This will be bizarre as not it will trigger a second wave of cold war but it will also signal the end to Asia. Asia must not fight Asia - at whatever cost. Witness what happens in the 1st an 2nd World War - those were no winners, only losers - the winners were the west.
The rest of Asia is looking at Japan to provide some leadership in the financial or economic field. This is an area that Japan - despite its present economic woes - can still lend. But unfortunately, Japan is too weak by paying too much deference to the US - the Miyazawa Plan notwithstanding. You can't blame Asians if they feel that Tokyo is not ready to pursue a more independent policy. In my view, this subservient policy will not help Japan in the long-term.
How to handle China?
1. Hook China to the mainstream of international politics -ARF, APEC, WTO. China must be persuaded to believe that it has a stake in global partnership. And that the whole world is not ganging against it;
2. No isolation or containment of China. Any half-baked policy of pushing China into the corner will strengthen its will, re-ignite the Middle Kingdom syndrome and can be dangerous as it has weapons of mass destruction in its arsenal. China is not Iraq;
3. The US has a major restraining/moderating role to play. A continued US presence in the region via defense treaties has the effect of checking Chinese ambition;
4. Ensure a more democratic system in China sinks its roots. Although the human right policy is going to be difficult to sustain, but it is one tool to enhance transparency.
