THE 2016 ARBITRAL AWARD

The South China Sea Arbitration

(The Republic of Philippines v. The People's Republic of China)

On 22 January 2013, the Republic of the Philippines instituted arbitral proceedings against the People’s Republic of China under Annex VII to the United Nations Convention on the Law of the Sea (the “Convention”).  

The arbitration concerned the role of historic rights and the source of maritime entitlements in the South China Sea, the status of certain maritime features in the South China Sea, and the lawfulness of certain actions by China in the South China Sea that the Philippines alleged to be in violation of the Convention.

The case brought by the Philippines against China sought to obtain declarations from the Tribunal in respect of three inter-related matters, namely that:

1. China is not entitled to exercise “historic rights” over the waters, seabed and subsoil beyond the limits of its entitlements under the Convention in the areas encompassed within its so-called “nine-dash line”;

2. Various maritime features relied on by China as a basis upon which to assert its claims in the South China Sea are not islands that generate entitlement to an exclusive economic zone (“EEZ”) or continental shelf, but rather are “rocks” within the meaning of UNCLOS Article 121(3), or are low-tide elevations or submerged banks incapable of generating such entitlements; and

3.  China has unlawfully interfered with the exercise of the Philippines’ sovereign rights and freedoms under UNCLOS and other rules of international law not incompatible with the Convention. These issues relate exclusively to the interpretation or application of UNCLOS, in respect of matters over which China has not availed itself of the optional exceptions provided in Article 298 of the Convention.

The Permanent Court of Arbitration served as Registry in this arbitration.

On 12 July 2016, a unanimous Award was issued by the Tribunal constituted under Annex VII to the United Nations Convention on the Law of the Sea in the arbitration instituted by the Republic of the Philippines against the People’s Republic of China.