Growing Japanese aggression spills deep into China.

After a referendum on Japanese occupation in Manchuria in August 1933 votes in favor of rejoining China, the Japanese launch an assault on China to annex it entirely. After Nanjing falls and is razed to the ground, the Bering Strait incident occurs when an American frigate the USS Liberty is supposedly attacked by Japanese forces (an analogue to Pearl Harbor), the U.S and Russian Federation get involved. A joint Russian and American strike force capture Manchuria and Korea by June 1934, after which the Japanese sue for peace. The treaty of Tokyo sets reparations to China for the razing of Nanjing at one billion gold rubles (which would translate to 500 million US Dollars), Manchuria's return to china and reparations to the USA for the sinking of the USS Liberty.

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