The Philippines has dismissed criticism from Beijing regarding the arrest of Chinese workers at a steel plant in May, marking a further escalation of tensions between the two nations. China accused Philippine Defence Secretary Gilberto Teodoro Jnr of “anti-China activities” following the arrests, alleging he aimed to disrupt relations. This dispute occurs despite Philippine President Ferdinand Marcos Jnr’s recent expression of wanting to “reset” ties with China. The conflict appears to be broadening beyond the contested South China Sea, now encompassing issues of immigration and worker rights. Manila defended the arrests, asserting they pertained to individuals working illegally. The exchange signals a deepening rift and potential challenges to improving bilateral relations between the two countries. This situation underscores the fragility of attempts to stabilize ties amid ongoing geopolitical complexities.