This article reports on a critical discourse analysis of Japanese English as a foreign language (EFL) students' written reflections on their experience of a simulated racial inequality exercise at a university in Japan. Initially, the reflections were compared thematically with previously published narratives by people who had experienced racism. The results showed that students engaged well with the simulation and reported many experiences similar to those reported in the published narratives. This result suggests that, according to traditional measures, the exercise was as effective with Japanese students as it has been with white Americans in promoting awareness of racial discrimination. The written statements were reanalyzed, however, from a critical pedagogical perspective drawing on the concept that language shapes, and is shaped by, social practice and inequalities in power. This analysis revealed that the students' written reflections contained a discourse of diversion from racism. The findings suggest that language teachers need to be more critical when using racial inequality simulation exercises because a focus on the obvious engagement and increased empathy commonly reported may miss the subtle forms of oppression contained within language or society. Pedagogical implications of the analysis are also presented. (Contains 1 footnote.)