MANILA, Philippines — Defense Secretary Gilberto “Gibo” Teodoro Jr. has accused Beijing of using a “classic squid tactic” to divert attention from the arrest of Chinese nationals in the Philippines, while describing China’s warning involving Filipinos as an act of “extortion and blackmail.”
The increasingly heated exchange between Manila and Beijing comes amid a widening dispute involving 69 Chinese nationals arrested at a steel facility in Tagoloan, Misamis Oriental, and more than 100 Filipinos subjected to enforcement action in China over alleged illegal employment or residence.
Teodoro made the remarks on August 15 after Chinese Foreign Ministry spokesperson Guo Jiakun accused the Philippine defense chief of repeatedly attacking and smearing China.
Rather than directly addressing Beijing’s allegations, Teodoro said China was attempting to shift the discussion away from what he considers the central question: whether the Chinese nationals arrested in the Philippines were involved in illegal activities.
“The latest Chinese Foreign Ministry statement against me is a classic squid tactic—disinformation through avoidance,” Teodoro said.
Steel plant arrests at center of dispute
The controversy stems from a May operation at Philippine Sanjia-Steel Corp. in Misamis Oriental.
Authorities from the Armed Forces of the Philippines, Presidential Anti-Organized Crime Commission, National Bureau of Investigation and other agencies took part in the operation, during which dozens of Chinese nationals were arrested. GMA News and Philstar reported the number as 69 Chinese workers, although the Chinese Embassy disputed the figure and said 70 were arrested.
Teodoro maintained that the case was not simply about immigration violations.
He alleged that authorities uncovered activities involving the processing of substandard and allegedly radioactively contaminated steel, the discharge of untreated polluted wastewater into rivers and the release of untreated toxic fumes.
According to Teodoro, evidence supporting the allegations was obtained by Philippine authorities through court-issued search warrants.
The Chinese Embassy, however, rejected Teodoro’s characterization of the operation.
In a statement released on August 16, the embassy accused the defense secretary of “distorting the facts” and questioned why Chinese workers were arrested while the people responsible for operating the facility were not detained.
The embassy also questioned the involvement of the AFP in the operation and said it had the right and responsibility to provide consular assistance to detained Chinese nationals.
Beijing’s action against Filipinos becomes another flashpoint
The dispute intensified after China announced enforcement action against more than 100 Filipinos accused of illegal employment or illegal residence.
Chinese Foreign Ministry spokesperson Guo said foreign nationals in China must comply with Chinese laws and regulations, while Beijing maintained that the individuals’ rights were being protected.
Teodoro rejected what he viewed as an attempt to connect the cases of Filipinos in China with the Philippine government’s law-enforcement operation.
He particularly objected to language suggesting that Filipinos would “bear the brunt” of China’s actions.
For Teodoro, such a warning amounted to an indiscriminate threat against Filipinos.
He characterized it as “extortion and blackmail” and insisted that Filipinos would not be intimidated.
He ended his statement with the defiant message: “Di tayo pasisiil!”
Reuters separately reported that Teodoro accused Chinese embassy officials of interfering in Philippine law-enforcement processes and threatening reprisals against Filipinos, allegations he said were revealed during a Senate hearing.
China fires back
The Chinese Embassy subsequently escalated its response on August 16, saying Teodoro’s statements were unfounded and questioning the Philippine government’s handling of the arrests.
The embassy said it opposed what it described as discriminatory or selective enforcement against Chinese nationals and insisted that its consular role gave it the responsibility to check on detained citizens and seek assurances regarding their treatment.
The Department of National Defense, however, rejected the embassy’s response.
DND spokesperson Arsenio Andolong said the Chinese statement failed to answer the substantive questions raised by Teodoro and instead relied on what the agency described as rhetoric and evasive arguments.
The DND characterized the response as a “classic example of evasiveness” and said the government would not be intimidated.
The agency’s message was blunt: “Di tayo pasisiil!”
Tensions extend beyond the steel plant
The latest confrontation is part of a broader deterioration in Philippine-China relations.
Manila and Beijing have repeatedly clashed over territorial and maritime issues in the South China Sea, including the West Philippine Sea, while both governments have continued to dispute each other’s actions and interpretations of international and domestic law.
The latest dispute is significant because the confrontation has now moved beyond maritime encounters and into law enforcement, immigration, foreign nationals and diplomatic pressure. Reuters reported that tensions between Teodoro and Beijing had already worsened after China imposed sanctions on the defense secretary in June.
For Manila, the central issue remains whether Chinese nationals arrested in Misamis Oriental were involved in unlawful activities and whether Chinese officials improperly sought to influence Philippine law enforcement.
For Beijing, the focus is instead on what it describes as the unfair treatment of Chinese nationals and what it considers politically motivated actions by Philippine authorities.
With both sides now publicly challenging each other’s version of events, the dispute could become another test of already strained Philippines-China relations.
And the next question may be bigger than the arrests themselves: Will the diplomatic confrontation remain a war of words—or trigger further action against nationals of either country?
Why this matters
The episode underscores how quickly disputes between Manila and Beijing can expand from the West Philippine Sea into other areas of bilateral relations.
The arrest of Chinese nationals, China’s action against Filipinos, accusations of diplomatic interference and the increasingly confrontational statements from both sides have created a new pressure point between the two governments.
For Filipinos working, living or traveling in China—and Chinese nationals residing or doing business in the Philippines—the developments are worth watching closely as Manila and Beijing determine how far this latest confrontation will go.
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