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Cablegate: Japanese Morning Press Highlights 01/22/10

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PP RUEHFK RUEHKSO RUEHNAG RUEHNH
DE RUEHKO #0139/01 0220145
ZNR UUUUU ZZH
P 220145Z JAN 10
FM AMEMBASSY TOKYO
TO RUEHC/SECSTATE WASHDC PRIORITY 8895
INFO RUEKJCS/SECDEF WASHDC PRIORITY
RHEHAAA/WHITE HOUSE WASHINGTON DC PRIORITY
RUEAWJA/USDOJ 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 0788
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RUEHOK/AMCONSUL OSAKA KOBE 2263
RUEHNAG/AMCONSUL NAGOYA 5529
RUEHKSO/AMCONSUL SAPPORO 8943
RUEHBJ/AMEMBASSY BEIJING 2753
RUEHUL/AMEMBASSY SEOUL 9425
RUCNDT/USMISSION USUN NEW YORK 8825

UNCLAS SECTION 01 OF 08 TOKYO 000139

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: JAPANESE MORNING PRESS HIGHLIGHTS 01/22/10

INDEX:

1) Top headlines
2) Editorials

Futenma issue:
3) New proposals on Futenma relocation site to be submitted to panel
second week of February, not January (Yomiuri)
4) SDP cancels inspection tour to Guam after being refused entry to
U.S. military base (Yomiuri)
5) Hatoyama orders Hirano to settle Futenma issue by end of May
(Nikkei)

Defense & Security:
6) Defense industry calls for relaxation of three arms-export rules
(Yomiuri)
7) SDF medical team to Haiti (Mainichi)
8) Okada sends letter to U.S. explaining Japan's position on nuclear
policy (Nikkei)

Foreign relations:
9) Japan and U.N. to cooperate in resolution of abduction issue
(Tokyo Shimbun)

Ozawa scandal:
10) Prosecutors eyeing criminal case against Ozawa (Sankei)
11) Ozawa to undergo questioning tomorrow (Tokyo Shimbun)

Politics:
12) Replies to questions in Diet session (Yomiuri)
13) Association of prefectural assembly chairmen calls for caution
regarding bill granting local suffrage to permanent (Yomiuri)
14) Chief Cabinet Secretary Hirano: Government mulls new panel on
economic development measures for Okinawa (Yomiuri)
15) Haraguchi denies intervening in reporting on Ozawa scandal
(Yomiuri)

Economy:
16) Chrysler model first U.S. car to be subsidized (Nikkei)

Opinion:
17) Yomiuri-Waseda poll: "High expectations for DPJ" substantially
down to 55 PERCENT (Yomiuri)

Articles:

1) TOP HEADLINES

Asahi:
Party heads debate: Prime Minister Hatoyama, LDP President Tanigaki
face off in lax manner

Mainichi:
Question time: Defensive DPJ, feeble LDP

Yomiuri:
JAL to cut 15,000 jobs in one year

Nikkei:
Japan's pension money to be invested in Asian infrastructure

Sankei:

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Prosecutors eyeing filing charges against Ozawa

Tokyo Shimbun:
Ozawa to be questioned tomorrow over land deal

Akahata:
Ozawa's source of funding for land purchase may be kickbacks from
general contractors

2) EDITORIALS

Asahi:
(1) Internal affairs minister's comment: Shallowness of governing
party is astonishing
(2) Diet: Set the stage for policy debate

Mainichi:
(1) Lower House Budget Committee: Make debate more interesting for
audience
(2) Cabinet ministers' criticism of media: Their comments were
careless

Yomiuri:
(1) Budget Committee: Intensify diet debates between party leaders
(2) President Obama's first year in office: Rocky path lies ahead
for policy of change

Nikkei:
(1) Responsibility of China, which is closing in on Japan in terms
of GDP
(2) Intensify party-head debates

Sankei:
(1) Declaring false political fund reports is serious crime
(2) Pressure on prosecutors not acceptable

Tokyo Shimbun:
(1) Politics and money: Prime Minister Hatoyama should take
initiative in shedding light on the allegations
(2) Chinese economy: Pay attention to both strong and weak sides

Akahata:
(1) Sports 2010: Give consideration to environment surrounding
Olympic athletes

3) New proposals on Futenma relocation site to be submitted to panel
in second week of February, not January

YOMIURI (Page 2) (Full)
January 22, 2010

The government and the ruling parties held a meeting of the "Okinawa
base issues examination committee," which is studying relocation
sites for the U.S. forces' Futenma Air Station, at the Prime
Minister's Official Residence (Kantei) on Jan. 21. The committee
decided that its members will submit their new proposals for
Futenma's relocation site in the second week of February, instead of
in January as originally planned.

An inspection tour to the U.S. territory of Guam, which the Social
Democratic Party and others are proposing as a possible relocation
site, will also be considered.

TOKYO 00000139 003 OF 008

Prime Minister Yukio Hatoyama disclosed on Jan. 21 that he ordered
Chief Cabinet Secretary Hirofumi Hirano to come up with a conclusion
on the relocation site after coordinating with the U.S. side by the
end of May. Hatoyama told reporters at the Kantei, "It is impossible
for the Japanese government to come up with a proposal without
coordinating with the U.S."

4) SDP cancels inspection tour to Guam after being refused entry to
U.S. military base

YOMIURI (Page 4) (Full)
January 22, 2010

At an executive meeting on Jan. 21, the Social Democratic Party
(SDP) decided to cancel its planned inspection tour to Guam, which
the party is proposing as a possible relocation site for the U.S.
forces' Futenma Air Station in Okinawa. The reason is that
permission to visit the U.S. military base was not granted.

The SDP had requested permission from the U.S. side through the
Prime Minister's Official Residence and the Ministry of Foreign
Affairs to visit the Andersen Air Force Base, the relocation site
for some 8,000 U.S. Marines from Okinawa, and other locations during
a three-day trip to Guam from Jan. 25. However, the U.S. side
responded that it would be difficult to accommodate the SDP
visitors. There is speculation in the party that: "They have refused
the visit even though we have not asked to see military secrets.
This is probably because the party advocates the relocation of the
Futenma base out of Okinawa or out of Japan (which conflicts with
the U.S. position)."

At a news conference on Jan. 21, Secretary General Yasumasa Shigeno
said: "This is regrettable. We will approach (the U.S. side) about
an inspection tour of the working team of the three ruling parties
(which is studying relocation sites for Futenma)."

5) Hatoyama directs Hirano to settle Futenma issue by the end of
May

NIKKEI (Page 2) (Full)
January 22, 2010

Prime Minister Hatoyama told reporters yesterday at his office that
once again he has directed Chief Cabinet Secretary Hirofumi Hirano
to work with the United States and decide by the end of May on where
to relocate the U.S. Marine Corps' Futenma Air Station. Earlier in
the day, the government and ruling parties held a meeting of their
panel to discuss Okinawa base issues. In the meeting, the tripartite
ruling coalition concurred on looking into the possibility of
visiting Guam shortly as a candidate for the relocation of Futenma
airfield.

Another possibility now being considered in the government is that
Prime Minister Hatoyama will visit the United States in early June
for a final agreement at a summit meeting with U.S. President
Obama.

6) Defense industry calls for relaxation of three arms export
principles

YOMIURI (Page 4) (Full)

TOKYO 00000139 004 OF 008


January 22, 2010

A meeting to exchange views between Defense Minister Toshimi
Kitazawa and defense industry executives was held yesterday in
Tokyo. The industry side called for easing of the three arms export
principles effectively prohibiting the exports of arms and related
technologies, saying that if Japan does not participate in
international joint development projects and technology tie-ups, the
country might not be able procure advanced equipment.

7) SDF medical team departs for Haiti

MAINICHI (Page 25) (Excerpt)
January 25, 2010

The Self-Defense Forces' emergency medical team (headed by Col.
Makoto Shirakawa) left Narita Airport yesterday for quake-stricken
Haiti on a chartered plane. Sachiko Ozawa, 35, a doctor who is a
representative of the Kofu-based NGO named Haiti Friendship
Association, will also leave for Haiti on Jan. 24 as a member of the
Japanese Red Cross Society's relief team. The SDF's medical team of
some 100 individuals, including 14 medical officers, will carry out
relief activities in Haiti.

8) Okada sent letters to U.S. explaining Japan's position on nuclear
policy

NIKKEI (Page 2) (Full)
January 22, 2010

It was learned yesterday that Foreign Minister Katsuya Okada sent
last December letters on nuclear policy to U.S. Secretary of State
Hillary Clinton and Secretary of Defense Robert Gates. Supporting
President Barack Obama's nuclear-free world vision, the letters
positively evaluate the U.S. deterrent via its nuclear umbrella. The
letters are apparently intended to clarify the Japanese government's
position of aiming for nuclear disarmament before the U.S.
government releases its new Nuclear Posture Review (NPR). The NPR
shows the U.S. government's policy for the next five to ten years.
The U.S. government will issue its new NPR as early as March. The
NPR is drawing attention as a factor that will have an impact on the
global trend toward nuclear disarmament and nonproliferation.

9) Okada, UN rapporteur reaffirm cooperation on abduction issue

TOKYO SHIMBUN (Page 2) (Full)
January 22, 2010

Foreign Minister Katsuya Okada met with Vitit Muntarbhorn, UN
special rapporteur for human rights in North Korea at the Foreign
Ministry yesterday afternoon. In the meeting, the UN investigator
agreed to continue to cooperate with Japan to resolve the issue of
North Korea's past abductions of Japanese nationals.

Okada told Muntarbhorn that North Korea has yet to respond to
Japan's call for set up a committee to reinvestigate the abduction
cases in line with an accord reached at a Japan-North Korea
working-level meeting in August 2008. Muntarbhorn emphasized: "It is
important that North Korea set a specific timeframe for resolving
the abduction issue and follow up on the accord."

Okada praised the activity of Muntarbhorn, who has been

TOKYO 00000139 005 OF 008


investigating North Korea's human rights issues since July 2004,
saying: "He has been urging North Korea to act quickly on the
abduction issue."

Muntarbhorn is visiting Japan to collect information for an annual
report on the North's human rights situation to be submitted to the
UN Human Rights Council and the UN general assembly. He visited a
site where Japanese were abducted and met abductees' family members.
North Korea has not responded to the investigation.

10) Prosecutors eyeing criminal case against Ozawa

SANKEI (Top play) (Lead paragraph)
January 22, 2010

Inquiries made by Sankei to sources close to the case revealed
yesterday that House of Representatives member Tomohiro Ishikawa,
36, former administrative chief of Democratic Party of Japan (DPJ)
Secretary General Ichiro Ozawa's political fund management
organization, Rikuzankai, who has been arrested on suspicion of
violating the Political Funds Control Law over the questionable land
purchase, has admitted that Rikuzankai's unnecessary loan after the
purchase of land was a deception to cover up the source of the
funding used to purchase the land. The special investigation squad
of the Tokyo District Prosecutors' Office apparently has been
investigating the case with an eye on filing charges against Ozawa
based on the belief that Ozawa was aware of his fund management
body's intention not to declare the source of the funding in his
political fund report because he was involved in the entire
process.

11) Prosecutors to question Ozawa tomorrow on land deal

TOKYO SHIMBUN (Top play) (Excerpts)
January 22, 2010

Inquires made by Tokyo Shimbun to parties connected with the land
deal case involving Democratic Party of Japan Secretary General
Ichiro Ozawa's political fund management body, Rikuzankai, revealed
that Tomohiro Ishikawa, 36, a DPJ House of Representatives member,
who has been arrested on suspicion of violating the Political Funds
Control Law, had applied for a bank loan of 400 million yen the day
before the purchase of land. Ishikawa confessed to the special
investigation squad of the Tokyo District Public Prosecutors' Office
that he had reported to Ozawa that he got the loan on security of
his fixed deposit. Prosecutors will question Ozawa voluntarily on
Jan. 23 and seek his explanation about the circumstances surrounding
the land deal.

12) Report of debate in Lower House Budget Committee meeting on Jan.
21

YOMIURI (Page 10) (Excerpts)
January 22, 2010

Futenma relocation issue

People's New Party lawmaker Mikio Shimoji: Can you promise the
people that you will definitely reach (a conclusion) by May?

Prime Minister Yukio Hatoyama: I will decide on the relocation site
for the Futenma airfield by May without fail.

TOKYO 00000139 006 OF 008

Shimoji: An increasing number of local government heads have begun
to show their willingness to share with Okinawa the burden of the
bases. It might be an idea to discuss this matter in meetings of the
National Governors' Association.

Hatoyama: I would like to utilize ruling parties' Okinawa Base
Issues Study Committee. I would like to meet with the relevant
municipal leaders on the committee to look for a conclusion. I hope
I will come up with a conclusion that is acceptable to the U.S.

Shimoji: The budgetary allocations for Okinawa have remarkably
decreased over the past decade, so promotion measures are
necessary.

Chief Cabinet Secretary Hirofumi Hirano: I would like to promote
discussions on the issue with experts and the concerned municipal
leaders in Okinawa.

Japan-U.S. relations

Liberal Democratic Party President Sadakazu Tanigaki: Democratic
Party of Japan's Diet Affairs Committee Chairman (Kenji) Yamaoka
described relations between Japan, the U.S. and China as an
"equilateral triangle."

Hatoyama: I do not think that each side of the triangle is the same
in length. The Japan-U.S. security arrangements and the Japan-U.S.
alliance are the cornerstone (of Japan's foreign and security
policies). With relations with the U.S. as the basis, I will deepen
cooperative relations with Asian countries. China is an important
country among them.

Haiti earthquake

Shimoji: It is necessary for the Japanese government to continuously
extend assistance to Haiti.

Foreign Minister Katsuya Okada: I hear some say that the government
should have extended (assistance) sooner. That is a matter for
examination in the days ahead. But giving consideration to the
safety of emergency rescue team members is also necessary. We
dispatched (the aid team) as swiftly as possible.

13) Association of prefectural assembly chairmen calls for caution
regarding bill granting local suffrage to foreign permanent
residents

YOMIURI (Page 2) (Full)
January 22, 2010

At a general meeting on Jan. 21, the national association of
prefectural assembly chairmen passed a special resolution in
connection with the government's plan to pass a law granting local
suffrage to permanent resident foreigners, saying: "This is an issue
bearing on the very foundation of democracy. The bill should not be
submitted or deliberated hastily." After the meeting, Masuo Kaneko
(of Kagoshima Prefecture), chairman of the association, held a news
conference where he criticized the government, stating: "I have a
feeling that this is based on partisan interests (eyeing electoral
gains). It is absolutely unacceptable."


TOKYO 00000139 007 OF 008


14) Chief Cabinet Secretary Hirano: Government mulls new panel on
economic development measures for Okinawa

YOMIURI (Page 4) (Full)
January 22, 2010

At a news conference on Jan. 21, Chief Cabinet Secretary Hirofumi
Hirano revealed that a new panel on economic measures for Okinawa
consisting of representatives of the government and the local
governments is under consideration.

There are already two existing panels on Okinawa regional
development measures, the "Okinawa policy council," consisting of
all cabinet ministers and the governor of Okinawa, and the "council
on Futenma relocation," consisting of the chief cabinet secretary,
other concerned ministers, and local government officials. However,
the former has not been convened since April 2005, and the latter,
since April 2009. Hirano said: "We need to sort out what role each
of the two councils plays and think of a framework that will enable
the implementation of more responsive (economic measures)."

15) Internal affairs minister denies intervening in press reports

YOMIURI (Page 2) (Full)
January 22, 2010

Concerning his own statement that it is improper to use the term
"related sources," when referring to information sources in TV
reports on the alleged violation of the Political Funds Control Law
involving Democratic Party of Japan (DPJ) Secretary General Ozawa's
political funds management organization, Internal Affairs Minister
Haraguchi on the evening of Jan. 21 said, "I never meant to say that
information sources should not be kept confidential or that each
news source must be made clear. I have no intention of intervening
in the specifics of broadcasting or making a complaint." He told
this to the press corps at the Internal Affairs Ministry. Haraguchi
explained that he made that statement with the press report
guidelines formulated by the National Association of Commercial
Broadcasters in Japan in mind. The guidelines stipulate that making
news sources clear is the basis for (press reports).

16) Chrysler becomes first U.S. automaker eligible for subsidies for
eco-friendly car buyers

NIKKEI (Page 11) (Full)
January 22, 2010

Chrysler Japan, headquartered in Minato Ward, Tokyo, on Jan. 21
announced that it will put on the market on Feb. 1 a vehicle
eligible for subsidies granted to buyers of new cars. Chrysler will
be the first U.S. automaker to take advantage of the subsidy. The
vehicle is the 2010 model of the Jeep Patriot sport utility vehicle.
The new model has improved fuel efficiency in comparison with the
1009 model. The government has recently eased the screening
standards for imported cars eligible for the subsidy system. The new
model was found eligible for the system because it meets the
existing criteria.

Chrysler has improved the fuel efficiency of the 2009 model (10
kilometers per liter) to 10.6 kilometers per liter by modifying its
electronic engine control system. If a buyer replaces a car which he
or she owned for more than 13 years, they can receive a subsidy of

TOKYO 00000139 008 OF 008


250,000 yen.

The new model has a 2,359-cc in-line four-cylinder DOHC 16-valve
engine. Three types with different accessories are available. The
manufacturer's suggested retail prices begin from 2,919,000 yen.

17) Yomiuri-Waseda poll: "High expectations for DPJ" drop
substantially to 55 PERCENT

YOMIURI (Page 2) (Abridged)
January 22, 2010

The Yomiuri Shimbun and Waseda University jointly conducted a
face-to-face public opinion survey across the nation on Jan. 16-17.
In the survey, 55 PERCENT answered that they had high expectations
for the ruling Democratic Party of Japan in the future. The figure
was down from the previous survey (72 PERCENT ) conducted last
September right after the election for the House of Representatives.
The proportion of those disappointed with the DPJ in the past rose
to 59 PERCENT (37 PERCENT in the previous survey). It has been
over four months since the DPJ came into office. The public's
expectations for the DPJ, however, have apparently shrunk and their
disappointment has grown. Meanwhile, respondents were also asked if
they would like the DPJ to win a single-party majority in this
summer's election for the House of Councillors. To this question,
only 35 PERCENT answered "yes," with 54 PERCENT saying "no."

In the survey, respondents were further asked if they approved of
the Hatoyama cabinet's job performance on the whole. In response to
this question, 53 PERCENT answered "yes," with 45 PERCENT saying
"no." In the area of policy measures, however, 58 PERCENT
disapproved of the DPJ's economic steering and foreign policy. When
asked about the DPJ's policy measures for social security, 46
PERCENT were affirmative, with 48 PERCENT negative. As seen from
these figures, negative answers outnumbered affirmative ones in both
policy areas. In addition to the "politics-and-money" problems of
Prime Minister Hatoyama and DPJ Secretary General Ozawa, the DPJ-led
government has been unable to show specific results in the area of
policies. This led to the public's harsh ratings for the DPJ. When
asked if the DPJ is competent enough to run the government, 54
PERCENT answered "yes," down from 67 PERCENT in the previous
survey. To the same question asked about the Liberal Democratic
Party now in the opposition bench, 54 PERCENT answered "yes," also
down from 57 PERCENT in the survey. The DPJ was thus at the same
level as the LDP.

ZUMWALT

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