by Oil Price
Financial Sense
A week after a Hague tribunal ruled against its territorial claims to 80 percent of the South China Sea, Beijing is organizing military exercises in the area. A zone to the southeast of the island of Hainan will be closed until Thursday for the exercises. No further details were released.
China rejected the Permanent Court of Arbitration’s ruling from July 11, saying it does not recognize its authority and will continue to pursue its territorial interests, which, according to the court, have so far included illegally building artificial islands and disrupting fishing and hydrocarbon exploration in the basin.
The case that was brought in front of the Hague-based court was initiated by the Philippines, which, like other countries around the South China Sea, among them Taiwan and Vietnam, has claims to it.