Japan defuses one island dispute, escalates another
News On Japan via Wall Street Journal -- Aug 18

Japan has sought to damp a territorial dispute with China, but is turning up the heat in a similar conflict with South Korea, asking for a ruling from the International Court of Justice and threatening to sever some financial ties put in place over the euro-zone crisis.

While the disputes are far from new, Japan has in the past avoided taking the often-emotional issue of territorial claims into the financial realm. Officials have declined to signal if other bilateral ties would be affected.

Seeking to avoid an escalation with Beijing, the Japanese Cabinet agreed Friday to return protesters from Hong Kong after a highly public landing on an island controlled by Japan that's also claimed by both China and Taiwan.

The 14 who landed from a fishing boat on Wednesday were sent back after being interrogated by police. From the outset, China had warned Japan over any legal action against the group. In 2010, relations had soured quickly when a Chinese fishing boat captain was due to be tried after a collision with two Japanese coast guard vessels. Japan soon backed down and returned him home.




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