Decolonization would prove to be rough for the Empire of Japan. When the League of Nations informed Emperor Yoshihito in 1952 that the international community wanted Japan to decolonize, he regarded it as a bitter pill to swallow, but that Japan could get over the loss of Korea, Taiwan, and the South Pacific Mandate. However, when President Harry S. Truman of the United States specified
what the League of Nations regarded as Japanese colonies, Yoshihito was left in shock. The League of Nations did not simply want Japan to withdraw from Korea, Taiwan, and the South Pacific Mandate. Possession of Karafuto, which Japan had acquired the southern half of in 1905 and the northern half of in 1923, was something that Japan was quite proud of. And Hokkaido, which Japan had annexed in 1869, had become regarded as part of the Japanese Home Islands. Likewise, the Ryūkyū Islands, an independent kingdom before Japan had annexed them in 1879, was regarded as part of Japan proper. So when Yoshihito learned that by "decolonize", the international community wanted Japan to forfeit its territory outside of Honshu, Kyushu, Shikoku, and the Nanpō Islands, it left him speechless. He reluctantly agreed, however, after it was made clear that all colonial powers were going to abide by such harsh decolonization guidelines. Korea was the first of the overseas possessions to gain independence, in 1960. Taiwan followed in 1968. The Kingdom of Ryūkyū was restored in 1972. Sakhalin gained its independence in 1976. The South Pacific Mandate gradually became independent throughout the 1970s and 1980s. Chuuk, Kosrae, the Northern Mariana Islands, the Marshall Islands, Pohnpei, and Yap in 1979, and Palau in 1981. Finally, in 1996, Hokkaido became independent. By the end of the twentieth century, Japan's territorial gains since 1869 had been completely reversed.
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The Empire of Japan on December 31, 2000, before the dawn of the new millennium.