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Significance

However, China's navy already has an operational sea-based nuclear deterrent based on Hainan Island. The deployment of nuclear-armed submarines, and their need to reach the mid-Pacific to threaten the continental United States, makes the South China Sea an arena not just of maritime disputes but of US-China military rivalry.

Impacts

The strategic importance of the Philippines, Taiwan and Singapore to the United States will increase.

A new defence agreement with the Philippines will, as of last month, support US military activities in the area.

Washington will encourage greater Japanese involvement in the South China Sea; as long as Shinzo Abe is prime minister, Japan will oblige.

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