Vibrant coral reef in the South China Sea, symbolizing ocean governance and the balance between environmental preservation and territorial claims.

Navigating the South China Sea: Can Ocean Governance Resolve Territorial Disputes?

Jordan Keane in Global Affairs June 2025 • 4 min read.

"Explore the potential of ocean governance to foster cooperation and sustainable use amidst the complex territorial claims in the South China Sea."

The South China Sea (SCS) has long been a focal point for international law and relations scholars, primarily due to the persistent territorial disputes simmering beneath its surface. While these disputes undoubtedly pose threats to regional peace and stability, an exclusive focus on them overshadows the broader challenges related to ocean use and management. These challenges are deeply interconnected and demand a holistic, integrated approach.

Traditional approaches often isolate territorial disputes from other critical issues, such as environmental protection, fisheries management, and maritime trade. This fragmented perspective overlooks the potential for cooperation and sustainable development that a comprehensive strategy could unlock. To truly address the complexities of the SCS, we must shift our focus from dispute management to ocean governance.

This article champions a more inclusive framework for cooperation in the SCS, viewed through the lens of ocean governance. It examines the significance of the South China Sea, provides an overview of the existing territorial disputes and their management, points out shortcomings of current approaches, and proposes principles that inform an alternative approach based on comprehensive ocean governance.

Why is the South China Sea so Important?

Vibrant coral reef in the South China Sea, symbolizing ocean governance and the balance between environmental preservation and territorial claims.

The South China Sea is the second-largest semi-enclosed sea in the world, bordered by China (including Taiwan) and eight ASEAN countries: Brunei, Cambodia, Indonesia, Malaysia, the Philippines, Singapore, Thailand, and Vietnam. As a crucial link between the Pacific and Indian Oceans, it plays a pivotal role in global maritime trade, serving as a conduit for over a quarter of the world's trade volume. This makes the Sea Lines of Communication (SLOCs) through the SCS vital not only to Southeast Asian coastal states but also to countries far beyond the region.

The SCS also holds immense geo-strategic importance, particularly for naval powers seeking to maintain or expand their global military presence. These powers rely on the SCS transit corridors for rapid deployments between the Western Pacific and Indian Oceans. Beyond its strategic location, the SCS is vital to the economies of the region due to its abundant living and non-living resources.

Key Aspects of the South China Sea's Significance:

Economic Lifeline: Facilitates a substantial portion of global trade, impacting numerous economies.
Strategic Military Importance: Serves as a critical transit route for naval deployments.
Rich in Resources: Holds significant reserves of oil, gas, and fisheries, essential for regional economies.
Biodiversity Hotspot: Boasts high marine biodiversity, crucial for regional fisheries and ecological balance.

Living resources, especially fisheries, are abundant in the SCS, with many resources being migratory or transboundary stocks. Species like scad, mackerel, and tuna are highly valuable and sought after. This abundance is due to the high biodiversity of the region, with coral reefs serving as vital nursery and breeding grounds for regional fisheries. Fish is a primary protein source for many East Asian countries, making the fisheries of the SCS socio-economically crucial. The already high annual per capita fish consumption in countries like China and Southeast Asia underscores this dependence.

A Call for Holistic Ocean Governance

This paper advocates for a more comprehensive approach to managing and utilizing the South China Sea by embracing ocean governance. This approach emphasizes the need for cooperation among coastal states to ensure the sustainable use of the SCS. By shifting the focus from territorial disputes to sustainable resource management, cooperation becomes about more than just managing conflicts; it becomes about ensuring the long-term health and productivity of the SCS.

About this Article -

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This article is based on research published under:

DOI-LINK: 10.2139/ssrn.2209175, Alternate LINK

Title: Cooperation In The South China Sea: From Dispute Management To Ocean Governance

Journal: SSRN Electronic Journal

Publisher: Elsevier BV

Authors: Thang Nguyen-Dang

Published: 2012-01-01

Everything You Need To Know

Why is the South China Sea considered so important globally?

The South China Sea is vital due to its role as a major conduit for global maritime trade, especially through its Sea Lines of Communication (SLOCs), which link the Pacific and Indian Oceans. It is also a crucial route for naval powers and contains significant oil, gas, and fisheries resources. These resources are essential to the economies of the surrounding regions. Furthermore, it has high marine biodiversity, supporting regional fisheries and maintaining ecological balance. If the South China Sea was not available, global trade would need to reroute, which would have enormous implications to the world economy.

What are the shortcomings of the traditional approaches to managing the South China Sea?

Traditional approaches to the South China Sea often isolate territorial disputes from crucial issues such as environmental protection, fisheries management, and maritime trade. This fragmentation overlooks opportunities for cooperation and sustainable development that a comprehensive strategy could unlock. By focusing on dispute management alone, critical aspects like resource sustainability and ecological health are neglected, potentially leading to long-term negative consequences for the region.

How does ocean governance aim to improve the management and utilization of the South China Sea?

Ocean governance, as proposed, shifts the focus from territorial disputes to the sustainable resource management of the South China Sea. This means that cooperation among coastal states becomes about ensuring the long-term health and productivity of the sea, rather than just managing conflicts. By emphasizing sustainable use, ocean governance aims to foster collaborative efforts that benefit all parties involved, securing resources for future generations.

What are the most valuable living resources found in the South China Sea, and why are they significant?

The most valuable living resources in the South China Sea are fisheries, which include species like scad, mackerel, and tuna. These resources are abundant due to the region's high biodiversity, particularly its coral reefs, which serve as vital nursery and breeding grounds. Fish is a primary protein source for many East Asian countries, making these fisheries socio-economically crucial. Other marine resources that could be mentioned are plankton and other small fish.

Beyond economics, what other strategic importance does the South China Sea hold for global powers?

The South China Sea's importance extends beyond economics to include geo-strategic considerations, particularly for naval powers needing transit routes between the Western Pacific and Indian Oceans. The Sea Lines of Communication (SLOCs) are critical for rapid naval deployments, maintaining or expanding global military presence. This strategic importance often intersects with the territorial disputes, as control over these routes impacts regional power dynamics and military capabilities. If there was a breakdown of peace, naval routes could be stopped.