China, Japan set deal over East China Sea

2008-6-19  |     NEWSPAPER EDITION

CHINA and Japan have agreed to "march the first step in joint development" in a selected area of the East China Sea, Foreign Ministry spokeswoman Jiang Yu said yesterday.

The two countries can jointly benefit from the zone's potential huge reserves of oil and gas, Jiang said.

China and Japan has reached an agreement to cooperate in the transitional period before the delimitation of the relevant waters.

China and Japan have "principled consensus" on the East China Sea issue and common understanding on the first step of joint development, Jiang told reporters in Beijing.

She called it "an important step" in making the East China Sea "a peaceful, cooperative and friendly sea."

The Japanese side concurred.

"Japan and China have reached a political agreement over cooperation in the East China Sea," Japanese Foreign Minister Masahiko Komura said in Tokyo yesterday. "It is a welcome development in Japan-China relations as a specific achievement in our mutual strategic relations."

Jiang said the result will enhance mutually beneficial cooperation in energy and other areas, the healthy and stable development of Sino-Japanese relations, and the interests of both countries and citizens.

She said Chinese enterprises welcome the participation of Japanese legal representatives in the development of the existing oil and gas field in Chunxiao in accordance with the laws of China. The governments of China and Japan have confirmed this, and will work to reach agreement on the exchange of notes as necessary and exchange them at an early date.

Liu Nanlai, an expert with the Chinese Academy of Social Sciences on international law, yesterday hailed the deal as a breakthrough.

"The agreement is flexible and pragmatic and without prejudicing their respective legal positions," Liu said in a report published on the Website of the Global Times.

Liu said that terms such as "transitional period," "provisional arrangements" and "without prejudicing their respective legal positions" mentioned in the understanding complied with international law and practice.

According to the United Nations Convention on the Law of the Sea, countries that have differences over the delimitation of sea areas can "enter into provisional arrangements of a practical nature" before the final delimitation, and such arrangements shall be without prejudice to the position of the countries concerned or to the final delimitation.

Liu said the understanding has three features in an international legal perspective.

First, the block for the joint development only covers about 2,600 square meters. However, it bears a very strong symbolic meaning.

Second, the jointly recognized "principle of reciprocity" will help establish joint investment, joint exploration and sharing of the resources within the block.

Third, the understanding is of a "provisional" and "principled" nature and requires equal consultation and pragmatic cooperation for future implementation.

"The two countries still have a long way to go," Liu said.