With the start of the Russo-Japanese War in 1904, Pallada was trapped at Port Arthur, and subsequently sunk by Japanese artillery during the Siege of Port Arthur on 8 December 1904.
After the capture of Port Arthur by the Japanese, the wreck of Pallada was raised, repaired, and commissioned into the Imperial Japanese Navy as the second-class cruiserTsugaru on 22 August 1908. Her new name came from the Tsugaru Strait between Honshū and Hokkaidō.
After commissioning into the Japanese navy, Tsugaru was used almost exclusively for training duties, especially for mechanical systems training, and rarely left Japanese home waters.
On 1 April 1920, Tsugaru was re-classified as a minelayer with 300 mines. She was removed from the active list on 1 April 1922, and scuttled with explosive charges in the Pacific Ocean off Yokosuka, Japan, on 27 May 1924.
The cruiser Tsugaru should not be confused with the Pacific War era minelayer of the same name.
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