Since the beginning of the year, tensions have grown over territorial rights to oil fields in the South China Sea. Now Vietnam is making a deal with India, to counter China’s military might.
India and Vietnam agreed in Hanoi, on September 16, to strengthen security ties and jointly develop oil fields in the South China Sea. China claims sovereignty over most of the South China Sea.
Recently the new Prime Minister of Japan, Yoshihiko Noda, indicated that his national security plan would involve taking territories that Japan believes is theirs. That includes islands in the South China Sea.
The South China Sea has potentially the largest oil reserves in the world (it’s the real reason the U.S. was at war in Vietnam). China, Japan, Philippines and Vietnam (now along with India) have been rushing to develop the oil fields for their own use.