Between dispute and development: Rebuilding Philippines-China relations and the promise of GDI

WorldPolitics
22 Aug 2026 • 12:04 AM MYT
The Manila Times
The Manila Times

One of the longest-running English broadsheets in the Philippines

Between dispute and development: Rebuilding Philippines-China relations and the promise of GDI

AS the Global Development Initiative (GDI) approaches its fifth anniversary on Sept. 21, 2026, China is taking stock of its efforts to transform an initiative first proposed by Chinese President Xi Jinping at the United Nations General Assembly in 2021 from a broad development vision into an increasingly institutionalized platform for international cooperation, particularly with countries of the Global South. What began as a call to put development back at the center of the global agenda is now being presented by Beijing not merely as a foreign-policy slogan, but as a practical framework for addressing some of the most persistent development challenges confronting emerging and developing economies.

For what it’s worth, the GDI was conceived against the backdrop of an uneven global economic recovery and sluggish growth across much of the developing world. Five years later, its underlying premise has arguably become even more relevant. The international environment is increasingly marked by economic uncertainty, geopolitical rivalry, protectionism, supply chain fragmentation, climate pressures, widening development gaps and competing strategic blocs.

In such circumstances, development risks being overshadowed by geopolitics precisely when it needs greater attention. The central proposition of the GDI is therefore both simple and consequential: Even in a fractured and turbulent world, development must remain a priority and cooperation on poverty reduction, food security, infrastructure, green growth, technology, connectivity and human development should not become collateral damage in great-power competition.

This captures the deeper philosophy GDI represents for developing economies. At its strongest, GDI embodies what might be called developmental pluralism: the proposition that development should remain central to global governance; that countries need not follow one identical political or economic template to modernize; that cooperation should address practical needs; and that the Global South should possess greater voice, resources and agency in shaping global development priorities by emphasizing solidarity, faster implementation of the UN 2030 Agenda for Sustainable Development, innovation, openness, multilateralism and a global governance system more responsive to developing countries. For countries in the Global South, this resonates clearly.

Why? Because the development problem confronting developing economies such as the Philippines is not abstract. It is visible in expensive food, inadequate logistics, uneven infrastructure, weak agricultural productivity, climate vulnerability, financing constraints, digital divides, the need for better employment and the persistent need for a better quality of life for all.

Philippines’ developmental needs

The Philippines’ own Development Plan 2023–2028, including its 2025 Midterm Update, prioritizes poverty reduction, food security, agricultural modernization, infrastructure, research and innovation, trade and investment, digital transformation, climate action and social development. Those objectives overlap strikingly with the GDI’s eight main cooperation areas: poverty alleviation, food security, pandemic response and vaccines, development financing, climate change and green development, industrialization, the digital economy and connectivity in the digital era. And this is where the GDI becomes relevant to the Philippines’ developmental agenda.

For the Philippines, therefore, the most useful GDI cooperation would be projects that attack identifiable Philippine development bottlenecks: irrigation and agricultural modernization; postharvest and cold-chain systems; renewable energy and grid modernization; flood control and water security; ports and logistics; digital connectivity; technical training; industrial upgrading; disaster resilience; and technology transfer that strengthens domestic productive capacity. And this is precisely where Manila must be smart and intelligent rather than antagonistic to Beijing.

For a country like the Philippines, GDI is highly relevant because development ultimately depends on strategic capacity. A state with stronger food security, better infrastructure, greater energy resilience and security, deeper industrial capabilities, more advanced technology and better-trained, highly educated human capital enjoys not only higher living standards but greater national autonomy. Economic weakness narrows foreign-policy choices; development widens them.

Unburdening

Undoubtedly, Philippines-China bilateral relations remain burdened by serious maritime disputes and disagreements, competing legal positions and recurrent confrontations in the contested waters of the South China Sea (SCS). Yet diplomatic engagement has continued alongside these maritime disagreements/conflict of interest.

In March 2026, the two sides resumed high-level consultations and convened the 11th Philippines-China Bilateral Consultation Mechanism on the SCS. In July 2026, Philippine and Chinese officials again stressed dialogue, stability and the peaceful management of differences even as Manila forcefully raised its objections to Chinese actions at sea. This is not a contradiction; this is diplomacy at work.

The mistake would be to imagine that Manila must choose between defending its maritime rights and cooperating with China for development and economic purposes. Serious statecraft requires the capacity to do both. The Philippines should be firm where interests clash and pragmatic where interests converge.

Sovereignty and sovereign rights claims in the SCS cannot be traded for infrastructure; neither should infrastructure, trade, agriculture, climate cooperation or poverty reduction be sacrificed simply to prove geopolitical loyalty to another major power and traditional military ally — the United States. Economics reinforces this logic.

The Philippine Statistics Authority data show that in 2025, China was the Philippines’ largest source of merchandise imports, supplying approximately $38.44 billion, or 28.6 percent, of total imports, while China was also the fourth-largest destination for Philippine exports, receiving approximately $9.31 billion.

Conclusion

In retrospect, this shows that geography and economic interdependence do not disappear, because the maritime relations between the two sides are challenging. Thus, Manila and Beijing should maintain economic development cooperation while managing differences through open-minded, sincere and peaceful dialogue, consultation and negotiation.

As Filipinos often say, “Walang hindi nadadaan sa mabuting usapan” (there is hardly any disagreement that cannot be addressed through sincere and constructive dialogue). This resonates with the Chinese principle of “和为贵” (hé wéi guì), meaning “harmony is most precious,” and the diplomatic wisdom of “求同存异” (qiú tóng cún yì) — seeking common ground while preserving differences — express much the same philosophy. Together, they remind us that differences need not become permanent divisions, and even difficult differences can be responsibly managed when dialogue remains sincere, mutual respect endures, communication stays open, there’s a genuine desire to find common ground, and neither side lets disagreement in one area define the entire relationship. Hence, both sides need to recognize a crucial reality: The SCS dispute is a profoundly important part of Philippines-China relations, but it need not become the entirety of that relationship.

Thus, for both Manila and Beijing, the more mature statecraft is neither naïve accommodation nor permanent confrontation. It is compartmentalized engagement anchored in national interests, international law, diplomacy, security preparedness and risk reduction at sea, while simultaneously expanding mutually beneficial economic and development cooperation where agreement is possible.

And again, this is where GDI’s relevance matters most; it is not an escape from geopolitics, but a reminder that geopolitics should not be allowed to consume everything.

For the Philippines, indeed, the SCS matters profoundly. But so do farms, ports, power grids, jobs, schools, technology, food prices and livelihoods.

Hence, the Philippines should defend and protect its claims at sea, but it should also build its future on land. It must be capable of doing both.

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