6.
China's recet military action in the Spratlys is aimed at evicting Vietnamese troops and re-asserting its
sovereignty over at least some of the islands. The UK has no publicly stated position on Spratly sovereignty. The PRC has a long standing territorial claima reinforced by hopes of substantial oil and gas reserves.
7. Some South-East Asian countries may be concerned by
the increased competence of the Chinese Navy but we do not believe it will be in China's long term interests to widen the Spratlys conflict and it is unlikely therefore that China will take military action against others in
the region.
FE2ABK
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