http://edition.cnn.com/2016/07/12/asia/china-philippines-south-china-sea/

South China Sea: Court rules in favor of Philippines over China

By Katie Hunt, CNN
Updated 1604 GMT (0004 HKT) July 12, 2016

[Video]

Hong Kong (CNN)An international tribunal in The Hague ruled in favor
of the Philippines in a maritime dispute Tuesday, concluding China has
no legal basis to claim historic rights to the bulk of the South China
Sea.

Chinese President Xi Jinping rejected the decision by the Permanent
Court of Arbitration, which is likely to have lasting implications for
the resource-rich hot spot, which sees $5 trillion worth of shipborne
trade pass through each year.

"China will never accept any claim or action based on those awards,"
Xi said. China had boycotted the proceedings.

The tribunal concluded that China doesn't have the right to resources
within its "nine-dash line," which extends hundreds of miles to the
south and east of its island province of Hainan and covers some 90% of
the disputed waters.

Viewed as a decisive win for the Philippines, the ruling could
heighten friction in a region already bristling with tension,
especially if it unleashes a defiant reaction from China.
The United States, which has been at odds with China over freedom of
navigation in the South China Sea, urged all parties "to avoid
provocative statements and actions."

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Peace Is Doable

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