Zooming around in time and space yet again, we get the story of the day Pearl Harbor was attacked and all the fear, precautions, paranoia, and anti-Japanese American sentiment that cropped up after that point (and the impact all of the above had on Hatsue, her family, and their friends and acquaintances).
Art Chambers, Ishmael's dad and the publisher of the local paper, the San Piedro Review, made an effort to combat the anti-Japanese American feelings swarming about by emphasizing the loyalty of San Piedro's Japanese American residents in his stories.
Then we hear about how all the hubbub affected Hatsue and Ishmael's teen romance.
Later, Ishmael and his father, Art, had discussed Art's philosophy of journalism, which involved framing facts in a particular way.
That framing got him in the bad books of some of the island's resident racists, who wrote in and even called him anonymously to chew him out.