A U.S. Congressional Bill will be voted on next month, which will pose sanctions over companies that help China’s expansion overseas. If passed, it will not stop Chinese Maritime Activity.
According to a maritime news source, there are two ways that China can retaliate. China can impose its own sanctions for U.S. companies or individuals. They can also make it harder to conduct business in China, analysts say. The bill pending in the senate will not affect Beijing’s waterway in the South China Sea.
This affects the goods we import and export. The Port of Long Beach is the second business port in the nation. Costs of cargo arriving overseas can eventually decrease due to high tariff costs. With the recent environmental efforts posed with the Low Sulfur Surcharges, this new sanction stacks up the shipping costs.
There have been many disputes against Beijing’s claim over 90% of the 3.5 million-square-kilometer sea. Countries include Brunei, Malaysia, Taiwan, the Philippines and Vietnam, who have contested China’s claims in overlapping the exclusive economic zones. In 2010, other governments have been angered by China’s landfill of small sea islets for military use.
According to, Jay Batongbacal, Professor of International Maritime Affairs at the University of the Philippines, says, “China would certainly be expected to retaliate. They could impose their own sanction against U.S. companies and U.S. businesses as well. It’s like going back to 19th century diplomacy where reprisals were the norm.”
The draft South China Sea and East China Sea Sanctions Act, would target companies and people who are linked to, “actions or policies that threaten the peace, security, or stability,” of sea tracts contested by other governments. Specific companies that the bill seems to target are China Mobile and China Telecom, according to, Sean King, New York Political Consultant.
Penalties can include blocking property transfers in the U.S., revoking new U.S. visas and stopping individuals from entering the country.
By: Alejandra Salgado