Diaoyu Islands have the land area of only 4.3838 square miles, but govern more than 170,000 square miles of sea area. After World War II, USA became the world power and tried many ways to influence the global affairs.
In 1972, USA transferred the administrative rights of Diaoyu Islands to Japan as part of its Asian Pacific plan. At that time, China was under the control of the communist party, which was not favored by USA. This is the real cause of disputes over Diaoyu Islands.
Japanese government announced that they purchased the Diaoyu Islands and would nationalize the whole area. This shameless action triggered protest against Japan. Lately in many big cities of China, Japanese products were boycotted and some Japanese factories were even temporarily shut down.
The Primer Minister of Japan even asked China to compensate their losses. Why Japanese never compensate the losses of all the Asian countries in the World War II. Many Chinese sufferers once filed the legal accusation again Japan for their cruelties during the World War II, but the Japanese courts rebuffed their files.
If war is the solution, all the Chinese will be on the side of fighting back against Japan. If someone is trying to get the bottom line of China, there is no room for compromise on the Diaoyu Islands. So far, the Chinese communist government perhaps still hope for peaceful solutions, but the general Chinese seem to have lost the patience and trust on such a shameless neighbor.