The USS Panay was an American gunboat sunk by the Japanese while anchored in the Yangtze River. What was unusual about when this actually took place?

Answer: It occurred on December 12, 1937, four years before Japan and the United States would formally be at war. Japan apologized, stating they did not see the American flags on its deck, and subsequently paid an indemnity. Nevertheless, the issue led to a deterioration of American-Japanese relations, with many historians now maintaining the attack was intentional.

Source: The United States in Asia by David Shavit

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