ABSTRACT

Traditionally regarded as a land power, contemporary China is nevertheless highly dependent on the oceans. The five coastal provinces in East China – Shandong, Jiangsu, Zhejiang, Fujian and Guangdong – account for one-fifth of China’s population and two-fifths of national gross domestic product (GDP). In coastal regions alone, there are more than 55 million people relying on jobs created by foreign trade. The dependence on foreign trade is as high as 95.95 percent in these coastal provinces. In the energy sector, up to 2008, 55 percent of China’s oil had to be imported from abroad. 1 It is estimated that by the end of 2010, 57 percent of minerals, 70 percent of copper and 80 percent of aluminum will have to be imported from abroad. In addition, 70 percent of China’s imported oil would have to pass the Strait of Malacca, and among all the cargoes that pass through the strait, 60 percent are bound to and from China. 2 The security of sea lines of communication (SLOCs) is therefore critical to the economic growth of China.