Japan and South Korea's landmark accord to end the divisive "comfort women" dispute will lead to increased economic and military cooperation between the U.S. allies, complementing the Obama administration's efforts to counter China's rise and North Korea's nuclear saber-rattling.

The two countries on Monday announced a "final and irreversible" agreement over women and girls who were coerced to serve in Japanese military brothels before and during World War II. Under the deal, Prime Minister Shinzo Abe's government apologized, saying it is "painfully aware" of its responsibility for their suffering and will finance a fund for the about four dozen surviving Korean comfort women.

Tensions over the issue have risen since Abe came to power three years ago, complicating U.S. efforts to build a united front with its North Asian allies as the Obama administration looks to expand its military and strategic re-balance to the region.