies. Those who belong
to the "internationalists" prefer compliance with international norms and of
optimizing system for global governance (Bhaskar, 2012). They weigh more
significance on social cohesion and interrelation above sovereign power. The
other group, "realists", likes the utilization of military power to illustrate their
dominance in the international scene. This view dominated in the current
claim over areas marked under disputes. This affirms that their constituents'
worldviews are polarized. Bhaskar (2012) contended that the scaling interest
of China to control resources in foreign countries becomes necessary to meet
China's internal supply-and-demand. Or, simply put, their needs. This is true
noting China's over reliance on oil and ore imports (Bhaskar, 2012). On the
other hand, its also likely that they wanted to control resource and maintain
profit free from the regulations of other sovereign states.
Other political analysts argue that the controversy in Scarborough shoal is
merely used as a political tactic to cover internal rifts and problems within the
mainland. Whether this is true or not, its still unwise to be preaching lies to
their constituents to justify and confuse them on issues pertaining territorial
claims. On the other hand, Philippines opts for peaceful and diplomatic
resolve on internal and external rifts although we maintain vigilance on the
security aspect because our envoys are dealing with Chinese military officials
who hold much authority on their strategic foreign policy (Bhaskar, 2012).
While we hope for friendly ties, we bend our knees to pray and light candles
to keep the peace. We note that our relations with our Chinese communities
within the Philippines remain warm and in good grace.

References:

Bhaskar, R. (2012). China's Foreign Policy Debate-Analysis. Eurasia Review

(News and Analysis). http://www.eurasiareview.com/18052012-chinas-foreignpolicy-debate-analysis/ Accessed: May 19, 2012.
Dela Cruz, A. (2008). Chinese Investments in the Philippines. China Business,
Mla., Philippines.