South China Sea – Media Hype

According to the media, the Philippines, Vietnam, Malaysia, Taiwan and Brunei have all joined with the US and NATO in filing joint actions against China’s provocations in the South China Sea. According to the media, China is building air defense and sea defense that is offensive in nature and flexing it’s muscles which the US perceives to be an act that may lead to war. According to the media, the tensions are high and these five countries feel that their safety is at risk and have asked the US to secure their borders against China.

Ummmm  Really?  Somethings smells fishy…

According to the newly elected Prime Minister of Vietnam, Nguyen Phuc, they have no intention of threatening force and claim to have a great relationship with China in a joint resolution of peace…they plan to continue talks for a resolution regarding the South China Sea.

According to the newly elected Philippine President, Rodrigo Duterte, the Philippines has great admiration and respect for China, and President Xi, and asks the US to kindly not interfere in peaceable negotiations.

And according to the Malaysian Foreign Minister, “Malaysia and China have agreed to settle South China Sea-related issues through the Declaration on the Conduct of Parties in the South China Sea (DOC) and to speed up the completion of the Code of Conduct in the South China Sea (COC).

Malaysian Foreign Minister Anifah Aman said the agreement was reached at his meeting with visiting China State Councillor Yang Jiechi after the latter called on him at Wisma Putra in Putrajaya today (May 10, 2016).”

So while the US and Europe are declaring the actions of China as hostile moves and directing military intervention for these poor Asian ally countries caught in the dispute, these Asian countries are actually telling the US and Europe to kindly – butt out. But we aren’t. Instead we are being quite provocative.

So why does the US really care?

Because in a report put out by the UN in 2007, the South China Sea is a goldmine – not for gold or oil, but for Aquaculture:


Aquaculture in Southeast Asia is ideal in places like southern Philippines, Indonesia and Brunei where there are coastal intertidal swamps, mud flats of rapidly extending coasts, embayments as well as the ponds and reef flats, the report said.

Such topographical and geographical advantages are given tooth by the fact that Brunei is typhoon-free, typhoon being the most destructive enemy of sea farming.

The Programme has been carried out in cooperation with Director-General of Fisheries of Malaysia and the Sabah Fisheries Department by the Marine Colloids, Inc, of Rockland, Maine, in the United States. It covered and studied in detail Malaysia, Brunei, southern Philippines and southern Bali and southwestern Sulawesi of Indonesia.

Seaweeds are a multi-billion dollar industry because they are used as medicine, food, agars, colloids, gels and gums for industries; and lately as synthetic material for spaceships in outer galactic exploration.

The most important but highly expensive seaweed is carrageenan, which reaches US$10 ($15) per pound.”


Like the land-grabs in Africa, the South China Sea is about fish-grabs, aqua-grabs, who has the right to the perfect waters for sustainable farm fisheries. Like the African land-grabs – it is about FOOD supply. If China asserts its right, and the five Asian countries switch alliance, the US will lose a food source, and, by default, a profit source.

Over fishing has nearly collapsed the wild fish market. With a growing world population and hungry mouths to feed, the seas have a limited supply that is dwindling rapidly. The solution is aquaculture, or farm fisheries. But even farm fisheries require sustainable waters, and apparently the South China Sea offers this solution. But, territorial disputes over the waters plagued this solution. China decided to ignore the disputes and try to work with these regional countries. That left Europe and the US out of the mix.

Five of the ten top aquaculture producers are South China Sea countries. Vietnam and Thailand are major exporters of farmed products. Asia accounts for 90% of global aquaculture. Nearly all shrimp, salmon, scallops, tilapia, clams, mussels and oysters are farm raised. Since the 1980’s, New England Bay scallops are actually from China… Most of our shrimp is farmed in China.

90% of fish consumed in the US is imported which accounts for a trade deficit of over $10 billion annually. But even more bizarre is that upwards of 75% of wild fish caught in US waters is – exported. To Asia. Weirder still:  “Because foreign labor is so cheap, many Alaskan salmon are caught in American waters, frozen, defrosted in Asia, filleted and boned, refrozen and sent back to us.”

So while the media would have us believe that China is flexing muscle and all the neighboring Asian countries are shaking in their boots, that is not the Truth. It is a plague of convoluted lies that mask reality and feeds us a limp shrimp…

CHINA – The Next Soros Bad Boy!

Soros has de-graced himself further by declaring a financial war on China. After heating up and then collapsing the economy in Brazil, over-throwing the government in Ukraine, prodding the Arab Spring, and instigating a personal vendetta against Russia, he has set his sights on China. A large task to be sure, however I would venture that President Xi Jinping is more than up to the task. Formidable opponents to be sure! And opponents have a tendency to gather strength in combining their efforts – a threat that could be even more worrisome as the lines of division are marked in red.

Having ‘ordered’ Merkel to take in 1 million refugees just months ago, he is now making media history stating the migrant crisis in Europe is the catalyst for the ultimate Fall of Europe – which he states is imminent. Having dumped most of his remaining oil and gas shares last December, I can’t imagine he made much gain on that slew of transactions – a bit too late? His biggest weights? Healthcare (that’s an easy one), Services and Technology. His biggest holding? Adecoagro SA, a farming company operating in Argentina, Uruguay, and Brazil… Since last August, it’s price has more than doubled. Coincidence? No. It is about perceived future food shortages and ethanol!

While Russia and Brazil have declared their desire to regain/remain allegiance with Europe and the US, Soros rumbles, roars and connives holding the puppets Obama, Hillary and Cameron on marionette strings. He lures war.

Having launched a media blitz attack on Putin and Russia, China is now the new bad boy and I imagine we will begin hearing frenzied reports of their actions, inactions, and potential escapades inciting war. Wiping his hands, he has declared Brazil dead, Russia nearly dead, and China, Taiwan, South Korea and Singapore the next victims. Quite a haul!

And while headlines declare China is rattling the world, is that really the indicator, or is Soros rattling the world? Headlines, unfortunately lie pathologically, indiscriminately. Various media outlets claim that the Chinese yuan is over valued, so a 10% drop is recommended – by those in competition, ie, the US and Europe.

Interestingly, China accuses Soros of attempting to devalue its currency in a bid to create a classic Soros bubble – aka, as in breaking the bank of England. So while the press would presuppose that China is misleading, China claims that Soros is playing parcheesie with their currency, and warns Soros to keep his dirty hands out of their pocket…

A threat not without consequences.

So what the heck is really going on?

Well, Soros is a currency speculator, creator of chaos, with a known vendetta against – well – the world. When other’s find great joy in hiking, biking, triathlons, making bread, or drinking Marguerita’s, Soros finds joy in destruction. That’s his thing. In his journey he has accumulated thousands upon thousands of NGO’s to do his bidding, including – the media. As such, there is a ‘slight’ deviance between reality and Soros.

While the drop in the yuan is a mere 5% since August 2015, the news would have us believe it is catastrophic. Interestingly, the Euro has dropped over 25% in the same time period and no one mentions a thing.

Meanwhile, China is boosting it’s military presence in the South China Sea, Obama urges ‘restraint’. Simultaneously, Obama is boosting military missile defense systems in Korea, pressing NATO to boost it’s military presence throughout Eastern Europe and the Baltics…, and announcing increased presence of the US military in Europe. It is a game of boost. Chests are pounding in a match for match tit-for-tat that is very likely to implode.

And as the media focuses on the US presidential run, the economy is wavering dangerously close to a new recession as cited by The Federal Reserve, IMF, JP Morgan, Deutsche Bank and The Fosler Group, LLC. While Japan and the Euro Zone have fudged into negative interest rate territory, the US may need to do a bit of reconnoitering.

The South Sea of China; At The Helm of The Art of Diplomacy

China is dredging waters off it’s coast and expanding its land mass. The US is nervous because they believe it is a ‘ploy’ to create a greater military presence over the waters which the US claims are international.

So that’s the story, but what does it all mean?

The South China Sea is more of an inlet that is bordered by China, Vietnam, Malaysia, The Philippines, and Brunei. The area is home to vast oil and gas reserves. While the Chinese government demarcated a dotted line of territory sometime in 1949, it only came under dispute in the 1970’s when The Philippines and Malaysia wanted a fair share. Given that the strait is not just a potential for oil and gas but also serves as a fishing center and a major shipping territory, the dispute heightened. By the 1990’s Brunei and Vietnam also made a claim to the waters.

An agreement was signed between Vietnam and China. But just two months later India stated that Vietnam had sold to it rights to engage in oil and gas exploration within areas that had been retained by China. That didn’t go over well.

In the meantime, Vietnam, Malaysia, The Philippines and Taiwan have quietly been building their own maritime defensives in the sea. Nothing was said. But China was tired of the games and out-sized them all building land masses that dwarfed their neighbors. Everyone became miffed because China’s aggression was bigger and better.

Enter McCain. McCain has a penchant for stoking aggression. He also has a penchant for butting into regime change agendas. Granted that will never happen in China, but coup disruption has plagued Malaysia of late, Thailand, and a failed coup in The Philippines within just the last year. So McCain’s solution is to allow for the US exchange of weapons to Vietnam, a communist Marxist regime, for the purpose of standing up against China. Really? Sort of reminds me of the Arab swordsman wielding an over-sized scimitar while fiercely challenging Indian Jones to his death only to be swiftly peeled away with one shot from his pistol.

US interference has absolutely no positive gain. If the US determines it has the right to step in as the divier of rights, much like the Israel and Palestine agenda, the US will not prevail. Adding tension to tension does not make for peace. But McCain has an ulterior agenda. Malaysia news makes no mention of the China dredging. In Vietnam, the US is pressuring their government to halt ‘wave erosion’ land reclamation. And while The Philippines news only makes reference to the concerns pressed by the US, it would seem that the Asian countries really haven’t much issue and that the issue is a US creation.

Perhaps the true concern is that the Asian countries will form an alliance that makes these waters restricted from US shipping. One third of the world’s liquified natural gas passes through the South China Sea. The bulk of it originates in the Persian Gulf. In 1994, the United Nations Convention on the Law of the Sea was ratified by most Asian countries in the maritime area. It defined rights and uses of natural resources in the area. The US did not sign the agreement. Unfortunately, by definition the rights that allow for a 200 nautical mile entitlement – overlap. Another oops factor of the UN.

Bottom line – we, the US do not have a lick of upper hand in this dispute. We do not have any legal rights whatsoever as we are not a party to the maritime treaty. What we do have is the ability to politely bow in deference to some countries who simply refuse to be policed by the US. Instigating further animosity with China will not be in our best interest – ever. Sometimes, it is simply best to remove ourselves from a situation that can not and will not have a positive outcome and pocket our ego.

In 1959 the art of diplomacy was over shadowed by the release of a game by the same name. It’s stated objective was:

“Luck plays no part in Diplomacy. Cunning and cleverness honesty and perfectly-timed betrayal are the tools needed to outwit your fellow players. The most skillful negotiator will climb to victory over the backs of both enemies and friends. Who do you trust?”