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Japan demands compensation from China

Updated On: Sep 28, 2010

Tensions between the powerful neighbours show little sign of mitigating following Japan's detention of the Chinese fishing boat captain near disputed islands in the East China Sea earlier this month.

The incident has further strained bilateral ties to their worst point in years and is starting to impact trade. The boat’s captain was released Friday and has since returned to China, but the diplomatic back-and-forth since then indicates nationalistic sentiments remain high.

The infamous row hinges on the two nations' competing claims of sovereignty over a clutch of islands in an area of the East China Sea with possibilities of rich oil and natural gas reserves.

Beijing has cut off ministerial-level dialogue with Tokyo and postponing talks on developing undersea natural gas fields between the nations. This also includes a non-meeting at the upcoming Asian-Europe Summit.

Sources:
Japan demands China pays for damage to coastguard boats [The Telegraph, 27 Sep 2010]
Japan asks China to cover damage to patrol boats [Associated Press, 28 Sept 2010]
No Japan-China meeting planned at Europe summit [Associated Press, 28 Sept 2010]







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