Japan continued its expansion into China are the events that increased tensions between the Japan and the United States in the late 1930s.
Tensions with Japan rose when the Japanese bombed the U.S.S. Panay as it evacuated American citizens from Nanjing. Japan attack on the China which generate differences between Japan and the United States in the late 1930s.
So we can conclude that Japan continued its expansion into China are the events that increased tensions between the Japan and the United States in the late 1930s.
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