Cablegate: Tokyo Media Reaction - U.S.-China Relations

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UNCLAS TOKYO 000166

SIPDIS

STATE FOR I/RF, PA/PR/FPC/W, IIP/G/EA, EAP/PD, R/MR,
EAP/J, EAP/P, PM;
USTR FOR PUBLIC AFFAIRS OFFICE;
TREASURY FOR OASIA/IMI;
SECDEF FOR OASD/PA;
CP BUTLER OKINAWA FOR AREA FIELD OFFICE;
PACOM HONOLULU FOR PUBLIC DIPLOMACY ADVISOR

E.O. 12958: N/A
TAGS: OIIP KMDR KPAO JA
SUBJECT: TOKYO MEDIA REACTION - U.S.-CHINA RELATIONS

1. LEAD STORIES: Top stories on Wednesday morning
included Seven & i Holdings' decision to shut down four
of its department stores, including one in central
Tokyo.
2. "Sources of Friction Increasing between U.S. and
China" The business-oriented Nikkei wrote (1/27): "A
dark cloud is hanging over U.S.-China relations, which
were previously in good shape. As the U.S. is likely to
decide to sell arms to Taiwan, sources of bilateral
conflict have expanded to include trade and censorship
on the Internet, as well as issues in the security
arena. Behind this development lies a harder line
toward China being taken out of deference to the public
opinion by the Obama administration, which is suffering
from plunging popular support. China on its part is
reacting strongly to the sale of arms to Taiwan, but
this response appears to be partially intended to
minimize domestic opposition. The bottom line for both
governments is to avoid causing a serious rift."

3. "Beijing Ready to Halt Military Exchanges with
U.S.?" A Beijing correspondent for the top-circulation,
moderate Yomiuri stated (1/27): "The Hu administration
is set to take a certain level of retaliatory measures,
including the suspension of military exchanges with the
U.S. that were resumed last year, on the grounds that
Washington [by selling weapons to Taiwan] infringed on
the 'core interest' of China's national security.... In
addition to suspending military exchanges, China may
assume an uncooperative stance toward the U.S. at such
venues as UN Security Council discussions on Iran's
nuclear development."

4. "China on Counter-Offensive" The conservative Sankei
reported from Beijing (1/27): "The Chinese government
has reacted strongly to a speech by Secretary of State
Clinton on January 21, during which she strongly
criticized Chinese censorship on the Internet. Several
government agencies have rebutted her opinion, while
Chinese newspapers criticized the Secretary for
'meddling in the domestic affairs' of China. This
counteroffensive apparently reflects frustration on the
Chinese government's part with mounting support among
Chinese Internet users for the Secretary's call for
'Internet freedom.'"

ROOS

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