SINCE the Philippines earned a hard-fought victory at the Permanent Court of Arbitration in 2016 that legitimized the Philippines’ territorial claims at the West Philippine Sea, China has dominated conversations among policymakers and opinionmakers about foreign policy and national security.
That domination was profoundly evident when President Ferdinand “Bongbong” Marcos Jr. delivered his second State of the Nation Address (SONA) on July 22. Two years into the Marcos presidency, Beijing has been a constant source of headache as tensions at the contested waters erupt and revelations about the dark secrets of Philippine Offshore Gaming Operators (POGOs) emerge.
The conflict at the West Philippine Sea has been characterized by much-publicized episodes of boat ramming, water cannoning and, in one instance, accidental finger cutting.
China has relied on bullying tactics as the Philippines doubles down on its sovereignty at the islands, which Marcos reiterated during his SONA: “Ang West Philippine Sea ay hindi isang kathang-isip natin lamang. Ito ay atin. At ito ay mananatiling atin hangga’t nag-aalab ang diwa ng ating mahal na bansang Filipinas.”
Minimizing trouble in the West Philippine Sea is a thorny endeavor for the Marcos administration.
“It is caught between the United States (US), which, of course, is trying to maintain a balance of power here in the region and, of course, China, [which] is bent on pushing the United States out of the region [because it’s] affecting Chinese hegemony,” Prof. Renato de Castro, an international studies professor at the De La Salle University, told the Varsitarian.
In December, Jonathan Malaya, the assistant director general of the National Security Council, told the Varsitarian in an interview that the President was avoiding the mistakes of his predecessor, Rodrigo Duterte, who cozied up with China by dismissing the arbitral victory as a mere “piece of paper.”
“Having learned from that experience, President Marcos said, ‘You know, we will continue talking.’ We will not be bullied,” Malaya said.
On July 1, the President’s own sister, Sen. Imee Marcos, warned that 25 areas in the country could be possible targets by China because of the Enhanced Defense Cooperation Agreement sites.
Malaya rejected the warning. “The Philippines and China maintain cordial relations and are committed to managing whatever differences there may be,” he said in a statement two days later.
Political analyst Ronald Llamas told the Varsitarian that China would avoid any action that might ignite war for fear of losing its standing on the international stage.
“If the world gets angry at China because of its aggression and illegally occupying our territory, then eventually, the economy of China will be affected,” he said in an interview.
‘Trojan horse’
Online scams. Human trafficking. Torture.
When Duterte signed Republic Act 11590 in 2021 taxing POGOs, the strongman vouched for the industry as a “clean” moneymaker.
“I will assure you under my oath of office as president of this republic, as elected by you, POGOs are clean. It’s a game for the other side. It gives us P2 billion a month. I need lots of money,” he said on March 10, 2020.
Four years later, legislators link their operations to various criminal activities. A little-known mayor from a small-town municipality in Tarlac named Alice Guo catapulted to fame for allegedly facilitating nefarious operations inside POGO compounds.
The National Intelligence Coordinating Agency in June alleged that POGOs are China’s “trojan horse” after its team found communication equipment at a raided POGO hub in Pasay containing foreign characters that experts said may have been used to contact Chinese personalities.
The controversies hounding POGO operations in the Philippines prompted Marcos to declare his most applauded one-liner during the SONA: “Effective today, all POGOs are banned.”
“BBM! BBM! BBM!” Congressional allies chanted in exaltation.
The ban elicited rare praise from China, even indicating its full cooperation in shutting down operations and repatriating thousands of Chinese individuals involved. “The Chinese government strictly cracks down on Chinese citizens engaging in gambling business abroad, including POGO,” the Chinese Embassy said in a statement. “Ample evidence shows that POGO breeds serious crimes such as kidnapping for ransom, human trafficking and murder.”
Will the pledge of cooperation pave the way for improved relations with Beijing?
“[China] doesn’t want us to continue, but, at the same time, China is using POGOs to infiltrate the Philippines,” Llamas stressed, adding, “So, the reaction of China is mixed.”
As with the West Philippine Sea, Marcos demonstrates that his approach to POGO is strikingly divergent from Duterte’s, De Castro observed.
“The midpoint of his term is, basically, saying, ‘Expect my term to be different and I’m unraveling what has been established by [my] predecessor, the Duterte administration,’” De Castro said.
All 43 licensed POGOs are expected to pack up by December 31, with more than 40,000 workers affected. The Department of Finance disclosed in a cost-benefit analysis that the industry led to a net cost of P99.5 billion annually. Fritz Nathan A. Diaz
