Tokyo's foreign envoy has reportedly left the Chinese foreign ministry building in Beijing without responding to questions from the media. Masaaki Kanai had met his Chinese counterpart Liu Jinsong to lay out Tokyo's position on Taiwan.

Within days of China urging its citizens not to travel to Japan due to a diplomatic dispute, Tokyo-based tour operator East Japan International Travel Service had lost 80% of its bookings for the remainder of the year.

Japan-China diplomatic row escalates driving volatility in Nikkei 225. Analysis of market impact, tourism sector risks, and trade implications for Asian economies.

BEIJING/TOKYO >> Japan has warned its citizens in China to step up safety precautions and avoid crowded places, amid a deepening dispute between Asia’s two largest economies over Japanese Prime Minister Sanae Takaichi’s comments on Taiwan.

Beijing is flexing its military and economic might to show its displeasure with the Japanese leader’s comments about defending Taiwan. But its aggressive approach risks backfiring.

China and Japan have repeatedly faced off around the Japan-administered islands, which Beijing calls Diaoyu and Tokyo calls the Senkaku.

Tokyo aims to calm diplomatic row triggered by remarks on island by Japanese Premier Sanae Takaichi - Anadolu Ajansı

Tourism-related Japanese stocks plunged on Monday after China warned its citizens against travel to its North Asian neighbour following a widening diplomatic rift over Taiwan.