Going by China logic to resolve dispute of :-
(1) Might is right
---- China find itself into a corner - where now US is exerting this principle on China.
---- the repercussion of this dispute resolution method - will mean China will be cowed by might.
Another resolution method is by :-
(2) International law - which resolve disputes without conflict.
--- Where Hague ruling - rule against China.
Of course there are other resolution methods such as :-
(3) Negotiation, Consultation, "trading - give-and-take resolution". ---- where all these will not result in conflict.