The United States and Palau have forged a new agreement that grants American ships the authority to independently enforce maritime regulations within Palau’s exclusive economic zone (EEZ). This development holds significance against the backdrop of escalating competition between the U.S. and China for influence in the Pacific region. As tensions mount, Palau’s President has sought Washington’s assistance to counteract Beijing’s unwanted activities in its coastal waters.
Palau’s Geographical and Political Context
Situated in the Micronesia sub-region of Oceania in the western Pacific, Palau, officially known as the Republic of Palau with its capital in Ngerulmud, is an island nation comprised of around 340 islands. Spanning a mere 466 square kilometers, Palau stands among the world’s smallest countries. Following a decisive vote against joining the Federated States of Micronesia in 1978, Palau achieved full sovereignty in 1994 through a Compact of Free Association with the United States. This arrangement establishes Palau as a presidential republic in free association with the U.S., thereby granting access to defense, funding, and social services.
U.S. as an Indo-Pacific Power: Sustaining Regional Security
The United States holds a pivotal role in the Indo-Pacific region, which extends from its Pacific coastline to the Indian Ocean. This expansive area is home to over half of the world’s population, almost two-thirds of the global economy, and seven of the world’s largest military forces. After World War II, recognizing the inseparability of its security from Asia’s stability, the U.S. forged ironclad treaty alliances with key regional players such as Australia, Japan, the Republic of Korea (ROK), the Philippines, and Thailand. This network underpinned security, facilitating trade, investment, and democratic growth. Over time, the U.S. has affirmed its strategic commitment, dismissing the idea of military withdrawal post-Cold War. The U.S. administrations since have maintained unwavering dedication to the region.
Challenges to U.S. Maritime Security Goals
Amid a rapidly evolving strategic landscape, the U.S. must anchor itself within the Indo-Pacific and reinforce the region alongside its allies. China’s multifaceted approach involving economic, diplomatic, military, and technological power seeks to establish influence in the Indo-Pacific, raising concerns about its intentions. From territorial disputes to the pressure on Taiwan and neighboring countries, China’s actions threaten regional stability and flout international norms. The U.S. recognizes the need to counteract China’s assertiveness and safeguard human rights, international law, and freedom of navigation.
U.S.-Palau Maritime Security Agreement
The newly inked maritime security agreement permits U.S. Coast Guard vessels to uphold regulations within Palau’s EEZ independently, without requiring a Palauan officer’s presence. This collaboration empowers Palau to monitor its EEZ, combat illegal fishing, and deter unauthorized vessels from engaging in questionable activities within its waters. The partnership aligns with the shared objective of fostering peace and prosperity in the region.
Implications of the U.S.-Palau Agreement
Palau’s recognition of Taiwan and its maintenance of diplomatic relations with the island elevate the agreement’s significance. In contrast, the Solomon Islands switched diplomatic allegiance from Taiwan to China in 2019, subsequently entering into a covert security pact with China. This move raises concerns about Beijing’s expanding military influence in the South Pacific. The U.S. responded with its diplomatic initiatives, including establishing an embassy in the Solomon Islands. Comparable to the agreement with Palau, a similar pact was forged with the Federated States of Micronesia in late 2022, and a bilateral defense agreement was signed with Papua New Guinea. These agreements underscore the U.S.’s commitment to safeguarding shared resources and maritime safety, collaborating with Pacific Island nations to uphold a free and open Indo-Pacific.
UPSC Mains Questions
- How does the U.S.-Palau agreement contribute to the broader U.S. strategy of countering China’s influence in the Indo-Pacific?
- What are the potential economic implications of the maritime security agreement for Palau’s exclusive economic zone?
- How might China’s assertive actions in the South China Sea impact regional stability and international law?
- In what ways does the U.S.’s partnership with Pacific Island nations strengthen its ability to maintain a rules-based order in the Indo-Pacific?
