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The war ended in Japanese victory, but also in extensive costs for the Japanese in lives, equipment, and supplies, as well as financially; the Russians managed to reject suggestions they pay any indemnity, leaving the Japanese government with considerable expenses. The [[Treaty of Portsmouth]] which ended the war was brokered by US President Theodore Roosevelt (for which he was awarded the Nobel Peace Prize) and was signed in Portsmouth, New Hampshire. In the Treaty, Russia agreed to cede southern [[Sakhalin Island]] and all of its direct interests in Manchuria (i.e. namely railways and leaseholds on the Liaodong Peninsula), and to formally recognize Japan's control of Korea. Japanese demands for the cession of all of Sakhalin, and for monetary reparations were rejected.

The war ended in Japanese victory, but also in extensive costs for the Japanese in lives, equipment, and supplies, as well as financially; the Russians managed to reject suggestions they pay any indemnity, leaving the Japanese government with considerable expenses. The [[Treaty of Portsmouth]] which ended the war was brokered by US President Theodore Roosevelt (for which he was awarded the Nobel Peace Prize) and was signed in Portsmouth, New Hampshire. In the Treaty, Russia agreed to cede southern [[Sakhalin Island]] and all of its direct interests in Manchuria (i.e. namely railways and leaseholds on the Liaodong Peninsula), and to formally recognize Japan's control of Korea. Japanese demands for the cession of all of Sakhalin, and for monetary reparations were rejected.

The people of Tokyo, upset at the peace conditions, rioted in protest. In what was likely the first major urban riot of the Meiji period, citizens set fire to the prime minister's residence, electric streetcars, and police boxes.<ref>[[Anne Walthall]], "Nishimiya Hide: Turning Palace Arts into Marketable Skills," in Walthall (ed.), ''The Human Tradition in Modern Japan," Scholarly Resources, Inc. (2002), 60.</ref>

The people of Tokyo, upset at the peace conditions, rioted in protest. In what was likely the first major urban riot of the Meiji period, citizens set fire to the prime minister's residence, electric streetcars, and police boxes.<ref>[[Anne Walthall]], "Nishimiya Hide: Turning Palace Arts into Marketable Skills," in Walthall (ed.), ''The Human Tradition in Modern Japan," Scholarly Resources, Inc. (2002), 59.</ref>

Japan soon afterwards headquartered an army group in Port Arthur which came to be called the Guandong (or Kwantung) Army, as well as the South Manchurian Railway Company, both of which would play key roles in initiating the outbreak of hostilities in the 1930s which then expanded into the full-on Fifteen-Years War (also known as the Second Sino-Japanese War, the Chinese/continental portion of the Pacific War).

Japan soon afterwards headquartered an army group in Port Arthur which came to be called the Guandong (or Kwantung) Army, as well as the South Manchurian Railway Company, both of which would play key roles in initiating the outbreak of hostilities in the 1930s which then expanded into the full-on Fifteen-Years War (also known as the Second Sino-Japanese War, the Chinese/continental portion of the Pacific War).