On September 18, some 4,000 protesters gathered outside the Japanese embassy in Beijing, hurling rocks and bottles and burning the Japanese flag. The day was the 81st anniversary of the Japanese invasion of China that kicked off World War II in Asia, but the demonstrators were really responding to a more recent Japanese encroachment — its purchase earlier this month of a chain of uninhabited islands also claimed by China.

In the weeks since, Chinese demonstrators in Qingdao set fire to a Panasonic Corp. factory and looted a Toyota dealership. Vandalism of Japanese cars, restaurants and shops has been seen in most big cities in China. Anticipating that the riots would reach a fever pitch September 18, most Japanese businesses in China were closed that day, and many Japanese expatriates have headed home, at least until things cool off.