So Who Owns The South China Sea? Spoiler: It’s STILL Complicated

Subscribe to our FREE Newsletter, or Telegram and WhatsApp channels for the latest stories and updates.

The South China Sea is like the overcrowded group chat of geopolitics—everyone’s talking (in all caps ????), no one agrees, and there’s lots at stake.

Stretching across 3.5 million square kilometres, this waterway links the Indian Ocean to the Pacific Ocean and is home to everything from natural resources to trade routes that fuel the global economy.

Oh, and it’s also a major hotspot for international drama, with Malaysia sitting right in the middle of it…

Why the South China Sea Is a Big Deal

Resource Farm: The South China Sea isn’t just water; it’s a treasure trove of natural resources. Estimates suggest there are about 190 trillion cubic feet of natural gas and 11 billion barrels of oil beneath its waters. But that’s not all—it’s also home to one of the world’s most productive fisheries, providing around 12% of the global fish supply. If this were a video game, the South China Sea would be the “resource farming” zone, and everyone’s fighting for a piece.

The Ultimate Shortcut: The South China Sea is crucial for global trade. It’s estimated that more than $3 trillion worth of goods pass through these waters every year. That makes it a vital artery for global commerce—like the veins in your body—where any blockage could severely impact the world’s economy. At the heart of this network is the Strait of Malacca, connecting the South China Sea to the Indian Ocean. It’s one of the busiest shipping lanes in the world, handling about 60% of global maritime trade. Basically, it’s like the superhighway for global trade, and any detour can leave massive headaches.

So, Who Owns the South China Sea?

China claims almost the whole thing with its infamous “nine-dash line” map, which looks like someone had a little too much fun with a marker. This claim overlaps with areas Malaysia, the Philippines, Vietnam, and other nations consider their own.

But here’s the kicker: in 2016, an international tribunal under UNCLOS (United Nations Convention on the Law of the Sea) ruled that China’s nine-dash line isn’t legitimate. China, however, didn’t exactly take that well and has been going on with their own thing ever since.

(Think building artificial islands with military bases, ramping up naval patrols, and annoying the heck out of its neighbours).

Malaysia in the Middle

And Malaysia’s not just a bystander in this watery soap opera. Under UNCLOS, Malaysia claims an Exclusive Economic Zone (EEZ) extending 200 nautical miles from our coastlines.

This zone is rich in oil, gas, and all the resources you can hope to find under the sea. This supports both the economy and millions of livelihoods across the nation. So yeah, Malaysia has some serious stakes in this game.

While some of our neighbours flex their military muscles (yes, we see you Philippines ????), Malaysia prefers going with the diplomatic approach.

As a key player in the Association of Southeast Asian Nations (ASEAN), Malaysia is heavily involved in negotiating a Code of Conduct (COC) that aims to regulate “behaviours” in the South China Sea and prevent conflicts.

Malaysia continues to explore and harvest resources in our EEZ while managing our relationship with China through a combination of diplomatic strategy and international law.

And while pushing for peace, Malaysia is also ensuring our resources and strategic position are safeguarded.

Read More: Malaysia Boosting Borneo’s Defense: Malaysia’s New TLDM HQ In Bintulu Explained

The Bottom Line

The South China Sea isn’t just about borders and resources—it’s about global power, trade, and environmental security too.

Malaysia’s position as a resource-rich, strategically located, and diplomatically active entity makes us a key player in this ongoing geopolitical drama. Without security and stability in the region, we risk losing more than just a claim in the area.

Foreign investors, who prioritize regions with predictable and safe environments, will shy away, directly impacting economic development. This lack of confidence trickles down to local communities as industries slow, job opportunities dwindle, and regional growth stagnates.

That’s why East and Peninsular Malaysia need to stick together. United, we can protect what’s ours, attract investments, and show the world that Malaysia isn’t just a dot on the map—it’s a powerhouse that thrives on unity.

While other nations argue over ownership, Malaysia shows that sometimes, playing the long game and focusing on cooperation can make all the difference.

Share your thoughts with us via TRP’s Facebook, Twitter, Instagram, or Threads.

...