China territory dispute hurting Japan tourism

It may be China’s so-called “Golden Week” of national holidays, but many potential travelers are avoiding spending it in Japan as tensions between the two countries increase.

The escalating dispute between Japan and China over a string of uninhabited islands in the East China Sea is hitting the travel trade, as major airlines have started cutting capacity following thousands of tourist cancelations.

Japan Airlines and All Nippon Airways say the tussle over the Senkaku/Diaoyu islands has led to a combined total of more than 50,000 tickets being canceled by passengers originally planning to travel in the Japan-China market through November.

Both airlines say they are either suspending routes or using smaller aircraft to match lower passenger demand.

With the airlines stating most of the nixed trips had been for pleasure, rather than business, it’s apparent that Chinese and Japanese tourists are seeking alternatives to visiting each other’s countries.

Other sectors have been hit too, including sea travel, with at least one operator canceling its cruises between Japan and China.

Incoming Chinese tourists are increasingly important to Japan, accounting for the single biggest group by far at 20 percent of all overseas visitors.

Travelers from Indonesia, Malaysia and Taiwan follow some distance behind in the rankings.

Troubled history

Behind the rearranged travel plans lies an increasingly bitter territorial row over islands Beijing calls the Diaoyus, but which Tokyo refers to as the Senkakus.

They are uninhabited and have been controlled by Japan since 1895, save for 1945-1972, when the United States controlled them as part of its postwar occupation.

China has been seeking control since the islands reverted to Japanese control in 1972, a call that intensified on September 11 after the Tokyo government purchased several of the islands from private ownership.

China has subsequently seen violent anti-Japan protests, while some Japanese businesses have withdrawn from trade shows or temporarily suspended operations.

The area around the disputed chain is thought to be rich in oil and gas reserves.

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