VZCZCXRO3628
OO RUEHCHI RUEHCN RUEHDT RUEHGH RUEHHM RUEHNH RUEHVC
DE RUEHBJ #0924/01 0730915
ZNY CCCCC ZZH
O 130915Z MAR 08
FM AMEMBASSY BEIJING
TO RUEHC/SECSTATE WASHDC IMMEDIATE 5685
INFO RUCNASE/ASEAN MEMBER COLLECTIVE IMMEDIATE
RUEHOO/CHINA POSTS COLLECTIVE IMMEDIATE
RHMFISS/CDR USPACOM HONOLULU HI IMMEDIATE

C O N F I D E N T I A L SECTION 01 OF 02 BEIJING 000924 
 
SIPDIS 
 
SIPDIS 
 
E.O. 12958: DECL: 03/13/2028 
TAGS: PBTS PHSA PREL PGOV ECON CH TW XC
SUBJECT: MFA MAINTAINS CLAIMS TO SOUTH CHINA SEA; URGES 
U.S. COMPANIES NOT "TO GET ENTANGLED" 
 
REF: BEIJING 366 
 
Classified By: Political Minister Counselor Aubrey Carlson. Reasons 1.4 
 (b/d). 
 
¶1. (C) Summary:  China continues to explain its claims in the 
South China Sea (SCS), including the nine-segment dotted line 
that traces out its jurisdiction over islands and waters in 
the SCS and overlaps with territorial and economic exclusion 
zone claims of five other countries and Taiwan, through 
historic references rather than international instruments 
such as the 1982 Convention on the Law of the Sea.  MFA Asian 
Affairs Department Policy Planning Division Deputy Director 
Zheng Zhenhua told PolOff March 7 that China does not foresee 
open military conflict in the SCS and will continue to pursue 
its policy of "shelve differences, mutual development."  In 
the context of China's approaching U.S. oil companies to 
cease joint hydrocarbon development projects with Vietnam, 
Zheng urged the United States to "do more" to ensure "peace 
and tranquility" in the SCS.  End Summary. 
 
The Cow's Tongue 
---------------- 
 
¶2. (C) MFA Asian Affairs Department Policy Planning Division 
Deputy Director Zheng Zhenhua discussed in a recent meeting 
with PolOff the so-called "Nine-Dashes" or "Cow's Tongue," a 
nine-segment dotted line on PRC maps of the South China Sea 
(SCS) that traces out China's jurisdictional claims in the 
region.  First published by the Kuomintang Government in 1947 
and referenced in the 1998 PRC Law on the Exclusive Economic 
Zone and the Continental Shelf, the SCS claims of China (and 
because of the claim's original historical antecedent, 
Taiwan) overlap exclusive economic zone and continental shelf 
claims of Vietnam, Indonesia, Malaysia, Brunei and the 
Philippines and continue to be a cause of tension among 
claimants seeking to exploit fishing and hydrocarbon 
resources in the SCS. 
 
Historical Claim 
---------------- 
 
¶3. (C) "As proof of the indisputable sovereignty of China" 
over the area it claims in SCS, Deputy Director Zhen 
referenced the now familiar claim that Chinese inhabited 
islands in the area during the Eastern Han Dynasty (23-220 
A.D.) and that the Chinese had established a form of 
government "in the modern sense" during the Song Dynasty 
(420-478 A.D.).  Zheng said the Spratly and Paracel islands 
were under the jurisdiction of the administrative region that 
became present-day Guangdong province. 
 
Historically Undisputed? 
------------------------ 
 
¶4. (C) Deputy Director Zheng said that from 1947 and through 
the 1960s, no country, including the United States, "ever 
raised questions or doubts about Chinese sovereignty over the 
Spratly and Paracel Islands."  Zheng cited a 1958 letter from 
North Vietnam Premier Pham Van Dong to Chinese Premier Zhou 
Enlai purportedly confirming Vietnamese acceptance of Chinese 
sovereignty over the islands. 
 
... Until 1970s 
--------------- 
 
¶5. (C) Zheng stated that only in the 1970s, during the third 
the Law of the Sea conference (which resulted in the 1982 
Convention of the Law of the Sea - UNCLOS), did other nations 
begin to dispute Chinese claims in the South China Sea. 
Because of complexity of the overlapping claims in the SCS 
and other areas, in the late 1970s, Chinese leader Deng 
Xiaoping articulated the "shelve differences, mutual 
development" approach to addressing economic development 
activities of the SCS and other disputed areas. 
 
SCS Stable 
---------- 
 
¶6. (C) Despite the continued contentiousness of competing 
claims in the South China Sea, Zheng said, the SCS situation 
is "quite stable," and he foresees "no military conflict" in 
the region.  The 2002 Declaration of Conduct (DOC) on the 
South China Sea is an "expression of political will" that all 
parties will show restraint in addressing conflicting claims 
in the SCS.  Deputy Director Zheng said such projects as the 
2005 tripartite seismic exploration agreement and annual 
meetings on marine scientific research involving China, 
Vietnam and the Philippines will help "enhance trust" in the 
region. 
 
BEIJING 00000924  002 OF 002 
 
 
 
Meaning of the Nine-Dash line 
----------------------------- 
 
¶7. (C) When asked about China's claims to the waters traced 
by the "Nine-Dash" line, Zheng provided a printed statement 
that reads as follows:  "The dotted line of the South China 
Sea indicates the sovereignty of China over the islands in 
the South China Sea since ancient times and demonstrates the 
long-standing claims and jurisdiction practice over the 
waters of the South China Sea."  Zheng said that terms such 
as "historic waters" or "territorial waters," though often 
used in media and scholarly articles addressing China's SCS 
claims, are not the Chinese government's official 
nomenclature for the area of sea within the Nine Dashes. 
 
Relation to UNCLOS 
------------------ 
 
¶8. (C) Though not explicitly acknowledging that China's 
claims in the SCS may not be consistent with provisions of 
the UNCLOS, Deputy Director Zheng said that China's claims in 
the SCS "predated" the UNCLOS and were not therefore bound by 
the treaty.  Zheng indicated that the many "inconsistencies 
and exceptions" in UNCLOS provided additional justification 
for China to define its jurisdictional claims on its own 
terms. 
 
Territorial Waters 
------------------ 
 
¶9. (C) In a discussion of fishing practices in the SCS, Zheng 
said that China applies the term "territorial waters" to 
waters within twelve miles of Chinese territory.  He noted 
that China had formally demarcated a twelve-mile territorial 
water zone around the Paracel Islands, where China believes 
its sovereignty claims are unassailable.  Zheng said China 
had not established a similar zone around the Spratly 
Islands, because China recognizes that territorial claims 
there are more complex.  Zheng affirmed that China "upholds 
the right of free passage of vessels" within the "Nine-Dash" 
area. 
 
U.S. Companies Should Avoid "Entanglements" 
------------------------------------------- 
 
¶10. (C) Zheng suggested that U.S. companies should avoid 
"getting entangled" in disputes in the SCS.  In that context, 
he mentioned that the Chinese Consulate General in Houston 
recently contacted a number of oil companies in Texas, 
including Chevron and Hunt, requesting that they halt 
hydrocarbon development projects those companies initiated 
through agreements with the Vietnamese Government.  He noted 
that Chevron agreed to suspend its participation in the 
project, at least temporarily.  Zheng said China hopes the 
United States "can do more" to ensure "peace and tranquility" 
in the area. 
RANDT