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China warns US, others over Asian security

Signs '$400b' gas deal with Russia amid rising tensions

AFP, Shanghai
Chinese President Xi Jinping issued a veiled warning to the United States yesterday, saying countries should not build up military alliances in Asia, even as Beijing feuds with several neighbours.
Speaking at an Asian regional security forum in Shanghai, Xi said a rising China would seek "peaceful" means to resolve territorial disputes.
Beijing has sought to counter Washington's foreign policy “pivot" to Asia, but it has also irritated Vietnam, Japan and the Philippines - the latter two US allies - with what those countries say are aggressive moves in separate maritime rows.
"To beef up an entrenched or military alliance targeted at a third party is not conducive to maintaining common security," Xi said, without naming names.
Washington's traditional allies in the Asia-Pacific region include Japan, where it has military bases and whose
security it guarantees by treaty, and Australia.
China's official Xinhua news agency on Tuesday urged countries from outside Asia not to raise tensions.
In Asia, relations between China and Vietnam have worsened after Beijing sent a deep-water oil drilling rig into contested waters in the South China Sea earlier this month. The move sparked violent protests in Vietnam in which at least four Chinese were killed.
China and Japan have a long-running feud over disputed islands in the East China Sea, while the Philippines accuses China of reclaiming land on a disputed reef within its exclusive economic zone under a United Nations convention.
Several countries have overlapping claims in the South China Sea, which is home to key shipping lanes and thought to contain vast energy reserves.
On Tuesday, Xi and his Russian counterpart Vladimir Putin launched naval exercises off Shanghai, and
yesterday they oversaw the signing of a huge and long-awaited gas deal between their two countries.
Under the 30-year contract between China's CNPC and Russia's Gazprom -- reportedly worth as much as $400 billion - 38 billion cubic metres of gas could eventually be sent annually from Russia to energy-hungry China.
Russia has been seeking more Asian markets, and its gas supplies to Europe via Ukraine are currently under threat because of unpaid bills by Kiev.
European Commission chief Jose Manuel Barroso yesterday told Putin in a letter it was "imperative" that negotiations over payments by Ukraine continued, and that supplies were maintained during the talks.
The perceived motive for the deal is that Russia needs a second market for its gas, so it can face up to European sanctions. Given that the pipeline won't start pumping gas into Chinese factories until 2018 at the earliest, its economic effect on the European crisis will be limited.