September 17th, 2012
04:29 AM ET

Fallout widens from island dispute between China, Japan

The widening fallout from an increasingly volatile territorial dispute between China and Japan prompted a Japanese company to halt work at plants in China on Monday, and the United States to urge the two sides to avoid letting the situation spiral out of control.

The electronics company Panasonic said Monday that it was suspending operations at three plants in China after two of them were damaged amid violent anti-Japanese protests set off by the clash between Beijing and Tokyo over a group of small islands in the East China Sea.

Japan calls the islands Senkaku; China calls them Diaoyu.

The United States, a key military ally of Japan, has called on the two sides to find a peaceful resolution to the disagreement, which is generating more and more unease in the region and starting to hurt economic links between the world's second and third largest economies.

"It's in everybody's interest for Japan and China to maintain good relations and to find a way to avoid further escalation," U.S. Defense Secretary Leon Panetta said Monday at a joint new conference in Tokyo with his Japanese counterpart, Satoshi Morimoto.

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Filed under: China • Japan
soundoff (13 Responses)
  1. banasy©

    I’m dying from my vodka party, just the cats and I. Expect no comments from me today. I cannot muster the energy to continue defending the indefensible, and I’m ashamed I voted Obama.

    September 17, 2012 at 7:19 am | Report abuse | Reply
    • Pete

      @banasy,another impostor hey and I had one as well.If you are stand up and be counted as an indivigual,not a shadow of someone you wish you'd be!!!Be yourself,quit hiding ...

      September 17, 2012 at 10:24 am | Report abuse |
  2. Mary

    Somehow I seem to remember that the real banasy doesn't like Vodka
    Nice try.

    September 17, 2012 at 8:12 am | Report abuse | Reply
  3. chrissy

    @ Mary, youre so very right, plus she doesnt have cats.

    September 17, 2012 at 9:29 am | Report abuse | Reply
  4. Kevin Shebester

    Sick! How do you know these things about each other?

    September 17, 2012 at 10:06 am | Report abuse | Reply
    • banasy©

      Because we're...oh, I don't know...friends?

      September 17, 2012 at 10:46 am | Report abuse |
    • BOMBO ©

      We all have magic CNN decoder rings. Didn't you get one?

      September 17, 2012 at 2:15 pm | Report abuse |
    • Yeah, well....

      Do I have to drink a lot of Ovaltine to get one?

      September 17, 2012 at 2:17 pm | Report abuse |
  5. BOMBO ©

    Need I remind you China that the last time you were at war against those guys you got OWNED?

    September 17, 2012 at 2:11 pm | Report abuse | Reply
  6. BOMBO ©

    Also, in a country like China, protests of this magnitude only happen and are only tolerated if they are government planned and sponsored.

    September 17, 2012 at 2:14 pm | Report abuse | Reply
  7. Yeah, well....

    I protest strongly against China. Big dumb bullies.

    September 17, 2012 at 2:15 pm | Report abuse | Reply
  8. Ivan

    How is this not the top story on CNN? The world's #2 and #3 economies may go to war and we have to search for coverage?

    September 17, 2012 at 2:35 pm | Report abuse | Reply
  9. legalmind

    something's wrong with China. they are claiming more and more, even beyond what is reasonable. There must be something we don't know. Maybe the much feared magnitude 10 earthquake is going to be in China and they are looking for places to migrate.

    September 17, 2012 at 10:18 pm | Report abuse | Reply

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