The Philippines has forcefully dismissed recent assertions by Chinese scholars claiming sovereignty over its northernmost province, Batanes, as "baseless" and "ludicrous." Defence Minister Gilberto Teodoro Jr. made the comments on Thursday, characterizing the academic claims as a conceit that ignores international law and historical facts.
The province, located just south of Taiwan, is a strategic maritime chokepoint and has long been a focal point of territorial disputes in the region.
The diplomatic spat comes amid heightened military activity in the surrounding waters.
US military experts recently warned that a mainland Chinese research vessel conducting oceanographic surveys in the Philippine Sea east of Taiwan last month could be preparing for submarine warfare operations.
This dual-track approach—combining academic territorial claims with increased naval presence—signals a broader strategy by Beijing to assert influence in the First Island Chain.
For investors, the escalation adds another layer of uncertainty to an already tense geopolitical landscape.