Japanese Army Withdraws from Shanghai, Officially Ending Conflict, Despite Continued Sporadic Fighting
On 29 February, the Japanese 11th Infantry Division landed near Liuhe behind Chinese lines.
The defenders launched a desperate counterattack from 1 March but were unable to dislodge the Japanese. On March 2, the 19th Route Army issued a telegram stating that it was necessary to withdraw from Shanghai due to lack of supplies and manpower. The next day, both the 19th Route Army and the 5th Army retreated from Shanghai, marking the official end of the battle.
On March 4, the League of Nations passed a resolution demanding a ceasefire, even though sporadic fighting persisted. On March 6, the Chinese unilaterally agreed to stop fighting, although the Japanese rejected the ceasefire. On March 14, representatives from the League of Nations arrived at Shanghai to force the Japanese to negotiate. While negotiation were ongoing, intermittent fighting continued in both outlying areas and the city itself. On May 5, China and Japan signed the Shanghai Ceasefire Agreement (Chinese: 淞滬停戰協定; pinyin: sōnghùtíngzhànxiédìng). This agreement made Shanghai a demilitarized zone and forbade China to garrison troops in areas surrounding Shanghai, Suzhou, and Kunshan, while allowing the presence of a few Japanese units in the city. China was allowed to keep only a small police force within the city. The agreement was widely regarded by the Chinese as a humiliation, as the terms were extremely unfavorable to China.
n fierce battles on March 1-3, 1932, Chinese forces suffered over 10,000 casualties but managed to contain the Japanese forces within the Shanghai area. Under strong pressure from foreign countries, including the United States and England, Japan agreed to a cease-fire, and an armistice went into effect in Shanghai on May 5, 1932. Under the terms of the agreement, the Nationalist government was forced to accept a neutral zone around Shanghai and to withdraw its military forces.