The top-seeded Nadal notched a 7-5, 6-1 victory over American Mardy Fish, this week's fourth seed. The Spanish Nadal won 85 percent of his second serve points and did not face a single break point.
He also broke Fish four times, and is bidding for his fourth title of 2011, but first since the French Open back in June. He lost in title matches at Wimbledon and the U.S. Open to current world No. 1 Novak Djokovic.
The second-seeded Murray dispatched third-seeded Spaniard David Ferrer, 6-2, 6-3 in 81 minutes on Saturday.
It was Murray's 20th win in his last 21 matches, a string that started after a surprising loss to Kevin Anderson in the second round at Montreal. He won the Cincinnati tournament before falling to Nadal in the semifinals of the U.S. Open, then captured last week's title in Bangkok.
Nadal is 13-4 against Murray all-time, including 4-0 this year. Murray hasn't defeated Nadal since a semifinal victory in Toronto last year.
The two haven't met in a final since Indian Wells in 2009, when Nadal won in straight sets.
The 2011 Tokyo champion will collect $295,000.