This paper addresses the question of what do Japanese foreign policymakers exactly mean when they repeatedly state that development cooperation has been, and still is, a foundation of postwar Japanese foreign policy, through a case study of Japan's official development assistance (ODA) towards China. More particularly, it investigates the complex policy objectives of Japanese ODA and the broader interests behind it, in order to clarify roles and significance of development assistance within Japan's overall foreign policy. My research demonstrates that despite its inherently economic nature, Japan's ODA provision to recipient countries has in application been more politico-strategic than commercial. Thus, it supports the point that development cooperation has undoubtedly been a foundation of postwar Japanese foreign policy.