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Significance

Chinese officials later clarified that no formal agreement had been reached, while both countries still claim the shoal. Nonetheless, the visit, in which Duterte repeated his intention to make Philippine foreign policy "independent" of Washington and more friendly to Beijing, has sparked media speculation that other South-east Asian states may follow his lead.

Impacts

Beijing will expand its South-east Asian infrastructure investments to build up its diplomatic influence and vice versa.

In time, Beijing and Manila may discuss joint resource exploration.

South-east Asian states will keep channels to Washington open to counterbalance China and keep US security and trade links.

A closer China-Philippines relationship might give China greater influence in ASEAN in 2017 when Manila chairs.

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