China has suggested that energy cooperation with the Philippines could be influenced by Manila’s military alignment with the United States and its allies, as annual joint war games begin in the region.
In an editorial published by the Communist Party’s official People’s Daily, Beijing criticized the Philippines over its decision to host large-scale exercises involving more than 17,000 troops, describing the move as contradictory while it seeks emergency energy assistance.
The commentary implied that diplomatic and energy cooperation could depend on broader regional behavior, urging Manila to “create the right conditions” for improved ties.
Rising tensions over military drills
The Philippines this week launched the annual “Balikatan” exercises alongside the United States and other partners, including Australia, Canada, France and New Zealand. The drills are taking place across multiple locations, including areas near Taiwan and disputed waters in the South China Sea.
China has expressed concern over the exercises, particularly those held close to strategically sensitive areas. Maritime strike drills are planned near northern Philippine islands close to Taiwan, while live-fire exercises will take place near contested maritime zones.
Relations between China and the Philippines have been strained over competing territorial claims in the South China Sea, including around Second Thomas Shoal, where Manila maintains a grounded vessel as part of its ongoing military presence.
Energy as a diplomatic tool
The People’s Daily editorial also highlighted China’s position as a major regional supplier of fuel and fertilizer, noting its previous exports to the Philippines despite broader restrictions. It also referenced Manila’s interest in discussions on oil and gas cooperation.
China has reduced refined fuel exports to some neighboring countries following reported moves to prioritizes domestic supply, according to the text.
Analysts cited in the report suggest Beijing’s messaging reflects a willingness to link economic assistance with diplomatic alignment, particularly in disputes involving regional security and military cooperation with the United States.
Strategic competition in the region
China holds the world’s largest strategic oil inventories and has previously used restrictions on certain exports in response to geopolitical tensions. The editorial pointed to grievances over military drills as part of its broader criticism of Philippine policy.
The exercises currently underway include operations near key maritime routes and disputed territories, areas that remain central to ongoing regional tensions.
While China’s energy position gives it a comparative advantage, the text notes that analysts caution against viewing this as full energy security, pointing to continued reliance on strategic reserves during periods of disruption.
Broader geopolitical backdrop
The developments come amid wider instability in global energy and shipping routes, with disruptions affecting oil markets and maritime transport through critical chokepoints.
Chinese leadership has also recently emphasized the importance of maintaining open sea lanes, reflecting concern over global supply chain stability in a period of heightened geopolitical tension.
As military activity increases in the region, the intersection of energy security and defense alliances continues to shape relations between China, the Philippines, and their international partners.
