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Cablegate: Daily Summary of Japanese Press 09/14/09

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P 140654Z SEP 09
FM AMEMBASSY TOKYO
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INFO RUEKJCS/SECDEF WASHDC PRIORITY
RHEHAAA/THE WHITE HOUSE WASHINGTON DC PRIORITY
RUEAWJA/USDOJ WASHDC PRIORITY
RULSDMK/USDOT WASHDC PRIORITY
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RUEAIIA/CIA WASHDC PRIORITY
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RHHMUNA/HQ USPACOM HONOLULU HI
RHHMHBA/COMPACFLT PEARL HARBOR HI
RHMFIUU/HQ PACAF HICKAM AFB HI//CC/PA//
RHMFIUU/USFJ //J5/JO21//
RUYNAAC/COMNAVFORJAPAN YOKOSUKA JA
RUAYJAA/CTF 72
RUEHNH/AMCONSUL NAHA 8771
RUEHFK/AMCONSUL FUKUOKA 6434
RUEHOK/AMCONSUL OSAKA KOBE 0249
RUEHNAG/AMCONSUL NAGOYA 3798
RUEHKSO/AMCONSUL SAPPORO 6951
RUEHBJ/AMEMBASSY BEIJING 0949
RUEHUL/AMEMBASSY SEOUL 7608
RUCNDT/USMISSION USUN NEW YORK 7225

UNCLAS SECTION 01 OF 05 TOKYO 002133

SIPDIS

DEPT FOR E, P, EB, EAP/J, EAP/P, EAP/PD, PA;
WHITE HOUSE/NSC/NEC; JUSTICE FOR STU CHEMTOB IN ANTI-TRUST DIVISION;
TREASURY/OASIA/IMI/JAPAN; DEPT PASS USTR/PUBLIC AFFAIRS OFFICE;
SECDEF FOR JCS-J-5/JAPAN,
DASD/ISA/EAPR/JAPAN; DEPT PASS ELECTRONICALLY TO USDA
FAS/ITP FOR SCHROETER; PACOM HONOLULU FOR PUBLIC DIPLOMACY ADVISOR;
CINCPAC FLT/PA/ COMNAVFORJAPAN/PA.

E.O. 12958: N/A
TAGS: OIIP KMDR KPAO PGOV PINR ECON ELAB JA

SUBJECT: DAILY SUMMARY OF JAPANESE PRESS 09/14/09

INDEX:

(1) Change of government: "Foreign Minister Okada" begins diplomatic
effort; How will "stubborn fundamentalist and pro-Asian politician"
steer diplomacy? (Mainichi)

(2) Negative campaign produced opposite effect, according to survey
on Lower House election; 60 percent of respondents say they had bad
impressions of parties that criticized rival parties (Mainichi)

(3) H-2B successfully launched, putting end to dependence on other
countries and marking first step toward international contribution
in space development (Sankei)

(4) WTO talks: DPJ to adopt policy of protecting agriculture for
time being; Switch to liberalization after Upper House election?
(Sankei)

ARTICLES:

(1) Change of government: "Foreign Minister Okada" begins diplomatic
effort; How will "stubborn fundamentalist and pro-Asian politician"
steer diplomacy?

MAINICHI (Page 2) (Abridged slightly)
September 12, 2009

Democratic Party of Japan (DPJ) President Yukio Hatoyama told
reporters on the evening of Sept. 11 at party headquarters: "I have
it in my mind. But I'm not ready to reveal it to you," implying that
he is working out the lineup of cabinet members, whom he will
announce after his election as prime minister. He then returned to
his private residence. Hatoyama has been mum about his selection of
cabinet members.

DPJ Secretary General Katsuya Okada, tapped as the next foreign
minister, launched his diplomatic effort yesterday, with a meeting
for about 30 minutes with U.S. Ambassador to Japan John Roos,
arrived in his post just about three weeks ago, who called on Okada
at the DPJ's headquarters.

During the meeting, Okada told Roos: "There are outstanding
bilateral issues relating to the Japan-U.S. alliance and security
arrangements. But what is important is that a sustainable bilateral
alliance will continue and deepen over the next 30 to 50 years."

The Ambassador simply replied that he will work toward strengthening
the bilateral alliance.

What Okada had in mind is the Self-Defense Force's refueling
operations in the Indian Ocean and the realignment of U.S. Forces
Japan (USFJ). "I proposed discussing these two issues," Okada said.
He added that Roos did not say anything about the issues. Thus they
avoided a confrontation.

Okada is 56 year old, five years younger than U.S. Secretary of
State Hillary Clinton. He is known to be a "stubborn
fundamentalist," and some have contended that he lacks flexibility.
In meeting with U.S. Undersecretary of Defense Michele Flournoy in
June in Japan, Okada insisted that U.S. bases are concentrated in
Okinawa because the United States had occupied the island prefecture
after World War II, and that the Japan-U.S. Status of Forces

TOKYO 00002133 002 OF 005


Agreement (SOFA) is not equal. Flournoy reacted sharply to his
comment, sparking a heated debate.

Since he was a junior Diet member, Okada has had exchanges with top
government officials and influential lawmakers of China and South
Korea. He has his own channels of communication to Chinese Executive
Vice Premier Li Keqiang, regarded as a possible candidate to be the
next premier. On Sept. 9, Okada met with visiting Chinese Vice
Foreign Minister Wu Dawei. Although Okada studied in the United
States when he was a bureaucrat at the then International Trade and
Industry (MITI), he is widely viewed as a pro-Asian politician, and
Roos apparently met with Okada in a bid to assess his diplomatic
stance.

"There are discussions on whether Japan should attach more
importance to the United States or China. However, we value both
China and the United States," Okada told a symposium held in Tokyo
on Sept. 2 to commemorate the 60th anniversary of the founding of
the People's Republic of China. He took a stance of attaching
priority to Japan's relations with both the United States and China.
However, it is difficult to promote the DPJ's plan to create an East
Asian Community with Japan-China relations as its core, while
strengthening the Japan-U.S. alliance, the linchpin of Japanese
diplomacy.

It remains to be seen how the DPJ will steer Japan's diplomacy with
the United States. The DPJ refused to incorporate a call for the
withdrawal of the MSDF vessles from the Indian Ocean in its
agreement to form a coalition government with the Social Democratic
Party and the People's New Party because it could tie the new
administrations' hands diplomatically, according to close aides to
Okada.

A senior official of the Foreign Ministry's North American Affairs
Bureau said: "The amount of information, including diplomatic
secrets, which Okada will obtain as foreign minister will greatly
increase from the time he was an opposition lawmaker. I want him to
sufficiently analyze the information and not to jump to hasty
conclusions."

(2) Negative campaign produced opposite effect, according to survey
on Lower House election; 60 percent of respondents say they had bad
impressions of parties that criticized rival parties

MAINICHI (Page 3) (Full)
September 12, 2009

A survey conducted by the Kan media society research group of the
Japan Society of Information and Communication Research found on
Sept. 11 that roughly 60 percent of respondents who viewed
commercials of a political party criticizing its rival party during
campaigns for the Lower House election had unfavorable impressions
not of the party that was criticized but of the party that did the
criticizing.

The LDP ran animated commercials criticizing the Democratic Party of
Japan's (DPJ) policies on the Internet and distributed fliers or
leaflets carrying such criticism. Pointing this out, Gakushuin
University Professor Kaoru Endo said at a press conference on the
11th that it was the first full-fledged negative campaign in Japan.
The survey found that the campaign resulted in the opposite of the
intended effect. Endo said the results can be taken to mean that

TOKYO 00002133 003 OF 005


voters acted based on their sound judgment.

The poll conducted after the Lower House election - on Aug. 31 and
Sept. 1 - surveyed the impact of the Internet on voters' voting
behaviors, targeting 1,000 people including both men and women in
their 20s through 60s.

According to the survey results, 45.5 percent of respondents watched
negative campaigns, of whom 63.5 percent had unfavorable impressions
of the party that did the criticizing. Thirty-three percent of those
who voted for the LDP replied that they had unfavorable impressions
of the LDP's negative campaign.

The proportion of respondents who felt information provided on the
Internet was important reached 57.3 percent, topping 58 percent
citing newspapers, and 75.5 percent selecting television.

(3) H-2B successfully launched, putting end to dependence on other
countries and marking first step toward international contribution
in space development

SANKEI (Page 3) (Full)
September 12, 2009

A new large-scale rocket carrying Japan's first unmanned space
transportation vehicle was launched from the Tanegashima Space
Center (Kagoshima Prefecture) of the Japan Aerospace Exploration
Agency (JAXA) at 2:01 a.m. of Sept. 11. The HTV transportation
vehicle filled with supplies for the International Space Station
(ISS) was successfully put into its intended orbit. Japan is the
fourth country to transport goods to the ISS, following the U.S.,
Russia, and Europe. The successful launch means that Japan has taken
its first step toward making a full-fledged international
contribution to space development.

The HTV, launched by the H-2B rocket, contains about 4.5 tons of
goods, including food and other daily necessities for the crew
aboard the ISS, as well as equipment to be used for experiments in
Japan's Kibo laboratory module on the ISS. The vehicle is scheduled
to gradually approach the ISS and berth at the station at an
altitude of about 400 kilometers on Sept. 18.

After delivering the goods to the ISS and loading waste materials,
the HTV will be separated from the ISS and burn up when it re-enters
the atmosphere.

When setting up the Kibo module, Japan entrusted to the U.S. the
task of carrying the necessary equipment aboard its space shuttles.
In return for this contribution, Japan developed and produced the
HTV at a cost of 68 billion yen. JAXA plans to launch seven HTVs,
one each year, through 2015. The H-2B, developed jointly by JAXA and
Mitsubishi Heavy Industries, is a two-engine rocket that is more
powerful than the H-2A, its single-engine predecessor. The launch of
the H-2B represents a significant step forward for Japan in the
space development field.

With the successful launch, Japan will play a role in transporting
materials to the ISS. Stepping out of the stage of just
participating in experiments, Japan will take on the heavy
responsibility of transporting materials on behalf of many other
countries. With the establishment of its own transport means as a
beginning, Japan also plans to develop a manned space vehicle in the

TOKYO 00002133 004 OF 005


future.

The vehicles capable of transporting goods to the ISS are U.S. space
shuttles with the capability of carrying 16 tons of goods, a
European transport vehicle (7.5 tons of goods) and a Russian
transport vehicle (2 tons of goods).

The HTV is capable of transporting 6 tons of goods and large-sized
loads that can be transported only by space shuttles. It can also
carry replacement parts necessary to maintain the functions of the
ISS.

After the space shuttles are decommissioned next year, the HTV will
be the only means of transporting such important materials. The ISS
is scheduled to be completed next year, but supplying necessary
goods is indispensable for its continued operations. Given this,
Japan will make an outstanding international contribution from now
on. Visiting NASA Associate Administrator Bill Gerstenmaier
commented: "The HTV is very significant for the ISS project."

In transporting necessary equipment to the ISS, Japan has depended
on other countries in the past. In addition to developing the HTV
and the H-2B independently, Japan will also control their operations
on its own.

In the HTV, there is a room that can be entered by astronauts not
wearing spacesuits. JAXA has envisioned a plan to upgrade the HTV to
a manned space vehicle. The agency intends to accumulate a variety
of know-how through the planned lifting off of seven HTVs.

Meanwhile, Japan succeeded in developing the H-2B rocket in a short
period of time and at a low cost, demonstrating its credibility. It
can load two large satellites, so the cost for lifting off one
satellite can be reduced. Mitsubishi Heavy Industries expects that
the H-2B will contribute to bolstering its competitiveness in the
satellite-launch business.

(4) WTO talks: DPJ to adopt policy of protecting agriculture for
time being; Switch to liberalization after Upper House election?

SANKEI (Page 1) (Full)
September 14, 2009

A senior officials' meeting of the World Trade Organization's new
multilateral trade talks (Doha Round) will be held in Geneva,
starting on September 14. The Nihon Keizai Shimbun learned on the
11th that the Democratic Party of Japan (DPJ) secretly coordinated
with officials of the Ministry of Agriculture, Forestry and
Fisheries (MAFF) responsible for the talks and decided to firmly
maintain Japan's previous stance of exempting key domestic
agricultural items, such as rice, from substantial tariff cuts.
However, chances are that since trade liberalization is a basic
policy of the DPJ's, the party might increasingly shift to a
liberalization policy line in step with progress in talks at the WTO
after the Upper House election next summer.

The DPJ had incorporated the promotion of agricultural
liberalization in its policy manifesto. However, it has changed the
stance in response to opposition from agricultural groups.

With the exception of Japan, leading countries participating in
agricultural talks at the WTO agreed in principle at a ministerial

TOKYO 00002133 005 OF 005


meeting in July last year to set the proportion of key items
eligible for exceptionally low tariff cuts at 6 percent at the
highest. Japan wants to see that proportion set at 8 percent.
However, there is a strong possibility of Japan's being forced to
make concessions on the rate of tariff cuts and expansion of the
minimum import framework. Some party members said that should that
occur, the DPJ, which will take over WTO trade talks from the LDP,
will be left holding the bag.

The DPJ is concerned over the talks' impact on the Upper House
election. A lawmaker close to the DPJ leadership emphasized to a
Geneva-bound deputy vice MAFF minister that there is no reason to
rush during the talks.

Farmers, alarmed about the agricultural market being liberalized,
are shifting their attention from the Liberal Democratic Party (LDP)
to the DPJ. If the DPJ lowers barriers to reaching a settlement at
the talks, the party could invite farmers' mistrust. On the other
hand, if it adopts a policy of protecting domestic agriculture, it
would give ammunition to the LDP.

If imports of low-priced foreign agricultural products increase,
prices on the domestic market will drop and the fiscal burden of a
compensation system for individual farmers, the showcase policy,
will swell.

The position of the new administration in trade liberalization talks
is totally different from the LDP's. The LDP administration, which
has heavily relied on agricultural cooperatives for their
vote-drawing power and financial strength, has adopted a stance of
protecting agriculture at trade talks. However, the DPJ is staying
away from agricultural cooperatives, with one party official saying,
"Who wants to receive requests from an organization in the
opposition camp?" The DPJ will thus shift to a policy of promoting
liberalization at the trade talks with the aim of capturing emerging
markets for the sake of economic growth in the future. Although it
may inherit the LDP administration's policy line for the time being,
the undercurrent of Japan's trade policy will likely greatly change
due to the change of administration.

DPJ's agricultural policy

The DPJ has set production goals for key agricultural items, such as
rice, soy beans and wheat, abolishing the existing rice-reduction
program. It plans to employ a system of compensating the income of
farm households that cooperated for the policy to cover losses
incurred by them due to gaps between the cost of the cultivation of
rice and other crops, and their sales prices. This policy was
premised on cuts in tariffs on agricultural products through the
signing of a free trade agreement (FTA) with the U.S. However,
meeting strong opposition from agricultural organizations, the DPJ
has revised this policy and decided not to adopt any policies that
could undermine agricultural promotion.

Correction
The Sept. 11, 2009, issue indicated the editorial "Don't make the
Afghan war the 'Obama War'" appeared in the same day's Tokyo
Shimbun. The editorial appeared on Sept. 10.

ROOS

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