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Japan Moves to Ease Growing Tensions with China Over Taiwan

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Japan has taken steps to cool a rapidly escalating diplomatic dispute with China following comments by Prime Minister Sanae Takaichi about the security risks of a potential Chinese attack on Taiwan.

The tension began after Takaichi told lawmakers that a Chinese strike on Taiwan—just 110 km from Japan’s western islands—could threaten Japan’s survival and force a military response. Her remarks broke from Japan’s usual practice of avoiding such direct statements, which Beijing sees as provocative.

In response, China issued a warning advising its citizens to avoid travelling to Japan, while Japanese officials criticised the advisory as incompatible with healthy bilateral relations.

To contain the fallout, senior Japanese diplomat Masaaki Kanai travelled to Beijing to meet his Chinese counterpart. Tokyo says he will clarify that Japan’s defence policy has not changed and will urge China not to take actions that damage ties.

China, however, has demanded that Japan retract Takaichi’s comments and has cancelled a potential meeting between its premier and the Japanese leader at the upcoming G20 summit.

Taiwan’s President Lai Ching-te weighed in as well, accusing China of launching a “multi-layered attack” on Japan and urging Beijing to exercise restraint.

Analysts say the standoff may last for months, as China continues to increase pressure while Japan refuses to walk back the prime minister’s remarks.

Meanwhile, the dispute is already affecting Japan’s economy. Tourism and retail stocks fell sharply amid fears that Chinese visitor numbers could plunge—similar to a 25% drop seen during a territorial dispute in 2012. Economists warn that a decline on that scale could significantly slow Japan’s annual economic growth.

The diplomatic spat has also drawn in other nations. The U.S. ambassador to Japan criticised a Chinese diplomat who had made insulting comments about Takaichi online, while Chinese state media continued to condemn her stance as “provocative”.

With Chinese coast guard ships entering disputed waters and Japan scrambling fighter jets in response to Chinese drone activity, the standoff has increasingly taken on military overtones—raising concerns about stability in one of Asia’s most sensitive flashpoints.

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