The South China Sea plays a critical role in the geopolitics of the Asia-Pacific region, as it has become the theatre of China-US power competition for regional dominance. The US views China’s growing regional influence and assertiveness in the South China Sea as “the most pressing threat to existential order in the Indo-Pacific region” (Wu 2021). As a result, geopolitical tension in the Asia-Pacific region is on the rise. The room and possibilities of having effective conflict management and settlement in the South China Sea are being constrained by intensifying US-China competition. The chapter discusses the implications of US-China competition on the geopolitical landscape in the South China Sea, explores the ASEAN Way of conflict management and resolution, and proposes some pathways towards the realisation of lasting peace in the South China Sea.