Opinion | How Germany is reshaping the world in era of US-China rivalry

“We want to do whatever we can to help settle tensions in a peaceful manner,” German Chancellor Olaf Scholz said of the South China Sea territorial disputes while standing next to Philippine President Ferdinand Marcos Jnr.

“This is about adhering to international law, ensuring the freedom of navigation. We are working to ensure that the UN Convention on the Law of the Sea is being adhered to by all its parties,” Scholz added, emphasising the utmost importance of de-escalation and the code of conduct negotiations for the South China Sea.

Crucially, Scholz also referred to the 2016 arbitral tribunal award, which invalidated China’s expansive claims in adjacent waters. He made it clear that he believes it “to be very important that each and every one adheres to the legislation in place”.

During his state visit to Berlin, Marcos made it clear he had “no choice” but to defend his country’s sovereign rights in the area. But the Filipino leader also clarified that he was not just rejecting any proposals China made and that diplomacy was still his preferred option.

Scholz, who hosted three Southeast Asian leaders this month, at once positioned Germany as a global leader by expressing support for fellow democracies such as the Philippines, as well as underscoring the importance of regional diplomacy and international law in resolving conflicts in Asia. However, he steered clear of directly criticising China or signalling any alignment with the US “integrated deterrence” strategy against Beijing.

If anything, Scholz is expected to visit Beijing next month to further buttress Sino-German economic cooperation as well as exercise constructive diplomacy in areas of geopolitical divergence. Germany, now the world’s third-largest economy, is signalling its preference for a different approach to global diplomacy that seeks to both stabilise and transcend the US-China rivalry.