Value of Oceans (DP IB Geography)

Strategic Value of Oceans

• Oceans are valuable places, particularly for global superpowers 

• They are vital for economies, maritime trade and security

Economic Value

• Oceans have extensive economic value

• They provide trade routes around the world. Roughly 80–90% of all trade around the world moves through the oceans

• This movement of goods sustains the world’s economy 

• It is a building block of globalisation

Security

• Oil transit chokepoints are channels inside trade routes

• Some chokepoints are canals, which act as shortcuts for trade routes  

  • Over 60% of world oil is transported via the sea

  • Chokepoints must remain open to ensure energy security and reduce international conflict

  • Examples of chokepoints include:

    • Strait of Hormuz

    • Strait of Malacca 

    • Suez Canal

    • Panama Canal

• Stronger maritime powers can control chokepoints and routes, increasing the country’s security

• Countries like China, India, the UK and the US are global maritime powers. They have a significant naval military force:

  • Having military control over chokepoints and routes makes a country much more powerful. They are ideal for attack and defence strategies

Global Transit Chokepoints

Sources of International Conflict

• Oceans are areas of international conflict 

• Conflicts at sea can impact global superpowers and the world economy

Transit chokepoints, canals and islands 

• If chokepoints close, it can cause huge problems for the world economy and countries that depend upon oil imports

• Some countries can threaten to close chokepoints, which could cause a huge rise in oil prices:

  • Ships and tankers would need to find an alternative route, one which is typically much longer

  • In 2012, Iran threatened the blockage of the Strait of Hormuz

• Sometimes, large shipping vessels get trapped in the chokepoints:

  • In 2021, the Ever Given ship blocked the Suez Canal 

  • This caused major disruption of goods transportation 

• Political turmoil exists (and has existed) at canal and transit chokepoints, where countries rival over ownership and power:

  • Iran has conflict with the UAE over the Strait of Hormuz: 

    • Iran controls most of the islands in the strait, yet the UAE demand their sovereignty 

    • These islands are vital for the control of the chokepoint 

  • The Suez Crisis in 1956 involved Britain, France and Israel invading Egypt to claim control of the Suez Canal:

    • In the end, Egypt won, leaving a trail of political issues for Britain

Piracy and terrorism 

• Chokepoints are often at risk from piracy and terrorism 

• Piracy takes place out of the territorial watermark (of the UNCLOS Maritime Zones)

• Pirates hijack ships, capture the crew and goods and hold them as ransom 

• Chokepoints are typical places for marine terrorist attacks to take place

Resource exploitation 

• Oceans contain vast amounts of resources 

• Both biotic and abiotic resources from oceans are vital 

• Exploitation of these resources occurs daily

• Many conflicts occur as a result of resource exploitation and claims for territory 

• With climate change and risks to food security, resource conflicts will inevitably rise

Case Study: South China Sea

The South China Sea

• The South China Sea is a contested environment 

• China states that they have ownership over the majority of the sea, marked by the 9-dash line

• Countries like Taiwan and Vietnam contest the 9-dash line

• The vagueness of the intentions of China’s 9-dash line raises questions over territorial claim, sovereignty and resource use 

• In a 2016 tribunal between the Philippines and China, the 9-dash line was legally proven insignificant, but China still believes it to be true

• Maps of the area now conflict with each other

• China continues to assert its dominance, ignoring the legal outcome of the 9-dash line

China’s 9-dash line and conflicted islands

Value

• Trade

  • The South China Sea links the Pacific and Indian Ocean

  • It is a crucial trade route for resources like oil and gas

  • Economies in the area are dependent on the sea for importing and exporting goods 

• Resources

  • It is a very biodiverse environment

  • There is a bounty of fish in this area. Roughly 12% of the world’s fishing takes place here

  • This brings food security and economic growth to the surrounding areas 

  • The area could also be a huge deposit of oil and gas, yet to be explored 

Competition 

• There are major sovereignty conflicts over the Islands in the South China Sea e.g. the Spratly Islands and the Paracel Islands

• Ownership of these islands belongs to Taiwan, China, Vietnam, Malaysia, The Philippines and Brunei

• Troops are stationed in these islands from all countries except Brunei

• Much of China’s land lies under the water:

  • To combat this, China is building islands on coral reefs for military bases

  • China are also increasing their military presence around the islands 

  • This poses a threat to superpowers like the US:

    • Sea Lines of Communication (SLOCs) run through the South China Sea

    • These are used for trade and naval movement – it is a vital area for the US

  • The US is increasing its military presence, as China poses a threat

  • China’s military presence in the South China Sea is still dominant 

  • Although war could occur, both sides value the importance of the area

• The states all claim different areas, overlapping each other. This, combined with the so-called 9-dash line, creates a very complicated map

Competing claims in the South China Sea

• Despite their being a tribunal, which gave other states the power to claim territory, China continues to reject it

• As China is a member of the UN Security Council, the country would have the ability to get rid of any sanctions posed upon it for ignoring the tribunal

• Future conflicts could occur as China continues to mark its sovereignty of the area, whilst surrounding states use the waters for resource exploitation