It was meant to be a sunny summit. Welcoming ASEAN’s leaders at the Sunnylands estate, President Obama said he had invited them to southern California, not cold and snowy Washington, to reciprocate the warm welcomes he had received in their own countries on his seven presidential trips to Southeast Asia. Appreciative laughter ensued.

Naturally Obama ignored the futility implied by the name of the city where Sunnylands sits: Rancho Mirage. But as a metaphor for ASEAN’s hopes of moderating China’s behavior in the South China Sea, and the summit’s efficacy in that regard, the name of the city is more apt than that of the estate. Rancho Mirage lies in the northern tip of the Sonoran Desert. In the driver’s seat on a desert road in the shimmering heat, ASEAN might be fooled into seeing a geopolitical oasis – a meaningful agreement with China on the South China Sea – finally near and achievable with continuing patience and faith in the “ASEAN Way” of regional diplomacy by consensus and declaration.

The Sunnylands Declaration, released on 16 February at the end of the two-day summit, lays out 17 principles to guide US-ASEAN cooperation going forward. The fifth of these reaffirms “respect and support for ASEAN Centrality and ASEAN-led mechanisms in the evolving regional architecture of the Asia-Pacific.”

On the day the declaration was announced, news broke that China had just deployed surface-to-air missile batteries on a land feature in the South China Sea controlled by China but also claimed by Vietnam and Taiwan – Woody Island in the Paracels. So much for the efficacy of the declaration’s eighth principle of “shared commitment” to “non-militarization and self-restraint in the conduct of activities.”

After “activities,” the Sunnyland drafters could not even agree to add “in the South China Sea,” let alone mention China, its encompassing “nine-dash line,” or the dredging, up-building, and runway-laying that Beijing has being doing at a breakneck, unilateral, mind-your-own-business pace on the contested features that it controls. Missile launchers on Woody? Score another point for the “PRC Way” of creating lethal facts while the “ASEAN Way” drafts wishful norms.

To its credit, the summit did convey “shared commitment” to “freedom of navigation and overflight” in and above the South China Sea, and twice endorsed the UN Convention on the Law of the Sea. But those phrases will not soften China’s refusal to allow international rules to restrain its maritime ambitions.

The notion that announcing principles will change behavior is the main mirage that gained false credibility in Rancho Mirage, at least among Southeast Asians who are disposed to value lowest-common-denominator diplomacy. They hope that China will be influenced by ASEAN-propagated norms to moderate its maritime ambition and behavior.

More than a few of Obama’s guests at Sunnylands retain faith in a single should-be, will-be solution: a Code of Conduct, or COC, in the South China Sea. The declaration does not refer to this illusion. But allegiance to such a code was evident in conversations among participants at the summit and in interviews afterwards.

For well over a decade in Southeast Asia and beyond, diplomats have been discussing the need for a – still non-existent – COC. In 2002 China and the ASEAN governments did sign a Document on Conduct of Parties in the South China Sea, or DOC  But its hortatory spirit and provisions were violated almost from the outset by nearly all six claimants – Brunei, China, Malaysia, the Philippines, Taiwan, and Vietnam. China’s placement of missile launchers on Woody Island, cheekily on the eve of the Sunnylands summit, was but the latest nail in the DOC’s coffin.

China and the ASEAN states undertook in the DOC “to exercise self-restraint in the conduct of activities that would complicate or escalate disputes and affect peace and stability” in the South China Sea. China’s leaders could have observed this principle. Instead they chose to bully Manila and Hanoi, respectively, by seizing Scarborough Shoal and stationing a huge oil rig in waters claimed by Vietnam. They chose to harass and expel Southeast Asians from a vast nine-sided fishing zone unilaterally drawn and appropriated for China’s own priority use. They chose to complicate and escalate disputes, damage peace, and cause instability by unilaterally enlarging, outfitting, and militarizing land features under Beijing’s contested control in a manner that dwarfs in scale and lethality the up-building efforts of other claimants.

It is not in China’s expansionist interest to implement a mere declaration, the DOC. Still less attractive in Beijing’s eyes is a code with teeth – a COC whose enforcing mechanism might actually punish violations. To encourage delay, Beijing insists that the DOC must be implemented first, before a COC can be drawn up and signed. To avoid commitment and to maximize the divide et impera asymmetry of separate bilateral talks between China and each Southeast Asian claimant, Beijing calls the discussions with ASEAN “consultations,” not “negotiations.”

In 2004 China did agree with the ASEAN states to establish a Joint Working Group on the Implementation of the DOC. In October 2015 in Chengdu, China, the group met for the 15th time. Afterwards, a Chinese foreign ministry spokeswoman assured listeners that the participants had reaffirmed “their commitment to fully and effectively implementing the DOC” and their readiness “to “work toward the early conclusion of a COC on the basis of consensus” [emphasis added].

In Southeast Asia, views of China’s behavior range from acquiescence (Cambodia, Laos) to antipathy (the Philippines, Vietnam). Manipulating this dissensus helps China ensure that the mirage of a COC remains in sight, motivating ASEAN, but continues to recede, protecting China.

ASEAN’s faith in its own centrality and the validation of that credence in Rancho Mirage reinforce passivity and complacence in Southeast Asia, including the idea that because ASEAN is indispensable, it need not be united, proactive, or original.

Southeast Asian officials and analysts who excuse ASEAN’s inertia argue that the grouping isn’t a government; China’s not that much of a threat; and geography has, after all, put China permanently next door. Coaxing the four Southeast Asian claimants to settle their own overlapping claims, some say, is just too hard to do. Brainstorming alleviations and ameliorations, let alone solutions, for the South China Sea? That’s too daunting as well. Isn’t the problem really a Sino-American struggle for power? Why get involved? Why not prolong the happy combination of American ships for deterrence and Chinese markets for profit? China’s leaders at least say that they want an eventual COC. Why not keep believing in that and them and avoid rocking the boat?

By its actions, China is signaling its intent to dominate some, most, or all of the South China Sea – the heartwater of Southeast Asia. If and when China manages to coopt and cow the ASEAN states into deference and resignation, Beijing will likely “disinvite” the US Navy from accessing what China controls. If this happens, the “Centrality” of ASEAN that was lauded in Rancho Mirage will have merited that city’s name, and China’s centrality will be all too real.

Donald Emmerson is director of the Southeast Asia Program at the Shorenstein Asia-Pacific Research Center and a senior fellow emeritus at the Freeman Spogli Institute for International Studies.

This article was originally carried by YaleGlobal Online on Feb. 23, 2016, and reposted with permission.

The Wall Street Journal quotes REAP's director Scott Rozelle, on the differences between President Hu and President Xi's approach to China's rural economy. To read the original article, click here.

After Mr. Hu retired in late 2012, and China deemphasized his push for a “harmonious society,” less happened with the foreign run rural banks. 

Citigroup Inc. says its network of Citi Credit outlets remains at four – including two in Hubei province – the same it reported in 2011. Spokesmen for both Standard Chartered Plc and Australia and New Zealand Banking Group Ltd. each say their push into village banking stopped at one outlet.

The “three nong” issues remain important to Xi Jinping’s administration, according to the conclusion of a seminar on the subject held last September and covered in state-run media. (Mr. Xi didn’t attend the event.)

Not everyone agrees. The former Chinese leaders, Mr. Hu and Premier Wen Jiabao, “for all their indecisiveness in other parts of the economy did a tremendous amount for rural policy,” said Scott Rozelle, an expert on the sector at Stanford University. Mr. Rozelle added that during Mr. Xi’s administration “there’s been almost no effort and even some backtracking on the rural economy.”

Seventeen faculty members and researchers from Stanford’s Freeman Spogli Institute for International Studies were hosted at U.S. Pacific Command (USPACOM) Headquarters in Hawaii for an intensive orientation on Feb. 4-5. The visit aimed to advance collaboration and to offer a deeper understanding of USPACOM’s operations to Stanford scholars who study international security and Asia.

Admiral Harry B. Harris, Jr., Commander of USPACOM, together with his commanders and staff, welcomed the delegation. Harris’s meeting with Stanford faculty is the second in recent months. The USPACOM visit and earlier speech at Stanford Center at Peking University are part of a series of activities driven by the U.S.-Asia Security Initiative. Led by Ambassador Karl Eikenberry, the Initiative seeks to provide constructive interaction between academic and governmental experts on the many and diverse security challenges facing the Asia-Pacific region.

“Engaging deeply in conversations with those who are on the frontlines is incredibly valuable,” said trip participant Coit Blacker, FSI senior fellow and professor of international studies. “This is especially true for academics who focus much of their attention thinking about the prospects for international peace and security but not necessarily considering their direct application on a military-level.”

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Top: (Left) The Stanford delegation watches a demonstration of a 2-minute drill. / (Right) Karen Eggleston boards a UH-60 Blackhawk helpcopter enroute to the Lightning Academy with her colleagues. Bottom: The delegation takes a group photo on-site.

On the first day, FSI scholars spoke with military officers about the command’s strategies and challenges it faces, such as population aging and sovereignty disputes over the South China Sea. Discussions were followed with a tour of USS Michael Murphy, a guided missile destroyer which routinely conducts operations in the Western Pacific including the South China Sea.

Karen Eggleston, FSI senior fellow and director of the Asia Health Policy Program, was one of the discussants on the USPACOM trip. Her research focuses on health policy in Asia, specifically the effects of demographic change and urbanization.

“As a health economist, the visit yielded for me a behind-the-scenes sense of how members of the military respond to pandemics and humanitarian situations, and of the ongoing dialogue with their counterparts in Asian nations,” Eggleston said. “I think that kind of military-to-military engagement provides an area rich with questions and best practices that could in some ways be shared as a model among other nations.”

Other activities on the first day included a briefing by the U.S. Pacific Fleet command, informal presentations and dialogue between the Stanford participants and the USPACOM staff, and working with senior leaders of the U.S. Pacific Air Forces command.

On the second day, the group visited the U.S. Army’s installation at Schofield Barracks. There, they observed a command post simulation and field exercise including units of the 25^th Infantry Division. Graduates from the U.S. Army’s jungle survival training school also shared their impressions of applying lessons in the field. Researchers from the Asia-Pacific Center for Strategic Studies (APCSS) joined the Stanford delegation later in the day. Both sides discussed research outcomes and avenues for future exchanges. The day concluded with an extensive tour of USS Mississippi, a Virginia-class attack submarine. FSI has long engaged military officers through a senior military fellows program. Started in 2009 by the Center for International Security and Cooperation, the program remains active today with five fellows conducting research at Stanford.

Lt. Col. Jose Sumangil, a 2015-16 U.S. Air Force Senior Military Fellow, participated in the Stanford delegation at USPACOM.

“The trip was an excellent opportunity to showcase how the U.S. ‘rebalance to Asia’ strategy is implemented on a day-to-day basis – for example, providing a look into the decision-making process that could occur should a situation arise in the South China Sea,” Sumangil said. “It’s incredibly important to build this kind of understanding among experts studying Asia, and I think we helped do that here.”

USPACOM is one of the largest U.S. military commands with four major service components (U.S. Pacific Fleet, U.S. Pacific Air Forces, U.S. Army Pacific, U.S. Marine Forces); it is tasked with protecting U.S. people and interests, and enhancing stability in the Asia-Pacific Region.