After the U.S. began paying back its debts, China lost a valuable bargaining chip. It demanded to be paid back in full immediately. When the U.S. refused, China invaded Guam, Northern Mariana Islands, and The Aleutian Islands for "debt collection." This infuriated Americans. Instead of negotiations, Congress quickly declared war. Canada, Australia, New Zealand, Japan, and South Korea allied with America. Vietnam, Laos, Myanmar, and North Korea allied with China.