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Cablegate: Daily Summary of Japanese Press 10/07/09

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ZNR UUUUU ZZH
P 082121Z OCT 09
FM AMEMBASSY TOKYO
TO RUEHC/SECSTATE WASHDC PRIORITY 6666
INFO RUEKJCS/SECDEF WASHDC PRIORITY
RHEHAAA/THE WHITE HOUSE WASHINGTON DC PRIORITY
RUEAWJA/USDOJ WASHDC PRIORITY
RULSDMK/USDOT WASHDC PRIORITY
RUCPDOC/USDOC WASHDC PRIORITY
RUEAIIA/CIA WASHDC PRIORITY
RUEKJCS/JOINT STAFF WASHDC//J5//
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 9146
RUEHFK/AMCONSUL FUKUOKA 6802
RUEHOK/AMCONSUL OSAKA KOBE 0619
RUEHNAG/AMCONSUL NAGOYA 4091
RUEHKSO/AMCONSUL SAPPORO 7315
RUEHBJ/AMEMBASSY BEIJING 1298
RUEHUL/AMEMBASSY SEOUL 7959
RUCNDT/USMISSION USUN NEW YORK 7512

UNCLAS SECTION 01 OF 06 TOKYO 002330

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 10/07/09

INDEX:

INDEX:

(1) Editorial: We welcome the parliamentary defense secretary's
prescription for continuation of refueling mission (Sankei)

(2) World will be disappointed if SDF's refueling mission in Indian
Ocean ends (Sankei)

(3) MOFA possessed record of 1968 meeting of vice foreign minister,
U.S. ambassador on secret nuclear agreement (Okinawa Times)

(4) Interview with U.S. Secretary of the Treasury Geithner: Economic
talks should focus on substance instead of formality: Shows strong
eagerness to reform G-7 (Asahi)

(5) Editorial: Enhance Tokyo's ability to send out messages on IT
(Nikkei)

ARTICLES:

(1) Editorial: We welcome the parliamentary defense secretary's
prescription for continuation of refueling mission

SANKEI (Page 2) (Full)
October 7, 2009

Parliamentary Secretary of Defense Akihisa Nagashima has expressed
the view that the Maritime Self-Defense Force's refueling mission in
the Indian Ocean must be extended by amending the law in a way
requiring prior Diet approval.

The government plans to terminate the refueling mission without
extending the Antiterrorism Special Measures Law, which is to expire
next January. The refueling mission, which has earned a high
international reputation, is part of the war on terror. Nagashima's
statement was a warning that ending the refueling mission would
undermine Japan's national interests. We think his statement, made
under heavy restrictions as a member of the government, is
appropriate. We support his statement.

Although Prime Minister Yukio Hatoyama has expressed his intention
to look into such options as civilian support to Afghanistan, no
specific plan for personnel contributions has taken shape. The
government must share the view that continuing the refueling mission
is the necessary and pragmatic option.

The Prime Minister and Foreign Minister Katsuya Okada, among others,
have externally indicated that the government would "not simply
extend" the refueling mission - an expression leaving the door open
to (the extension of the refueling mission) in comparison to "ending
(the mission)." But they have not indicated any specific response.
Nagashima's statement stepped in there.

The current law requires ex post facto approval by the Diet.
(Nagashima's) idea is to change this requirement into prior Diet
approval so that (a government decision to keep the refueling
mission going" will not constitute a "simple extension." The ruling
camp, including the Democratic Party of Japan, campaigned for this
summer's House of Representatives election premised on putting an
end to the refueling mission. As such, building consent on the

TOKYO 00002330 002 OF 006


policy shift in the ruling coalition will not be easy. However, we
want them to give top priority to the defense of Japan's national
interests.

Amending the law governing the Self-Defense Forces' overseas
activities must be an effective solution. The adoption of a prior
approval system can help increase the Diet's role in dispatching the
SDF overseas.

The Liberal Democratic Party (LDP) is reportedly considering
submitting to the upcoming extra Diet session a lawmaker-sponsored
bill to amend the special measures law for extending the refueling
mission. It is desirable for the DPJ and DPJ to cooperate. It is
regrettable that Defense Minister Toshimi Kitazawa immediately
brushed aside Nagashima's statement, saying, "Extension is not the
option."

Kitazawa is reluctant to dispatch SDF troops to Afghanistan in place
of the refueling mission. What is Japan going to do with the war
against terrorism then? We want to see him make a pragmatic decision
as defense minister.

In response to a visiting British cabinet minister's request to
continue the refueling mission, the Prime Minister said, "I would
like to look into what kind of cooperation will be appreciated by
the countries engaged in the war against terrorism." The answer is
already there. The government must turn around its policy.

(2) World will be disappointed if SDF's refueling mission in Indian
Ocean ends

SANKEI (Page 8) (Full)
October 6, 2009

Bruce Weinrod, former U.S. secretary of defense representative
Europe and defense advisor to the U.S. Mission NATO

It is extremely regrettable that the new Japanese government's first
new major security policy measure after its inauguration was a vow
to terminate the Self-Defense Forces' refueling mission in the
Indian Ocean. I think it is unfortunate (for the Hatoyama
administration) to start its policy toward the United States in such
a way. The termination of the SDF's refueling mission would put
Japan at a disadvantage symbolically and practically.

Not only the United States but all 28 North Atlantic Treaty
Organization members have participated in the war on terror in
Afghanistan, which Japan has supported. The United Nations, too, has
been deeply involved in military operations. Besides NATO members,
many countries, including Australia, New Zealand, Sweden, Finland
and Georgia, have participated in military operations. The United
Nations has dispatched a number of troops. A great number of NGOs
(nongovernmental organizations) from around the world have
participated. If a security threat in Afghanistan is left
unaddressed, it will become a threat not only to countries
surrounding Afghanistan but to the entire world.

Both the Democratic and Republican parties in the United States have
strongly supported operations in Afghanistan against the Islamic
fundamentalist group Taliban and the Al Qaeda international
terrorist network. However, the Afghan mission is fraught with fresh
challenges. The American public's support for the war has begun to

TOKYO 00002330 003 OF 006


waver. The more difficulties the U.S. Obama administration faces,
the more significant becomes Japan's assistance.

Until this summer, as secretary of defense representative Europe and
defense advisor to the U.S. Mission NATO I was involved in military
operations in Afghanistan and negotiated with European countries.
All the countries engaged in those operations would be disappointed
if Japan were to withdraw now.

Although the Obama administration would probably be dismayed at a
pullout of the SDF from the Indian Ocean, it would perhaps not
express its disappointment for the sake of the fundamental goal of
maintaining a strong Japan-U.S. alliance. The reason is that the
Obama administration does not want to make the overall relationship
with Japan worse at this juncture. On the surface, the U.S.
government might squarely accept Japan's decision to withdraw from
the Indian Ocean, releasing a statement that it expects Japan's
cooperation in other areas. It might handle the issue as a matter of
minor importance.

However, the Obama administration will probably be deeply
disappointed. Japan's withdrawal at this time might raise the basic
question of what constitutes an alliance partner.

(3) MOFA possessed record of 1968 meeting of vice foreign minister,
U.S. ambassador on secret nuclear agreement

OKINAWA TIMES (Page 3) (Full)
October 7, 2009

It was learned on October 6 that the Ministry of Foreign Affairs
(MOFA) possessed a document recording exchanges between then Vice
Foreign Minister Nobuhiko Ushiba and U.S. Ambassador to Japan Alexis
Johnson in 1968 in which the two officials confirmed the contents of
a secret agreement to allow U.S. military vessels carrying nuclear
arms to transit Japanese waters and call on Japanese ports.

This was revealed in a Kyodo News interview with a former senior
official who served as the director general of MOFA's Treaties
Bureau (now the International Legal Affairs Bureau).

His remarks reveal an example of unofficial talks between the
Japanese and U.S. governments over interpretation of the secret
nuclear deal made in 1960. The record of this meeting was kept as a
top-secret document by MOFA's North American Affairs Bureau and the
Treaties Bureau at least until the late 1990s.

MOFA's team investigating the secret nuclear deal, formed by order
of Foreign Minister Katsuya Okada, is currently examining 3,700
files. Whether or not this document can be located will be one focus
of attention.

According to the above ex-MOFA official, the exchanges took place
between Johnson and Ushiba and other Japanese officials during
discussions of the secret nuclear accord while making an inspection
tour of Iwo Jima on January 26, 1968, before the reversion of the
Ogasawara Islands to Japanese administration. Director General
Fumihiko Togo of the North American Affairs Bureau, who was present
at the meeting, drafted the document.

On the same day, Johnson reported on the meeting in a classified
cable to the U.S. government. The cable has been declassified.

TOKYO 00002330 004 OF 006

(4) Interview with U.S. Secretary of the Treasury Geithner: Economic
talks should focus on substance instead of formality: Shows strong
eagerness to reform G-7

ASAHI (Page 9) (Full)
October 6, 2009

Toshihiko Ogata, Istanbul

Referring to international economic discussions, U.S. Secretary of
the Treasury Geithner in an interview with the Asahi Shimbun and
various other dailies said, "We need to be careful so as not to
overly focus on writing a joint statement (only for formality's
sake)." He thus earnestly hinted at the need to reform the meeting
of finance ministers and central bank governors from the Group of
Seven nations (G-7). This statement by the treasury secretary of the
U.S., the leader of the G-7, could accelerate calls for its reform.

Geithner gave a joint press conference to media organizations of
eight countries, including Le Monde of France and Caijing Magazine,
a Chinese economic journal, as well as the Asahi Shimbun.

Geithner, in speaking of international conferences in general, said,
"We should be careful not to overly focus on formality instead of
substance." He made this remark in response to a view heard in the
U.S. that participants in the G-7 do not exchange unvarnished
opinions, but rather devote time to writing a joint statement each
time."

Concerning the correction of the "global imbalance" resulting from
the destabilization of the global economy by the U.S. current
account deficit in combination with surpluses of China and Japan,
Geithner called on Japan and Europe to take a proactive approach,
noting that it is not just an issue of the U.S. and China. Regarding
the correction of the global imbalance, he was optimistic, saying,
"Various countries are firmly determined to deal with the issue."

Asked about the future of the global economy, Geithner said, "The
economic recovery is still in the very early stage. Some potential
risks remain." He thus stressed the need to continue stimulus
measures by calling on various countries not to let their guard
down.

Following are the main parts of the interview with U.S. Secretary of
the Treasury Geithner:

-- What is your view on the need to reform the G-7? We heard that
you proposed at the G-7 on the 3rd that the G-7 be made informal.

"Nobody has decided about the future form of the G-7. What I said at
the meeting is that it is necessary to be rather careful so that
international conferences, such as the G-7, will not focus on
formality or the writing of a joint statement instead of substance.
Focus should be on the details of decisions on economic policies or
on how to realize better options.

When participants put confidence in each other and speak frankly,
then they can smoothly cooperate. A conference must give
participants the confidence the gathering is functioning.

-- The G-20 has vowed to correct the global imbalance. Participants

TOKYO 00002330 005 OF 006


reached an agreement, in principle. However, isn't it difficult for
them to put the agreement into practice? The issue was a
long-standing challenge to Japan and the U.S. Nevertheless, they
have failed to settle it.

"The U.S. will increase savings (instead of consumption) in the
future.

"Whether (the G-20) is functioning (for the correction of the global
imbalance) can only be gauged by whether or not various countries
put the agreement into practice. There is no means of forcing on
countries things that are not in their interest. However, I learned
from the ongoing economic meltdown that stimulus measures, which are
usually carried out separately by each country, are effective when
implemented in cooperation.

"Indeed, many attempts were made in the past. What is different this
time is that we have the G-20. Participating countries are doing
remarkable things together. The crisis was so serious that many
countries have strong determination to prevent a recurrence and to
strive to turn around the global economy. I want to utilize this
strong determination.

"The U.S. will boost savings (instead of consumption). Nations,
unless they come to terms with low growth, will have no choice but
to undergo broad-based changes to achieve growth. China is giving
serious thought to whether it can emerge from excessive reliance on
exports or investment and bring about change. Imbalance is not just
an issue between the U.S. and China. If China starts to address the
issue, other emerging countries will also take action. In addition,
Japan and the euro zone account for 40 percent of the world's GDP.
This is the reality shared by all countries."

-- What is your view on the possibility of the economy sinking into
a double-dip recession?

"The current economic recovery is still at the initial stage. There
are still considerable potential risks ahead. The greatest mistake
repeated in past economic crises is that people quickly feel a sense
of relief. It is essential to press ahead with broad-based reform
until the recovery becomes full-fledged."

(5) Editorial: Enhance Tokyo's ability to send out messages on IT

NIKKEI (Page 2) (Full)
October 7, 2009

The CEATEC (Cutting-edge IT & Electronics Comprehensive Exhibition),
an international IT fair, has opened at the Makuhari Messe in Chiba
City. New technologies in the environmental and other fields are on
display, but both the number of participating companies and the
floor area for exhibits have declined 70 percent from last year. The
number of visitors to events at Makuhari Messe, which is marking its
20th anniversary on October 9, has diminished significantly,
compared to events in Europe, China, and other locations. It is
necessary for Japan to improve its ability to send out information
in order to enhance its international competitiveness.

The number of exhibitors participating in CEATEC this year is 590,
14 less than last year. It is noteworthy that there has been a 40
percent decline in the number of Japanese companies. Major companies
like NEC, JVC, and Pioneer have decided not to present their own

TOKYO 00002330 006 OF 006


exhibits. One feels that the passageways between exhibits are too
wide.

The American CES and the German IFA are the two other major
international IT tradeshows. Although the number of visitors to the
CES in January, which came right after the "Lehman Shock," dropped
by 20 percent, the number of exhibitors was about the same as the
previous year. On the other hand, while the number of exhibitors at
IFA remains flat, there has been an increase in the number of
visitors. Japan seems to be the only one sinking in relative terms.

The Tokyo Motor Show will also be held at the Makuhari Messe in late
October. The number of exhibitors is expected to decline to less
than half of the number from last year, and the floor area and
duration of the exhibition will be cut significantly. Yet, IT is
Japan's forte, and it is odd that Japan alone is experiencing a 30
percent decline.

The organizers say that, "The decrease is due to the economic
downturn; there will be a rebound next year." Indeed, there are
obvious reasons like the new influenza and corporate cutbacks on
business trips. Yet, there is no denying that Japan is beginning to
fall behind internationally amid the expansion of the newly emerging
markets in Asia. If that is the case, Japan needs to improve its
ability to send out information.

First, business operators must have an international perspective and
should rectify their inward-looking tendency. South Korea, which is
aiming at dominating the world in the field of IT, has increased its
number of exhibitors considerably.

Second, environmental improvements to attract visitors more
effectively than China, the ROK, and other countries should be
implemented. Although the international exhibition center in
Shanghai is about 30 kilometers from the Pudong International
Airport, it can be reached from the airport in 7 minutes by a linear
motor car that travels at a maximum speed of 430 kilometers per
hour. Japan should also expand the Haneda Airport and its exhibition
facilities in the Tokyo Waterfront City area. There are still very
few English street signs even in the Makuhari and Tokyo Waterfront
City areas. Although Tokyo was unsuccessful in its bid to host the
Olympic Games, it needs to continue to make efforts to publicize
Tokyo's strengths and attractions internationally.

ZUMWALT

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