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The territorial dispute between Japan and China over the sovereignty of the Senkaku/Diaoyu Islands is framed by economic interests, domestic circumstances, national identity issues, requirements of international law and historical grievances. The article provides an analysis of these issues which are indicative of the bilateral relationship in general. The analysis of the 1972-2010 period traces the reasons for the erosion of the implicit agreement in 1972 and 1978 between the two countries to shelve the territorial dispute, using Constructivist as well as Realist approaches. The second part contains a case study of the 2010 and the 2012/13 Senkaku incidents, the latter and most serious one started by Ishihara Shintaro, the right-wing Governor of Tokyo, when he declared in April 2012 his intention to have his local government buy some of the contested islands from its private owner which prompted the national government of Prime Minister Noda to buy them instead. The ensuing Chinese reaction has led to a crisis in the bilateral relationship which has political, military and economic implications of considerable importance for the future of Japan and China but also for the stability of the whole East Asian region.

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The Senkaku/Diaoyu Islands Territorial Dispute between Japan and China: Between the Materialization of the `China Threat` and Japan `Reversing the Outcome of World War II`?