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The Empire of Japan is a federal constitutional dyarchy. Its co-heads of state are the Emperor and the Tycoon.
Japan after the [[Keio Restoration (Rebellion of 61)|Keiō Restoration]] put considerable effort into modernization. In 1875, Japan signed the Treaty of Saint Petersburg with [[Russia (Rebellion of 61)|Russia]], ceding control of Sakhalin in exchange for control of the Kurile Islands and the Aleutian Islands.
To the south, the Kingdom of Ryūkyū was annexed to the Empire, its king being demoted to daimyō in exchange for a peaceful annexation. In 1895, Japan and China went to war over Korea (the Sino-Japanese War). Japan was the overwhelming victor, and Korea became a Japanese protectorate. The Tycoon shortly afterwards copied the pattern successfully pioneered in his own nation with Korea, becoming likewise Tycoon of Korea, with the Korean Emperor as (nominally) co-head of state. China was forced to pay a massive indemnity of 200 million tael, and to cede control of Taiwan and the Pescadores. Initially, Japan demanded control of the Liaotung Penninsula, but in the so-called Triple Intervention, France, Germany, and Russia compelled Japan to withdraw that demand, in exchange for a greater indemnity.
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