The Philippines occupies a strategic location on the edge of China’s “first island chain of defense” and has been subjected to persistent and assertive Chinese claims to disputed territory in the South China Sea. These Chinese claims threaten not only the Philippines and the other claimants to the territory, but also the ability of the U.S. to conduct naval operations in open seas and, ultimately, the security of the sea-lanes through which much of the world’s trade passes. To man¬age growing Chinese power, the U.S. needs a reliable, adequately equipped, like-minded partner on the South China Sea. The Philippines needs American leadership and assistance to fully develop its capacity for territorial defense. To protect both U.S. and Philippine interests in the region, the U.S. should assist the Philippines in build¬ing a credible ability to support its sovereign claims.