"Fanshaw Bay" continued whilst under concentrated fire for the next hour, conducting a variety of evasive maneuvers. At 8:35, with the task force weaving back and forth, "Fanshaw Bay" had a close call with the destroyer , narrowly avoiding a collision. Despite the addition of smoke screens, and the heroic defense of her escorts, by 8:55, the Japanese had already closed the distance to only . During the intervening period, the Japanese shells had sparked a series of fires, which the damage control parties struggled to contain, and the situation seemed to be deteriorating. She was also forced to dodge torpedo attacks launched by the Japanese destroyer screen. Fortunately for her crew, Admiral Kurita, discouraged by the dogged defense of Taffy 3 and his losses, harried by constant air attacks, and believing that he was facing an equal or perhaps a superior force, was convinced to withdraw. At 9:25, to the bewilderment of Rear Admiral Sprague, the Japanese fleet turned around and retired.