What Is Yellow Sea Agreement

It is becoming increasingly clear that China`s economic landscape depends mainly on two under-economic areas – the YSEB and the Pearl River Delta, which was once dominated by Hong Kong but is now an increasingly integrated megalopolis that includes the cities of Guangzhou, Shenzhen and Macau. With a share of only 0.5% of China`s land area, the very small, vital and dynamic Pearl River Delta region accounts for nearly 33% of China`s total exports and 10% of its total gross domestic product (GDP). As a result, investors looking to participate in North Asia`s explosive growth no longer have to think about complex and distant markets, but can instead focus on two concentrated trading areas – the YSEB and the Pearl River Delta. From this point of view, the logistics of trade in an initially almost incomprehensible geographical area becomes much less cumbersome. The fact that negotiations between China and South Korea on the demarcation of maritime borders were relaunched or seriously started for the first time in 2015 is undoubtedly positive. However, it seems that the long-standing and contradictory positions of both sides remain unchanged. The lack of clear progress in the negotiations suggests that it is not certain that there is sufficient political will, although it is difficult for outside observers to assess accurately in order to reach a compromise result between competing positions. The option of branching or separating the boundaries of the seabed and water columns can provide a creative and attractive result, which could result in a continental shelf boundary slightly closer to the Korean side of the Yellow Sea than to the Chinese side of the Yellow Sea, with a water column boundary that better matches the equidistance line between opposite coasts. This would lead to a continental shelf border in line with the positions of China and South Korea vis-à-vis Japan further south in the East China Sea, and to a clear separation of jurisdictional rights over fisheries, which could potentially, but not necessarily, help resolve fisheries-related conflicts based on recent practices in the region.