The formation of the South China Sea was primarily controlled by the NeoCathaysian and Nanhai tectonic systems (Early Cretaceous‐Early Tertiary, and Late Oligocene‐Early Miocene, respectively). These two tectonic systems are associated with the first and second phases of spreading in the South China Sea, where 33 sedimentary basins have so far been located. Basin generation and development was tectonically controlled, and four basin types have been identified: tensile, tensile‐shear, compressive, and compressive‐shear. Tensile and tensile‐shear basins in the Nanhai system, and the compressive basins in the NeoCathaysian system, have the most promising oil and gas