China signs deal to 'lease' Pacific island in Solomons
HONIARA, Solomon Islands — A Chinese company signed an agreement to lease an entire island in the Solomon Islands a day after Beijing recruited the Pacific nation as its latest ally in the strategically important region, according to documents
The leaked papers reveal that the Solomons' Central Province made a "strategic cooperation agreement" on Tulagi island, which has the
A day previously, China and the Solomons officially established diplomatic relations after Beijing persuaded the impoverished Pacific nation to sever ties with arch-rival Taiwan and become its ally.
Tulagi, an island about two square kilometres (0.8 square miles) with a population of 1,200, is the site of a former Japanese naval base and was the scene of fierce fighting in World War II.
The agreement with China Sam mentions developing a refinery on the island, but its potential for dual use as a Chinese military base is certain to raise concerns with the United States and Australia.
"Party A (Central Province) is willing to first lease the whole Tulagi island and the surrounding islands to Party B (China Sam) for the development of the special economic zone," the agreement says.
It
China Sam said in a statement issued Thursday that
Strategic motives
"The fear is that these zones can
"The island in question in Solomon Islands has deep water anchorage so could have such strategic uses
Taiwan was previously the Solomons' largest ally in the Pacific region and the decision to ditch it for China after months of speculation
Days later another Taipei loyalist in the region, Kiribati, did likewise.
Assertive China
The manoeuvring left Taiwan with just four nations that officially recognise it in the Pacific and 15 worldwide, while also alarming traditional western democratic powers.
The Pacific has long been a proxy battleground for Taiwan and China, with local leaders adept at playing one against the other for financial gain.
China has become more assertive in the Pacific as its economic might
Other regional heavyweights, particularly Australia, fear Beijing's ultimate aim is to set up a naval base in the Pacific which would dramatically increase its military footprint in the area.
Such a move
However, China Sam's arrangement with Central Province may count for little as it has not
Central's Premier Stanley
"To be honest here, leasing Tulagi will not be possible," he said. "Nothing will eventuate on the agreement."
"Corruption
"But this new Chinese engagement is
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