Border conflict between China and Japan

A RAY OF HOPE FOR CHINA-JAPAN RELATIONS
Introduction:
The relationship of China and Japan, being very close neighbors, has been through many highs and lows for several centuries. They have a lot of similarities and common ground to agree on. Accordingly, the only geographical body separating the two countries is a small stretch of the Pacific Ocean, hence, the constant communication and trade between them. Culturally speaking, China, similar to its influence in most Eastern Asian countries has also heavily influenced Japan in terms of culture, writing technique, architecture, and some aspects of religion and philosophy.
However, ever since the emergence of a modernized Japan, possible through Western guidance and support, it has looked down on China. China, on the other hand, from being a formerly great civilization became weakened from corruption, the Opium Wars and other invasions by European countries during the 1800’s.
During the years 1894 and 1945, there has been several conflicts between the two countries, where Japan’s constant invasions of China and China’s allies such as Korea erupted into war. Due to these conflicts and disagreements, over a lot of issues during this previous century, the relationship between the two countries seems to continually worsen and may even erupt to war. It did actually result to war quite a few times, such as the First Sino- Japanese War from 1894 to 1895 over Japan’s attempts to invade Korea, China’s foremost ally. The Second Sino-Japanese war which lasted from 1937-1945, being a part of World War II where Japan, due to its imperialist policy of dominating Asia, attempted to invade China and secure its vast territory and natural resources for economic and political gain. China, aided by the Allied powers attempted to fight Japan. This resulted to numerous war crimes committed by the Japanese Imperial Army against China and its people, and has strained relations further.
Since both countries have many economic and trade relations between each other, they have formed an uneasy and mutual relationship. Accordingly, the two economic giants, China and Japan, are currently the world’s second and third biggest economies respectively. Due to this profitable partnership, in 2008, China-Japan trade amounted to $266.4 billion, with a significant increase of 12.5 percent from 2007. This makes Japan’s top trade partner, whereas China has since, 2009, become Japan’s biggest destination for its market exports.
The latest problem between the two countries which has plagued them for fifty years is the border conflict regarding the Diaoyutai or Senkaku Islands. The issue at hand is who owns or has sovereignty over the islands, which is full of natural resources needed by both the countries for their own economic development. So what are these islands and their significance for China-Japan relations?
Historical Background of the Conflict
The Diaotutai, for the Chinese, the Senkaku for the Japanese, and known as the Pinnacle islands in English is a group of  HYPERLINK "http://en.wikipedia.org/wiki/Desert_island" \o "Desert island" uninhabited islands, which are located in the  HYPERLINK "http://en.wikipedia.org/wiki/East_China_Sea" \o "East China Sea" East China Sea. Geographically speaking, the islands are situated east of Mainland China, on the northeast side of Taiwan, and west of Japan’s Okinawa Islands, and southwest of the Ryukyu Islands.
Given this recent historical backdrop, both countries have historical claims to prove ownership and sovereignty over the islands. On the part of China, it has presented historical records establishing historical possession. It alleges that in 1403, China has records of these islands, and in the Chinese book, “Voyage with a Tail Wind”; the islands were then known as the Diaoyu. Another record is during 1534, where China has a record of the visit of the Imperial Envoy to the Ryūkyū. These records were then adopted into the Imperial Map of the Chinese Ming Dynasty.
On the part of Japan, historical records from 1785, or the book "Sangoku Tsūran Zusetsu" by Hayashi Shihei, records the Ryūkyū Kingdom and indicates therein that Senkaku Islands was the path to be travelled from China going to the Ryukyu Islands.
In more contemporary history, after 1985, the end of the first Sino-Japanese War, the Japanese government through the Treaty of Shimonoseki declared that the Senkaku Islands were to be included in the territory of Japan, a fact acknowledged by China. However, after its defeat in World War II, in the  HYPERLINK "http://en.wikipedia.org/wiki/Potsdam_Declaration" \o "Potsdam Declaration" Potsdam Declaration, Japan was required to “relinquish control of all islands except for "the islands of Honshū, Hokkaidō, Kyūshū, Shikoku and such minor islands as we determine." China, in turn alleges e that this means that sovereignty of control of the islands should pass on to it. Japan refused, claiming that the islands were an inherent part of its territory.
The  HYPERLINK "http://en.wikipedia.org/wiki/United_States" \o "United States" United States had control and administration of the islands as part of the    HYPERLINK "http://en.wikipedia.org/wiki/United_States_Civil_Administration_of_the_Ryukyu_Islands" \o "United States Civil Administration of the Ryukyu Islands" United States Civil Administration of the Ryukyu Islands during the years 1945 to 1972. In 1972, under the Okinawa Reversion Treaty between the United States and Japan, the sovereignty of islands reverted back to Japan.
Since 1971, they have been actively claimed by both the  HYPERLINK "http://en.wikipedia.org/wiki/People%27s_Republic_of_China" \o "People's Republic of China" People's Republic of China and the  HYPERLINK "http://en.wikipedia.org/wiki/Republic_of_China" \o "Republic of China" Republic of China (Taiwan). The Chinese claim the discovery and control of the islands from the 14th century.
Reasons for the conflict:
There are a number of reasons for the persistence of both countries in claiming ownership of the islands. Although varying, these reasons can be considered to have political, economic, and territorial significance for both countries.
One reason and most likely the most important are the economic benefits of having possession of the islands. Having control and sovereignty means that the country can access the vast natural resources which is thought to be stored in the islands. Why the desperation of the two countries for natural resources?
The Diaoyu Islands dispute was not actually a problem until the discovery of oil and hydrogen reserves in the islands. This theory was brought about by the ECAFE of the United Nations Economic Commission for Asia and the Far East, where it suggested that there were probably vast hydrocarbon deposit in the waters surrounding the islands. However, until now due to the conflict between the two countries, there still has been no scientific or technical research done by any country or company.
In other words, the dispute is plainly about the money and profit. No one can deny that China’s fast industrialization also requires a great demand for fuel and other natural resources. During the National People's Congress way back in 2004, one of the priorities laid down by China is the protection, development, and exploitation of its marine resources. This was necessary, they pointed out to secure a crisis that might arise from energy security.
According to the Institute of Energy Economics, it is probable that oil consumption in China would increase to about 590 million metric tons during the year 2020 from the consumption of 220 million tons, which was last measured in 2002. Moreover, they say that China will import a glaring 450 million tons. On the other hand, Japan is expected to consume 250 million tons in that same period.
Aside from oil, it is apparent that China is becoming a major importer of natural gas, which further covers becoming a major importer for gasoline. Statistically speaking, forecasts reveal that the dependence of China on oil will increase from 15 percent in 2000 to a staggering amount of 50 percent in 2020.
China is also expected to become a net importer of gasoline within this year. China's dependence on the region's oil is expected to reach 50% in 2020 from 15% in 2000. As proof of this hunger for oil, fuel, and other sources of energy, China is asserting its claim not only in Senkaku islands, but also for other nearby islands which have a potential of oil, such as the Spratly and Paracel islands. Similar to Senkaku islands, it has strongly asserted its claim and flexed its muscles against smaller neighbors and competitors such as the Indonesia, Philippines, and the Taiwan with economic and political sanctions, and even war.
On the part of Japan, it is obvious that Japan has a lack of natural resources due to its small territory. It does not have the luxury of having vast track of lands and natural land to mine fuel and natural gases, hence it has to depend on other sources of electricity such as nuclear technology. Also, similar to China, it needs to sustain and maintain a very large economy, considering that it has the biggest economy in the whole words, it needs an equal amount of energy, which can be mined from the Senkaku islands.
Another reason for the conflict is the issue of Security and strategic value of the islands to China, Japan, and even Taiwan. Given current devel...