REPUBLIKA.CO.ID, BEIJING -- China will set up an offshore observation network, including satellite and radar stations, to strengthen the country's maritime power, the official China Daily reported on Friday (19/12), in a move that could exacerbate tensions in the region.

Many of China's neighbours, including Japan, the Philippines and Vietnam, have expressed concern at China's military build-up and increasingly assertive posture in the region.

The network, which an official from the State Oceanic Administration called "fundamental" to protecting China's maritime interests, is set to be completed by 2020, the newspaper said.

The network would cover coastal waters, the high seas and polar waters, the report said, adding that undersea observation operations and tsunami warning stations would also be built.