The Dongsha Islands, also called the Pratas Islands, are located in the northeastern South China Sea. They consist of Dongsha Island, North Vereker Bank and South Vereker Bank. Records of the Dongsha Islands are in Chinese ancient texts dating back more than a millennium. Chinese fishermen fished in the sea around the Dongsha Islands. Nishizawa Yoshizi, a Japanese businessman, occupied the island in 1908. Inorder to establish Dongsha Island as a guano and fish collecting station, Nishizawa Yoshizi destroyed a temple building, dug up the graves of Chinese fishermen, and threw their remains in the sea. Nishizawa Yoshizi renamed the island 'Nishizawa Island'. Finally, after two Chinese naval vessels were dispatched to the islands, and following diplomatic efforts in Tokyo and Guangdong, China re-established its sovereignty over them in 1909. Nishizawa withdrew from the island and received compensation from the Guangdong provincial government. This article summarizes and analyzes the process of the diplomatic confrontation between China and Japan and its effects.