“The two countries enjoy major trade and investment ties but also suffer persistent, damaging political rifts. The negative side of the relationship is familiar. Since the late 1980s, Chinese diplomatic rebukes and popular protests over issues relating to the legacy of World War II have become increasingly strident. During Prime Minister Koizumi’s era the Chinese government protested against his visits to the Yasukuni Shrine, and opposed Japan’s bid for UN Security Council membership.
In more recent years the main source of tension has been territorial disputes over the Senkaku/Diaoyu islands. In 2010 the Japanese coast guard arrested the captain of a Chinese fishing boat that had allegedly rammed two Japanese coast guard vessels in contested waters. The arrest prompted government protests in China. The Chinese government called off political talks with Japan and temporarily suspended a series of bilateral student exchanges. The response in Japan was chilly. A Yomiuri Shimbun survey published in October 2010 reported that 89 per cent of Japanese believed that the Chinese government ‘went too far’ on the Senkaku/Diaoyu issue. Worse, the survey found that only 13 per cent of Japanese respondents felt any trust in China.”
http://www.eastasiaforum.org/2012/10/22/japan-and-china-warm-trade-ties-temper-political-tensions/ http://www.eastasiaforum.org/2012/10/22/japan-and-china-warm-trade-ties-temper-political-tensions/ http://www.forbes.com/sites/timferguson/2014/10/27/china-japan-handshake-good-trade-flow-better/