Diaoyu Islands Dispute
ICE Case Studies
Diaoyu Islands Dispute
  
CASE NUMBER: 30
CASE IDENTIFIER: DIAOYU
CASE DESCRIPTION: DIAOYUTAI ISLANDS DISPUTE
Draft Author: Cheng-China Huang (June 1997)
CASE BACKGROUND
ENVIRONMENT ASPECT
CONFLICT ASPECT
ENVIRONMENT CONFLICT OVERLAP
RELATED INFORMATION
 I. CASE
BACKGROUND
1. Abstract
The on-going sovereignty dispute between Japan, the People's
Republic of China (PRC) and the Republic of China (ROC) on Taiwan
over the Diaoyu/Senkaku Islands [1] raises a number of
significant issues relative to island and maritime disputes in Asia
Pacific rim. In general, the issue can be identified by three
points. First of all, none of the three governments want the issue
to become a source of difficulties in their bilateral
relationships. However, the three governments are driven by a
number of domestic and international political factors. Moreover,
while the issue of ownership of natural resources is the main point
in this dispute, it is believed that the dispute itself is not
simply about "oil". Political issues related to other disputes and
pressure from domestic interests make this dispute complicated.
Finally, while conflict between the three countries over the
dispute is unlikely, so is any form of resolution, or joint
exploitation of the area's natural resources.
International law presents many unanswered questions about the
Diaoyu Islands dispute. What is the nature of discovery and
occupation for uninhabited islands? Were the Diaoyu Islands part
of Taiwan or Okinawa before 1895? Finally, how will the disputed
islands affect maritime jurisdiction? In order to understand the
detail of the Diaoyu Islands dispute, this case study will observe
the relationship between the Diaoyu conflict and the related
environmental issues.
2. Description
Diaoyu Islands are a group of eight uninhabited islands located in
the East Asia Sea, nautical miles Northeast of Taiwan and 240
nautical Southwest of the Liu Chiu Islands (Ryukyu Islands, also
known as Okinawa), on the Chinese side of the Okinawa shelf (see map). The largest island is
two miles long and less than a mile wide.
The term "Diao Yu Tai" in Chinese means "Fishing Platform". The
earliest historical records of the islands are Chinese navigation
records from 1403, and references to Diaoyu Islands occur in
Chinese logs and Chinese maps of the Liu Chiu chain from that time.
For several centuries, the Diaoyu Islands have been administered as
one part of Taiwan and have always been used exclusively by Chinese
fishermen as an base for fishing, both before and after World War
II. (For more detail, see Prof. Kiyoshi Inoue's paper in 1972 "Diaoyu Islands and other
islands are Chinese Territory")
In 1874, Japan took Liu Chiu Islands (Okinawa) from China by force
when Chinese Ching Dynasty was involved in several wars with other
foreign countries. However, the Diaoyu Islands still
remained under the administration of Taiwan, a part of China.
After being defeated by Japan in the
Sino-Japan War, China ceded Taiwan to Japan under the Shimonoseki
Treaty. As a part of Taiwan, the Diaoyutai Islands belonged to
Japan at that time.
Taiwan was returned to China at the end of World War II in 1945
based upon the 1943 agreement of the Cairo and Potsdam
Declarations. The Japanese government accepted the terms that
stated in these documents"...that all the territories Japan has
stolen from the Chinese, such as Manchuria, Formosa, the
Pescadores, shall be restored to the Republic of China.
In 1951 Article 2 of the Treaty of Peace with Japan signed by Japan
and the Allied Powers (excluding both the ROC and the PRC) stated
that, "Japan renounces all right, title and claim to Formosa and
the Paracels". Article Four of the separate peace treaty signed
between Japan and the ROC in 1952 declared that all agreements
between Japan and China before 1941 were null and void.
[2] As stated above, it is reasonable to
take the mean that Diaoyu Islands should be returned to China
because the Diaoyu Islands are one part of Taiwan. However,
Japanese have maintained that the islands should not be included in
these treaties. This issue remain quiet through the 1950s and
1960s probably because the these small uninhabited islands held
little interests for the three countries.
The Diaoyu Islands issue had not been raised until ECAFE (United
Nations Economic Commission for Asia and the Far East) suggested
possible large hydrocarbon deposit in the waters off Diaoyutai in
1969 (actually, no oil has ever been found and no systematic search
for oil has yet been carried out). In 1970, the U.S. and Japan
signed the Okinawa Reversion Treaty which included Diaoyu Islands
as part of Okinawa to be returned to Japanese rule. This Treaty
was immediately challenged by both ROC (Taiwan) and PRC (mainland
China). The dispute came into the open when the Japanese
government delivered a note to the ROC government stating that its
bids to exploit the oil potential around the island were not valid. [3] In September 1970, a
Taiwanese gunboat planted the ROC flag on the islands. In
December, the PRC intervened in this dispute, stating that the
Diaoyu (and Taiwan) were China's territory and that exploitation of
the area by foreign countries would not be tolerated.
[4] At first the U.S. government appeared to
support the Japanese claim. However, because the U.S. government
wanted to improve relations with the PRC, it then took a neutral
stance over the dispute. The U.S. claimed that its involvement
could, "...in no way prejudice any underlying claims... The United
States...considers that any conflicting claims are a matter for
resolution by the parties concerned." [5] Since this time, the U.S. government has
studiously avoided involvement in the dispute.
Since the reversion of Okinawa to Japanese rule, the Japanese
government has repeatedly sent its naval forces to eject Chinese
fishermen from this area. A crisis occurred in 1978 when the
Japanese right wing political group Nihon Seinensha (Japanese Youth
Federation) illegally erected
a lighthouse on Daioyutai in an attempt to legitimize Japanese
territorial claim over the islands. The event raised angry
protests from Chinese communities all around the world. However,
this was over-shadowed by the signing of the Sino-Japanese Peace
and Friendship Treaty in October 1978. Both
Chinese and Japanese government had agreed to shelve the issue for
future resolution.
Another crisis of Diaoyutai dispute concerned Japan and Taiwan in
1990. On 29 September, the Japanese government decided it would
allow the Nihon Seinensha to renovate a lighthouse they had erected
on the islands in 1978. [6]
Criticism from the independence leaning opposition party in Taiwan,
the DPP (Democratic Progressive Party), Wu Tung-yi, the KMT mayor
of the southern Taiwanese city of Kaohsiung, organised two fishing
boats to transport the "Taiwan Area Athletic Meet"[7] to the islands with an
Olympic torch to demonstrate the ROC's claim to the Diaoyutai.
This event showed that the Diaoyu Islands issue was not only simply
a problem of who owned the natural resource, it also had been used
by opposition parties as a tool to attack the government's ability
to handle this issue.
In July of 1996, the right wing group Nihon Seinensha made their
third illegal landing on Diaoyutai, erecting a new
lighthouse on the northern islet. Though this lighthouse was
unexpectedly destroyed by a typhoon later, the group soon built
another lighthouse on September 9th. Again, the Chinese
communities, especially from Hong Kong and Taiwan, held an even
larger protest against Japanese government. The issue is still
going on among the three countries.
3. Duration: In Progress (1945-now)
1895
China ceded Taiwan and Diaoyutai Islands to Japan after Sino-Japan
War under the Shimonoseki Treaty.
1945
Japan surrendered, Taiwan returned to China under Cairo and Potsdom
Declarations.
1952
The U.S. government administrated Okinawa and the Diaoyutai under
San Francisco Treaty
1968
The United Nations reported that there might be existing of
hydrocarbon deposit in the waters off Diaoyutai
1970
The U.S. and Japan signed the Okinawa Reversion Treaty which
included Diaoyutai Islands as part of Okinawa
1971
More than five thousands students protested against Japan in the
United States.
1972
The Japanese government claimed sovereignty over Diaoyutai Islands
following Chinese government's formal claim
1978
Japan established official relationship with China. Two
governments agreed to shelve the issue
1989
September, Japan expelled Taiwanese boats operated around the
Diaoyutai Islands
1990
September, the Japanese government recognized the lighthouse which
was made by the right-wing
group in the Diaoyutai Island.
October, China formally protested again Japanese action in
Diaoyutai dispute.
1992
25, February, China passed the territorial sea law, which included
the Diaoyutai as part of China's territory
1996
15, July, Japanese Youth Federation illegally erected another
lighthouse. Again, Chinese held even larger activities to protect
the Diaoyutai Islands
4. Location
Continent: Asia
Region: East Asia
Country: Japan
The Diaoyutai Islands located 120 miles northeast of Taiwan on the
continental shelf and are separated from the Liu Chiu Islands
(Ryukyu Islands) by a deep underwater trench (over 1000 meters
deep). There are five small volcanic islands and three rocky
outcroppings in the Diaoyu group. Most of the islets are clustered
around the largest island, Uotsuri/Diaoyu, which covers roughly 8
hectares and lies 170 km northeast of
Taiwan and 410 km west of Okinawa. Two outlying islets, Kobi-
sho/Huangwei Yu and Akao-sho/Chiwei Yu, are located 31 km and 108
km from Uotsuri/Diaoyu Island, respectively. None of the islets is
inhabited. All the Diaoyu Islands lie within the 200-m isobath, at
the edge of the
Asian geologic continental shelf. The 2,270-m-deep Okinawa Trough
lies seaward of the Diaoyu Islands, separating them from the
nearest undisputed Japanese islands. In terms of distance, the
distance between Taiwan and the Diaoyu Islands is indeed shorter
than the distance between Okinawa and Diaoyu Islands. It seems
reasonable to include the Diaoyu Islands as a part of Taiwan's
territory.
5. Actors: China, Japan, and Taiwan
Although the on-going dispute has been underway since World War II,
the three government have tried to keep the dispute as low-profile
as possible because they do not want the issue to lead to a
deterioration in their wider bilateral relations. In fact, there
has been no military conflict among the
three countries because of this dispute. This low posture over
Diaoyutai Islands can be illustrated by the Treaty of Peace and
Friendship, which was signed by China and Japan. In this treaty,
Deng Xiaoping, the China's Vice-Premier stated that both
governments had agreed to
shelve the issue in 1972 and that this was still the policy of both
governments,
"It is true that the two sides maintain different views on this
question...It does not matter if this question is shelved for some
time, say, ten years. Our generation is not wise enough to find
common language on this question. Our next generation will
certainly be wiser. They will certainly find a solution acceptable
to all." [8]
II. Environment
Aspects
6. Type of Environmental Issue: Resource (Oil)
This dispute was not an issue until the UN "suggested" that there
might be oil deposit in the Diayutai area in early 1970s. Before
that time, the three government seemed to less enthusiastic about
the Diaoyutai Islands. The issue is related to the ownership of
natural resource and the territory it is on.
However, as mentioned above, this dispute was not simply about
"oil". It also involved other circumstances in the three
countries. Clearly, the Diaoyutai has a strong implication of
nationalism. National pride concerning the islands is an issue for
the three countries, especially for the Chinese and Taiwanese given
the recent history of Japanese aggression.
An even more important significance of the Diaoyutai Islands is its
implication for other island and maritime disputes involving China,
Japan and Taiwan. For the PRC, the Diaoyutai issue is linked to
China's other maritime claims, particularly with regard to the
South China Sea. The reason that Beijing government cannot soften
their attitude toward the Diaoyutai is clear. If they soften their
posture over the Diaoyutai, they might be considered as softening
of their position on the Spratly and Paracel island disputes in the
South China Sea. We also should not forget that because the
Diaoyutai Islands is part of Taiwan, China's sovereignty claim on
Diaoyutai also implied that Taiwan is one part of China.
For the Japanese, any softening on the Diaoyutai might have
implications for the more serious territory dispute with Russia
over the question of the "Northern Territories". In addition, the
islands have become an important nationalist symbol that used by
the right-wing parties to attack the current government. The most
critical point is that the right-wing groups can make gestures
about the Diaoyu Islands at any time and so cause serious problems
for Japan's relations with both China and Taiwan. This is also
concerned by the Japanese government.
For Taiwan, the government also wants the issue to die down because
Taiwan's trade with Japan is vital to its economy. The absence of
diplomatic ties with Japan make it difficult for Taiwanese to lodge
protests. If Taiwan uses some economic measures such as sanctions,
Taiwan will hurt itself because of heavy dependence on Japanese
products. From economic perspective, this probably is the key
reason that Taiwan wants to abate the dispute.
7. Type of Habitat: Ocean
8. Act and Harm Sites:
Act Site Harm Site Example
China China Sea Commons Oil Spill into Sea
III. Conflict
Aspects
9. Type of Conflict: Interstate
10. Level of Conflict: Warthreat
11. Fatality Level of Dispute: 0
III. Environment and Conflict Overlap
12. Environment-Conflict Link and Dynamics: Direct
The conflict among China, Japan and Taiwan over the sovereignty of
Diaoyutai Islands is directly linked to the environmental issue of
territory dispute. The sovereignty claim on the Diaoyutai by each
of the three countries is the direct cause to the conflict. The
following diagram illustrates the relationship among the conflict,
nationalism, sovereignty and bilateral relations. 
The story started from the sovereignty claim over the Diaoyutai by
each of the three countries. The sovereignty claim was due to the
possible oil existing in the Diaoyu Islands area. Thus, natural
resource has a positive both on sovereignty and the Diaoyutai
conflict. Sovereignty goal also raised
nationalism in both Chinese and Japanese sides. In China or
Taiwan, the nationalists linked Japan's actions on Diaoyutai with
militarism and recalled the history that Japanese massacred 300
thousand Chinese in Nanjing in
1937. In Japan, nationalists used territory disputes as a tools to
attack the government's policies. Thus, both the independent
variables of sovereignty and nationalism were two important inputs
for the Diaoyutai conflict.
It is also interesting to see that the Diaoyutai conflict has an
inverse positive effect on sovereignty. As mentioned earlier, the
sovereignty of Diaoyutai has a strong implication for Chinese
concerning with their sovereignty in the South China Sea. For
Japanese, the Diaoyutai dispute also implied Japanese attitude
toward the territory disputes with Russia. Even for the Taiwanese,
claiming
Diaoyutai as their territory might be linked to formal
independence.
Both nationalism and sovereignty may contribute to negative effects
on bilateral relations. Considering the bilateral relations, the
three countries want to die down the issue instead of fighting each
other. The good bilateral relations, particularly China with
Japan; Japan with Taiwan, had reduced the tension on the Diaoyutai
dispute.
13. Level of Strategic Interest: Region
14. Outcome of Dispute: Stalemate
IV. Related
Information and Sources
15. Related ICE and TED Cases
TED
ICE
SPRATLY
SHETLAND
MINAMATA
DOOSAN
BALTIC
BLACKSEA
MEDIT
JAPANSEA
BOLSEA
ZKURILE
ZSPRATLY
ZFALK
ZSUBLIC
16. Relevant Websites and Literature
Relevant Literature
1. Tao Cheng, "The Sino-Japanese Dispute over the Tiao-yu-tai
(Senkaku) Islands and the law of Territorial Acquitition,"
Virginia Journal of International Law 14 (1973-74):248-60.
2. Lee Wei-chin, "Trouble under the Water: Sino-Japanese Conflict
of Sovereignty on the Continental Shelf in the East China Sea,"
Ocean Development and International Law 18(1987):586,
pp.143-147.
3. Kim Young-tae, "Sino-Japanese Relations:The Making of the Peace
and Friendship Treaty" Ph.D thesis, George Washington University,
1990, pp.219-230.
4. Tretiak Daniel, "The Sino-Japanese Treaty of 1978: The Senkaku
Incident Prelude" Asian Survey Vol.18, No.12, December 1978,
pp.1235-1249.
5. Kim Byung-chin, "The Northeast Asian Continental Shelf
Controversy: A Case Study in Conflict
Resolution Among South Korea, Japan, China and Taiwan", PH.D thesis
Florida State University, 1980.
6. Bejing Review. History proves Diaoyu Islands are China's
territory Sep 22-29, 1996, v39n39, p.10
7. Hifumi, Arai. "Angry at China? Slam Japan" Far Eastern
Economic Review Otc 3, 1996, v159n40, p.21
8. Economist, Senkaku Islands: A Sporting Effort Oct 27,
1990, v317n7678, p.37-38.
9. Hyer Eric. "The South China Sea disputes: Implications of
China's earlier territorial settlements." Pacific Affairs
Spring 1995, v68n1, p.34-54.
10. Kang, K Connie. "A unifying campaign" Los Angeles
Times, Oct 3, 1996, B, 3:2
Relevant Web Sites
 Diaoyutai Defense
Coalition of Northern California
Bao Diao WWW site in
Hong Kong
SinaNet for Diaoyu Islands
the Chinese Commercial News
of Manila, Philippines
Chinas
cape -- Chinese Web Index for Protection of Diaoyu Islands
Bao Diao Logo
Diao Yua
Index
Diaoyu Page Diao Yu Tai Island Incident
Hong Kong Internet Ming Pao Daily News
Stop
Japanese Invasion
The Democratic
Party, Hong Kong
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