Japanese firms shut China plants, U.S. urges calm in islands row

REUTERS ^ | Mon Sep 17, 2012 6:55am EDT | By Kazunori Takada and Chris Buckley

[DeaconBenjamin]

Major Japanese firms have shut factories in China and urged expatriate workers on Monday to stay indoors ahead of what could be more angry protests over a territorial dispute that threatens to hurt trade ties between Asia's two biggest economies.

China's worst outbreak of anti-Japan sentiment in decades led to weekend demonstrations and violent attacks on well-known Japanese businesses such as car-makers Toyota and Honda, forcing frightened Japanese into hiding and prompting Chinese state media to warn that trade relations could now be in jeopardy.

Japanese housewife and mother Kayo Kubo, who lives in the eastern Chinese city of Suzhou, said her young family and other Japanese expats were also staying home after being terrified by the scale and mood of the weekend protests in dozens of cities.

"There were so many people and I've never seen anything like it. It was very scary," she said.

Chinese Foreign Ministry spokesman Hong Lei said the government would protect Japanese firms and citizens and called for protesters to obey the law.

"The gravely destructive consequences of Japan's illegal purchase of the Diaoyu Islands are steadily emerging, and the responsibility for this should be born by Japan," he told a daily news briefing. The islands are called the Senkaku by Japan and Diaoyu by China.

"The course of developments will depend on whether or not Japan faces up to China's solemn stance and whether or not it faces up to the calls for justice from the Chinese people and adopts a correct attitude and approach."

China and Japan, which generated two-way trade of $345 billion last year, are arguing over a group of uninhabited islets in the East China Sea, a long-standing dispute that erupted last week when the Japanese government decided to buy some of them from a private Japanese owner.

[redgolum]

We may be on the verge of a war.

[LibLieSlayer]

The quality of Japanese electronics is about to go back up.

LLS

[The Working Man]

Soooo, when do American firms start to shut down their China based factories and plants?

I think the whole darn world is bracing for another World War. I just hope the survivors of it ban Debt since I think that is one of the major root causes to war. At least it seems so looking at history both ancient and modern.

[Gay State Conservative]

We may be on the verge of a war.

Unlikely.If China moves its navy,in numbers,into the disputed area the Japanese will know that it's "game over".The only effective response the Japanese might have is an economic one and it appears that they're using it.Now it's time for the US and Europe,China's two other economic lifelines,to step up and say "no additional imports from China".After *that* happens the Chicoms have nowhere to send the,cheap,worthless garbage they're now sending to Japan.

[bill1952]

U.S. urges calm in islands row...

LOL! I’m sure the players are listening to the currently IMpotent Uncle Sam telling them what to do.

China has been barging around these islands for quite some time, landing civilians and protective infrastructure.
With the US out of the International picture, the next, and more violent step, is fast approaching.

I would advise serious caution unless we need more Americans raped, murdered, and dragged through the streets.

[Former Proud Canadian]

What do you think of this from a Japanese newspaper, July 10:

The Japanese-controlled Senkaku Islands, a group of uninhabited islands in the East China Sea to which China and Taiwan have both made claim, fall within the scope of the 1960 Japan-U.S. security treaty which requires the country to defend Japan in the event of armed attacks, a senior State Department official said Monday.

"The Senkakus would fall within the scope of Article 5 of the 1960 U.S.-Japan Treaty of Mutual Cooperation and Security because the Senkaku Islands have been under the administrative control of the government of Japan since they were returned as part of the reversion of Okinawa in 1972," the official told Kyodo News.

The treaty's Article 5 states, "Each party recognizes that an armed attack against either party in the territories under the administration of Japan would be dangerous to its own peace and safety and declares that it would act to meet the common danger in accordance with its constitutional provisions and processes."

Seems like the US is treaty bound to protect the Japanese claim to these islands. How long do you think it will take Obama to renege on this?

[BobL]

“We may be on the verge of a war.”

I was going to wait until after the election before deciding whether to replenish my non-perishable supplies. I’ve let the quantity drift-down from 4 years to 3 years of everything I can think of (clothes, motor oil, paper towels, bags, etc).

But if this heats up a bit more - I’m off to Sam’s again, and will buy a few more years worth of stuff...

[Eye of Unk]

I swear the whole world would benefit from having Obama removed from office and somebody with some cojones to take over, like West perhaps.

Japan sees an empty suit when they address Obama, he is a nobody to them. And Obama knows that, he will find any way possible to NOT come to the aid of Japan, treaties be dammed.

[Former Proud Canadian]

Worse than that, CHINA sees an empty suit. So do the arabs, the Russians, the europeans et. al.

[Condor51]

*** "The Senkakus would fall within the scope of Article 5 of the 1960 U.S.-Japan Treaty of Mutual Cooperation and Security ....." ***

YIKES. I'm having Déjà vu all over again. Its' a mini SEATO Treaty which got us into Vietnam.

Both the United States and Australia cited the alliance as justification for involvement in Vietnam. American membership in SEATO provided the United States with a rationale for a large-scale U.S. military intervention in Southeast Asia. Other countries, such as Great Britain and key nations in Asia, accepted the rationale. In 1962, as part of its commitment to SEATO, the Royal Australian Air Force deployed CAC Sabres of its No. 79 Squadron to Ubon Royal Thai Air Force Base, Thailand. The Sabres began to play a role in the Vietnam War in 1965, when their air defence responsibilities expanded to include protection of USAF aircraft using Ubon as a base for strikes against North Vietnam.

Yeas most SEATO members bugged out of Nam. France already lost there and the UK military after WWII wasn't much to talk about even in 1962. And Canada .. well, it's Canada.

The Aussies were our biggest Allies there. And South Korea sent what troops they could even though not a SEATO member.

[henkster]

It sure looks like we have a direct treaty obligation to stand by Japan in defense of these bird-poop islands. It is absolutely imperative that the 0bama regime re-affirm that treaty and publicly state that we will stand by our treaty obligations. So far, he has not.

If we fail to stand by this treaty obligation, then 0bama has completely destroyed the credibility of our foreign policy. Not one single treaty we have signed will be seen as anything more than a scrap of paper. Our enemies will treat us like dirt, our allies will either desert us or become our enemies. Our foreign policy already smacks of sending tribute to other countries, but at least we had a smokescreen of treaty and alliance obligations attached to it. Under 0bama, it’s just going to be plundering and sacking of the federal treasury by the barbarians.

All eyes are on the disaster in the middle east, but no Americans see the real foreign policy disaster looming in Asia. I guarantee all the world’s diplomats do.

[Former Proud Canadian]

I predict Obama will not honor this treaty. This president has a spine of linguine.

The Japanese are on their own.

[GonzoGOP]

Unlikely.If China moves its navy,in numbers,into the disputed area the Japanese will know that it's "game over".The only effective response the Japanese might have is an economic one and it appears that they're using it.Now it's time for the US and Europe,China's two other economic lifelines,to step up and say "no additional imports from China".After *that* happens the Chicoms have nowhere to send the,cheap,worthless garbage they're now sending to Japan.

Just the opposite. At sea the JMSDF could easily hold those islands. Japan has some very quiet diesel boats that could make it impossible for China to keep major naval units in the area. Japan's Atago class DDGs are upgunned versions of our Arleigh Burke class destroyers and the four Kongo class DDGs are also first rank warships. Those are backed by two older but still very good DDGs and 30 modern frigates (Japan doesn't use the word frigate so they are referred to as destroyers in their order of battle). In summary 6 world beaters and 32 Backups.

China has the numbers but Japan has a massive qualitative advantage. Off the cost of China that would be advantage China, but out in the deep blue sea much of China's strength just doesn't have the ability to stay at sea.

For deep blue power projection the PLAN may or may not have the Varyag. She has gone to sea and operated fighters once. What use a carrier with a virtually untrained air wing would be is debatable.

For DDGs and FFG China has 12 Type 51 and Type 52 class that while not up to western standards are still very good. They also have 15 Soviet Era Destroyers that could be useful if they want to go with a battle of the first salvo. They have lots of tubes for big cruise missiles, but their defensive systems are dated. They also have 17 Type 54 and 54a frigates. Similar to our Perry class. So China would have less than a two to one advantage in hulls, but would face better ships, with more experienced crews.

On the economic front Japan his hopeless. Japan is decades into an economic collapse that was made worse by the Tsunami and the cost of the Fukushima cleanup. Their economy simply can't take the shock of a full trade war with China.

[Paul R.]

And in a (very) related story, Japan is quitting nuclear power. That’s a tectonic shift for the Japanese. Pre-Fukushima, the plan was to increase nuclear power to account for more than half Japan’s electricity.

http://www.newser.com/story/154062/japan-were-quitting-nuclear-power.html

This is all about the energy resources in the area of the disputed islands. Militarily, the Japanese might be able to hold up for a while, but one wonders if, economically speaking, the Japanese are committing hari-kari.