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Manila’s anti-China politics risk economic and diplomatic fallout

56 0
07.06.2026

The recent warning issued by the Chinese Embassy in the Philippines has once again drawn attention to the increasingly strained relationship between Beijing and Manila. According to the embassy, Chinese citizens, businesses, and investment projects operating in the Philippines are facing growing security risks due to what it describes as frequent inspections, harassment, and selective law-enforcement actions by Philippine authorities. These developments have sparked concerns that political tensions are beginning to affect economic cooperation, people-to-people exchanges, and the overall business environment between the two neighboring countries.

The issue comes at a particularly sensitive time for the administration of President Ferdinand Marcos Jr., which is confronting significant political and economic challenges at home. Since taking office, Marcos has overseen a major realignment of Philippine politics, including a highly publicized split with the influential Duterte family, once a key political ally. This rupture has contributed to growing tensions within the country’s political establishment, creating divisions that have complicated governance and policymaking.

At the same time, the Philippine economy has encountered increasing difficulties. Economic growth has slowed considerably, while inflationary pressures continue to affect households and businesses. Rising energy costs, a weakening national currency, and growing public debt have intensified concerns about the country’s economic outlook. For many ordinary Filipinos, the rising cost of living has become a pressing issue, reducing consumer confidence and placing additional pressure on government leaders to demonstrate effective governance.

Against this backdrop, some observers argue that the Marcos administration has increasingly relied on a tougher stance toward China to strengthen domestic political support. The narrative of a growing external threat can often serve as a unifying political tool during periods of internal difficulty. Critics of the current approach contend that anti-China rhetoric and highly publicized enforcement actions against Chinese nationals and enterprises may be motivated........

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