After alienating the western liberal democracies with whom they had previously enjoyed friendly relations, the Empire of Japan began exploring new friendship and alliances with the growing fascist powers which were emerging in Europe.
Following its investigation into the Mukden Incident and subsequent Japanese occupation of northeast China, the League of Nations demands that Japan withdraw its troops and return the territory they’ve seized. Japan responds by withdrawing from the League of Nations.
Japan’s conflict with China flares up once again with the Shanghai Incident. Meanwhile, on the domestic front, ultra-nationalist terrorists engage in a widespread campaign of assassination and attempted coups.
Three years after the assassination of Zhang Zuolin and attempted framing of the KMT, a group of higher-ranking officers within the Kwantung Army staged another false flag attack, which resulted in their conquest of northeast China and the establishment of the puppet state of Manchukuo.
In 1928, a group of officers in the Kwantung Army attempted to frame the KMT for their own assassination of Zhang Zuolin. The failed attempts to enforce accountability and discipline which followed set the stage for similar incidents in the future.
Two years prior to the much larger Great Depression, Japan experienced its own financial crisis thanks to the Great Kanto Earthquake, government bonds, and a panicky populace.
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