Importance of Pacific Island State :-
1. Economic potential:- These countries have large EEZ, thus the possibility of wealth of fisheries, energy, minerals and other marine resources present in such zones.
2. Sites for testing Nuclear weapon:- During second world war.
3. Strategic significance: A stable, secure and prosperous Indo-Pacific Region is an important pillar of India’s strategic partnership with the other countries especially USA.
4. Maritime Trade: Pacific islands are strategically significant from New Delhi’s point of view as they sit astride important sea lines of communication through which important maritime trade is conducted.
Why China is increasing presence:-
1. The PICs lie in the natural line of expansion of China’s maritime interest and naval power.
2. China will be considered as an effective Blue Water capable Navy which is essential to be recognised as Superpower.
3. China wants to break western domination in pacific islands.This is important to keep control over Taiwan.
China’s Presence:-
1. A leaked document revealed Chinese military and police significant access to Solomon Islands.
2. China had agreed in principle to finance the refurbishment of a two runway on Kanton island.
3. According to Lowy Institute research, between 2006 and 2017 China provided close to U.S. $1.5 billion in foreign aid to the Pacific Islands region through a mixture of grants and loans
Implication:-
1. All the countries dont agree to chinese Five yeat action plan for pacific island countries. It may turn into conflicts and competition in the region.
2. It has made Australia, Newzealand and US Cautiousand US has started revisiting its diplomatic priority.
3. The first risk, which has a low probability of occurring but would have profound impact, is that China is trying to use its leverage through diplomacy, debt, trade, or elite capture to establish a military base somewhere in the South Pacific.
4. The second risk, which is of a lower impact but of a higher probability of occurring, is that China and Chinese businesses, through elite capture and corruption will undermine the institution of Governance.