Introduction: In 1931 Japan controlled most of the economy of Manchuria. It owned the important mines, railroads, factories and ports. It kept a large army in the port city of Kwantung to protect these assets. The world wide depression had hit Japan hard and many people within Japan saw conquering new territory as a way out of the depression because Manchuria was a country of rich soils and mineral resources. During the night of September 18, Japanese soldiers blew up a section of the Japanese railroad and blamed the explosion on the Chinese and so had an excuse to occupy the city of Shenyang. China asked for the Leagues help. The League ordered the troops to withdraw. Japan agreed to order and withdraw the troops, but the Japanese government did not have control over their troops. The Japanese army continued to advance into Manchuria. By the end of 1931 the Japanese troops had control of the entire province of Manchuria which they renamed Manchukuo.
Effects on China: For the Chinese in Manchukuo, life became increasingly difficult. The best jobs and food were reserved for the Japanese. Rice was reserved for the Japanese. The Chinese were expected to subsist on millet. This allowed more of the rice grown in Manchuria to be exported to Japan. Chinese found eating rice could be shot for "economic sabotage". Life became a daily struggled. Adults on the street would bow to the Japanese of all ages for fear of reprisals. The were all run by the Japanese. Chinese children went to inferior schools, where their teachers, all Japanese, stressed what an earthly paradise Manchukuo was. Japan then declared "Manchukuo" an independent state, setting up , the last Manchu Emperor of China as puppet Emperor. By February 1932, the Japanese had conquered the whole of Manchuria. Thousands of Chinese soldiers and civilians were killed
