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Demarcation of the land boundary with China continues, but maritime boundary and joint fishing zone agreement remains unimplemented; Cambodia and Laos protest Vietnamese squatters and armed encroachments along border; China occupies Paracel Islands also claimed by Vietnam and Taiwan; involved in complex dispute with China, Malaysia, Philippines, Taiwan, and possibly Brunei over the Spratly Islands; the 2002 "Declaration on the Conduct of Parties in the South China Sea" has eased tensions but falls short of a legally binding "code of conduct" desired by several of the disputants.
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