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The Sino-Japanese war began as a minor military clash on July 7, 1937 between Chinese and Japanese soldiers at the Marco Polo Bridge near Peking. The incident quickly escalated when the Chinese refused to accept a settlement from Japan that would have given the Japanese influence in northern China.

On October 6, 1937 the Japanese prime minister,Prince Fumimaro Konoye,informed the Japanese Diet that the government was determined to force the Chinese to accept their settlement terms.

As the Japanese military conquered areas of China, they created regimes which gave the appearance of Chinese control , but were in reality puppet government in the control of Japan.

On November 3,1938 Japan announced that the Chinese National government had been reduced to a local government and that Japan's aim was to create a new order in east asia. Japan's peace terms were as follows: