In an alternative version of 1962, Imperial Japan has taken control of the West Coast of the United States of America after winning World War II. The area they control is named the Pacific States of America. In San Francisco, Robert Childan owns American Artistic Handcrafts, Inc. The store sells items of Americana to wealthy Japanese customers. Childan waits for the arrival of a "valuable shipment" (5) for a man named Nobusuke Tagomi. Childan resents Tagomi's demanding attitude; Tagomi is impatient for the order to arrive because it contains a gift for an important Swedish trade official named Baynes. The gift comes from outside the region, so it is technically contraband. The gift is an original recruiting poster from the American Civil War; when the order does not arrive, Childan agrees to go to Tagomi's office with a selection of alternative antiques.

Before Childan leaves, a young couple enters the store. Thankful that they do not seem like one of the "gum-chewing boorish draftees with their greedy peasant faces" (6), Childan talks to the couple, who invite him to their home to show them several special antiques they might buy to decorate their home.