JAPANESE MORNING PRESS HIGHLIGHTS 03/30/06

UNCLAS SECTION 01 OF 10 TOKYO 001662

SIPDIS

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SUBJECT: JAPANESE MORNING PRESS HIGHLIGHTS 03/30/06

Index:

1) Top headlines
2) Editorials
3) Prime Minister's daily schedule

4) Ambassador to UN Bolton warns Japan on Iran nuclear issue
not to give priority to oil business

5) Japan gives up on UNSC reform proposal as latest effort to
elicit US cooperation on bid to permanent seat fizzles

China connection:
6) Foreign Ministry poll: 78% of Japanese say relations with
China should be improved
7) Former prime minister Hashimoto to lead delegation of seven
friendship groups to China today, meet President Hu tomorrow

8) Prime Minister Koizumi to travel to African countries during
Golden Week holidays

9) New crop of high school textbooks clearly refer to
territorial claims: "Japan's Takeshita Isles occupied by Republic
of Korea"

Defense and security issues:
10) Foreign Minister Aso limits Japan's share of Guam relocation
cost to less than 50%
11) Limiting Japan's share of Guam relocation cost to less than
50% is an Aso ploy to elicit compromise from US
12) Key to resolving impasse in local coordination of Futenma
relocation plan may lie in treatment of "shallow waters" and
"restricted waters" near Camp Schwab

Beef talks:
13) US, Japan agree that incident of bones found in beef
shipment was an "unique example," and will start procedures
aiming at restart of beef trade
14) Japan has softened stand on beef issue, accepting US
explanation during experts talks
15) With US, Japanese beef experts reaching common view, process
of restarting beef imports moves half step forward

16) Points at issue used in drafting constitutional referendum
are revealed by Lower House panel

Articles:

1) TOP HEADLINES

Asahi, Yomiuri, and Tokyo Shimbun:
Education Ministry unveils 2005 high school textbook screening
results; Developmental descriptions prevalent; Government's view
reflected in civics; "Ions," "DNA" to make comebacks; Difficulty
polarizing

Mainichi:
Kawasaki 9-year-old boy's accidental fall to death may develop
into murder case; Video footage shows suspicious man

Nihon Keizai:
GM intends to sell Isuzu stake either to Mitsubishi or Itochu to

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put end to invest-in-Japan strategy

Sankei:
Pingtien weekly magazine's rejection of Sun Yat-Sen University
professor's rebuttal reflects Chinese leadership's intention to
contain academic rows

2) EDITORIALS

Asahi:
(1) Let schools decide curriculum on English education
(2) Kadima's victory in Israeli poll must be welcomed

Mainichi:
(1) Middle East peace: Popular will for changes must be
respected
(2) Cultural diversity offers opportunities

Yomiuri:
(1) FRB boosts key interest rate: Bernanke's decision gives
peace of mind to the market
(2) Israeli poll: Will Kadima be able to launch stable
administration?

Nihon Keizai:
(1) New FRB chairman keeps firm grip on inflation
(2) Israeli election exposes change and barrier to Middle East

Sankei:
(1) Rokkashomura active reprocessing test run: Extra caution
required for finishing up the test
(2) Voluntary bid rigging declaration system deserves attention

Tokyo Shimbun:
(1) New Israeli government: Compromise necessary for pushing
Middle East peace process forward
(2) Professional baseball system needs reform in spring season

3) Prime Minister's Official Residence (Kantei)

Prime Minister's schedule, March 29

NIHON KEIZAI (Page 2) (Full)
March 30, 2006

09:58
Met at Kantei with Chairman Ito of the expert panel on relocation
of national servants' dormitory and use of vacant site, joined by
Administrative Vice Finance Minister Hosokawa and Financial
Bureau chief Makino.

11:08
Met with GLOBE Japan head Yatsu, and primary school students in
Tokyo and Okayama Prefecture, who study environment problem. Met
later with Matsuoka, chairman of the LDP Commission on Trade in
Agriculture, Forestry and Fishing Products.

14:00
Met National Association of Commercial Broadcasters Chairman-
designate Hirose, followed by chirographer Yamakawa and his wife,
as well as New Komeito Upper House Chairman Kusakawa.


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15:01
Met with LDP Secretary General Takebe and New Komeito Secretary
General Fuyushiba. Met afterwards with Japan Federation of Bar
Association incoming and outgoing chairmen Hirayama and Kajitani.

16:31
Met with Osaka Gov. Ota and Fukuoka Mayor Yamasaki, promoters of
the forum on promotion of direct foreign investments in Japan.

17:06
Met Hamburg Sakura Queen Bachmann and Japanese Sakura Queen Miki.
Attended later meeting of Council on Economic and Fiscal Policy.

19:18
Had haircut at barber in Capital Tokyo Hotel.

20:18
Returned to his official residence.

4) In interview, US Ambassador to UN Bolton warns Japan on Iran
nuclear issue, seeks to constrain from placing priority on oil
business

NIHON KEIZAI (Page 3) (Excerpts)
March 30, 2006

By Hiroyuki Nakamae in New York

In an interview with the Nihon Keizai Shimbun on March 28, US
Ambassador to the United Nations Bolton commented on the issue of
Iran's nuclear issue: "I ask Japan not to be pressed into a
dilemma on the nuclear proliferation issue by Iran, which is
using oil resources as its shield." He sought to constrain Japan
from being weak-kneed on the nuclear issue because of its oil
industry's strong ties with Iran. He also took a negative stand
on reform of the UN Security Council, which Japan is using in its
bid for a permanent seat on the Council, saying, "There is no
enthusiasm for debating this in the UN General Assembly."

The UNSC is now discussing the issue of Iran's nuclear program,
having been entrusted with it by the IAEA. The US is taking a
hard-line stance that includes the possibility of sanctions
against Iran. In the interview, the Ambassador gave Japan high
marks, saying, "Japan has a praiseworthy history on nuclear non-
proliferation issues." He urged Japan to go along with the US'
stance.

In addition, he stressed, "Iran aims at expanding its influence
as a major (oil) supplier." He indicated that he considered Iran
to be aiming to use oil as a weapon to obtain developments that
would advantage its position. Japan has a high dependency on oil
imports and has obtained the rights to develop the Azadegan oil
field in Southwest Iran. The Ambassador warned Japan not be
influenced by Iran's tactics.

5) Japan's cooperation with US over permanent UNSC seat
unsuccessful; Government puts off submission of UNSC reform
resolution

TOKYO SHIMBUN (Page 2) (Slightly abridged)
March 30, 2006


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The government has given up on its plan to present a UNSC reform
resolution designed to expand the number of members from the
current 15 to 21. It made this decision because the US, Japan's
only hope, was cold to the idea and the proposal failed to obtain
wide support from UN member nations. Japan now finds itself in a
tight corner with a second failure to obtain a permanent seat on
the UNSC, following last year's failed attempt.

The government, along with Germany, Brazil, and India (G-3),
submitted a resolution last July to increase the number of UNSC
members to 25. The proposal was, however, killed after meeting
opposition from the US.

Reflecting on this outcome, Japan switched its policy to
promoting closer ties with the US. Giving consideration to that
nation, which is cool to the idea of expanding the UNSC, Japan
independently drafted a plan consisting of the following
proposals: (1) the number of UNSC member nations should be
increased to 21; (2) A permanent seat can be awarded to a
candidate that secured support from more than two-thirds (128
nations) of the UN member nations in balloting; (3) candidates
that failed to secure support from more than two thirds should be
given a semi-permanent membership with a renewable four-year
term, which is longer than the non-permanent membership (two-year
term, not renewable). Japan began explaining its proposal to
other member nations in late January.

However, US Ambassador to UN Bolton expressed a negative view. In
addition, the G-3 and the African Union (AU) had already
submitted their own UNSC expansion resolutions. As a result,
Japan's new initiative failed to obtain wide support.

6) Foreign Ministry poll: 78% say Japan-China relations "should
be repaired"

YOMIURI (Page 2) (Full)
March 30, 2006

The Ministry of Foreign Affairs (MOFA) yesterday released the
findings of a survey of perception about Japan-China relations.
The poll showed 77.9% of the respondents said Japan-China
relations should be repaired, highlighting the concern shared by
a large number of the public about the currently strained
relations with China due to such factors as Prime Minister
Koizumi's repeated visits to Yasukuni Shrine.

The survey was conducted on a total of 2,000 men and women over
20 years of age nationwide on Feb. 10-13. The response rate was
65.7%.

In response to the question of what do you think about the
current Japan-China relations, only 6.9% of the respondents said,
"Japan has favorable relations with China," while 66.7% of the
respondents said, "I don't think Japan has favorable relations
with China." When asked whether Japan should improve relations
with China," 12.0% of the respondents said, "Japan should keep
the status quo."

When the respondents were asked to pick more than one issue lying
between Japan and China, the largest percentage of the
respondents cited "the issue involving past events, including
historical perception" with 58.9%, followed by "the lack of

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mutual understanding between the two nations" with 32.1%,
"disagreement on policy in international politics" with 30.2%,
and "the issue relating to marine interests" with 28.7%.

7) Leaders of 7 Japanese friendship organizations will arrive in
China today, meet with President Hu tomorrow

ASAHI (Page 2) (Full)
March 30, 2006

The Japanese delegation led by former Prime Minister Ryutaro
Hashimoto of leaders of seven Japan-China friendship
organizations will travel to China starting today and meet with
President Hu Jintao in Beijing tomorrow. They will visit China in
response to the China-Japan Friendship Association's invitation
to them to visit China. Attention is now focused on what message
the top Chinese leader will signal to Japan regarding the
currently chilly relations between the two nations due to Prime
Minister Koizumi's continued visits to Yasukuni Shrine.

The delegation consists of leaders -- including Hashimoto who
chairs the Association for the Promotion of International Trade,
Japan -- of seven Japanese organizations, for instance, the Japan-
China Friendship Parliamentary League chaired by former Foreign
Minister Masahiko Komura and the Japan-China Friendship
Association chaired by Professor Emeritus Ikuo Hirayama of the
Tokyo National University of Fine Arts and Music. For the seven
organizations, this is their first joint visit to China.

The planned dialogue between President Hu and Japanese
politicians will follow the last one in last May held in China
between Hu and the secretaries general of the Liberal Democratic
Party and the New Komeito. In the upcoming dialogue, Hu is
expected to deliver an important speech concerning relations with
Japan.

8) Prime Minister Koizumi to visit Ethiopia, Ghana during Golden
Week holidays

YOMIURI (Page 4) (Full)
March 30, 2006

Prime Minister Junichiro Koizumi will visit Ethiopia, Ghana, and
Sweden from April 29 to May 5, Chief Cabinet Secretary Shinzo Abe
revealed yesterday at a press conference. Koizumi will be the
first Japanese prime minister to visit Sweden. He is expected to
exchange views with his counterparts on Japan's economic
assistant for their countries, among other issues. He told
reporters last night at the Prime Minister's Official Residence:
"I'm not looking for short-term success. My aim is to improve
friendly relations with other countries."

9) High school textbook screening: Education Ministry seeks
accurate descriptions such as South Korea occupies Japan's
Takeshima islands

SANKEI (Page 1) (Excerpts)
March 30, 3006

The Ministry of Education, Culture, Sports, Science and
Technology revealed yesterday the results of the screening of
high school textbooks to be used from next spring. The ministry

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called for more accurate accounts in describing such issues as
territorial disputes, North Korea's abductions of Japanese
nationals, as well as such words as "gender." Publishers have
corrected the parts. However, there still remain many
inappropriate descriptions centered on modern history, such
repeating the general understanding that there were more than
200,000 victims in the Nanjing Massacre.

The number of descriptions on the Takeshima Islands (Okinoshima
Town in Tottori Prefecture) and the Senkaku Islands (Ishigaki
City in Okinawa Prefecture) increased from that of the previous
screening (in 2001). Almost all textbooks, excluding geography
and history, as well as world history, mention those islands. Of
the 40 descriptions, the ministry called on publishers to clearly
stipulate in 26 descriptions that those islands are Japanese
territory.

On the Senkaku Islands, the ministry explained: "Unlike the
Northern Islands and Takeshima Island, since Japan effectively
controls the Senkaku Islands, no territorial dispute exists." The
ministry continued: "Since the Northern Territories and the
Takeshima Island, which are Japanese territories, have been
seized by Russia and South Korea, respectively, there remain
territorial disputes with those countries. Although the Senkaku
Islands belong to Japan, China and other countries have claimed
sovereignty over them."

10) Aso suggests capping Japan's share in Guam relocation cost at
50% in bid to elicit compromise from US; Reaching agreement in
mid-April aimed for

ASAHI (Page 4) (Full)
March 30, 2006

Touching on the question of cost sharing for the planned
relocation of US Marines from Okinawa to Guam, Foreign Minister
Taro Aso stated before the Lower House Special Committee on the
Northern Part of Okinawa yesterday, "We would like to decided on
it by mid-April." Aso's statement reflected the government's
intention to reach an accord with the US in mid-April after
arriving at a general agreement at the Japan-US senior working-
level talks to be held April 4-6. Aso also said regarding Japan's
share, "I would like to see it cut down to below 50%. There is
only so much we can bear."

Five cabinet ministers, including Aso and Defense Agency Director
General Fukushiro Nukaga, held talks March 28 and confirmed that
Japan would only be able to shoulder up to 50% of the total cost
estimated at 10 billion dollars. In other words, they approved
setting a ceiling on Japan's share at 50%, which also coincides
with the prevalent view in the government and the ruling
coalition that Japan should settle on paying half of the total
cost. Japan seemingly intends to elicit compromise from the US by
offering more than it did before but still within a range that is
convincing to the public.

But Aso also told the Lower House committee: "We may be able to
obtain an understanding on funding housing and the like, but
military facilities are out of the question. Rather than focusing
on the amount, we mustn't lose sight of the logic." In order for
the government to provide direct outlays of 5 billion dollars,
instead of loans, to cover facilities beyond housing, a new logic

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would be necessary.

The US response remains unclear. To accomplish the Guam
relocation in a short period of time, there is only so much the
US can bear, according to a source in the Foreign Ministry. US
Deputy Under Secretary of Defense Richard Lawless also said: "The
relocation is happening at Japan's request, so it is only natural
to ask Japan to foot 75% of the bill."

If Japan exhibits a conciliatory stance, the US may press Japan
harder for more compromises. For this reason, Japan is expected
to decide on whether to broach the 50% ceiling in the next round
of talks while carefully watching Washington's move. In a press
conference yesterday, Chief Cabinet Secretary Shinzo Abe said
this about capping Japan's share, "The government has not set any
target."

11) Foreign Minister Aso says Japan should hold down its share of
the cost of relocation of US Marines to Guam to "below 50% "

YOMIURI (Page 2) (Full)
March 30, 2006

At a meeting yesterday of the Upper House Special Committee on
Okinawa and the Northern Territories, Foreign Minister Aso
referred to Japan's share of the cost of the planned relocation
of US Marines in Okinawa to Guam as part of the realignment of US
forces in Japan and noted: "I'd like to somehow hold down our
share to below 50%. I've no intention to concede to a 50% share,
but I can't tell now where the point of compromise is." His
remarks are construed as indicating Japan cannot accept the US
call on Japan to pay 75% of the 10-billion-dollar relocation cost
estimated by the US government.

12) Futenma relocation: Seaweed bed, restricted waters hold key
to local coordination

YOMIURI (Page 4) (Abridged)
March 30, 2006

The government and Okinawa Prefecture's Nago City have been
coordinating over the issue of relocating the US Marine Corps'
Futenma Air Station from the island prefecture's city of Ginowan
to a coastal area of Camp Schwab in Nago. In the meantime,
seaweed beds and restricted waters in the offshore area of Camp
Schwab are now being floated as factors holding the key to
coordination over changes to the relocation plan. For one thing,
the plan-depending on how to modify it-could even more seriously
affect the underwater seaweed bed on which dugongs depend. For
another, it would be difficult to restrict access to the waters.
The government anticipates that this could help local protestors
conduct even stronger campaigns against the airfield's
relocation.

Nago City has asked the government to install the planned
alternative facility for Futenma, including its runway, at an
offshore location more than 450 meters south of its planned
construction site in order to move the flight course of US
military aircraft to the sea off the areas of local communities.
The government rejected the proposal, maintaining that its
planned reclamation from the sea is up to 10 hectares but coastal
reclamation will result in filling up a wider area of the

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underwater forest. Instead, the government proposed turning the
runway's direction 10 degrees.

The government wants any changes to be minor, as this would
affect the restricted waters within the offing of Camp Schwab.

At the time of Okinawa's return to Japan in 1972, the Japanese
and US governments agreed to set up five restricted zones off the
coast of Camp Schwab. The government's planned relocation site is
mostly within two off-limits zones called Area 1 within 50 meters
from the shore and Area 2 within 500 meters from the shore. The
construction site, if moved to an offshore area, would stretch
over Area 3, where vessel access is allowed except for mooring,
diving, and other continuous activities. In this case, the
government deems it difficult to prevent local protesters from
approaching. The government once planned to build a sea-based
heliport in waters off the coast of Henoko in Nago. However, the
government had to give up that offshore construction plan after
encountering local protests at sea. This has become a bitter
experience for the government and ruling parties.

13) In experts' talks on beef row, Japan shows understanding of
US assertion "ineligible shipment was unique case;" Japan, US to
start procedures for import resumption

ASAHI (Page 1) (Excerpt)
March 30, 2006

Japan and the United States yesterday ended their two-day expert-
level talks on the incident in which vertebral columns - a
specified risk material (SRM) - were included in a shipment of US
beef processed at two meatpacking plants in the US. Japan
indicated a certain level of understanding toward the US
assertion that the ineligible shipment was caused in improper
meat processing at the two plants and not by any problem of the
US inspection system itself. Now that both sides reached a common
understanding to some extent as to why the inappropriate beef
export occurred, the two governments will soon start specific
procedures with an eye on Japan's resumption of US beef imports.

14) Beef row: Japan makes concession out of consideration to US,
following US admission of fault

ASAHI (Page 11) (Full)
March 30, 2006

(Commentary)

In the Japan-US expert-level talks that ended yesterday on the
issue of vertebral columns discovered in a US veal shipment to
Japan, Japan made a significant compromise, indicating
understanding of the assertions made by the US although it had
raised questions about the US inspection system itself. With
Japan's about-face, both sides reached some consensus. This
development reflects Japan's consideration to the US government
and Congress, which have applied pressure on Japan out of
irritation at its prolonged ban on US beef imports.

Japan is worried about the possibility that more violations in
shipments involving meat-processing facilities other than the
plants in question could occur. It intended to express such
concerns to the US side in the talks. A senior official of the

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Agriculture, Forestry, and Fisheries Ministry had said: "There is
a wide perception gap between Japan and the US."

According to Charles Lambert, acting US agriculture under
secretary for marketing and regulatory programs, however, said,

SIPDIS
"Japan and the US reached a common understanding" on the second
day of the talks. On Japan's switch in posture, a senior
government official said: "Japan gave consideration to the US,
which has urged Japan to swiftly resume imports using such
radical expressions as 'trade war'."

In addition, the US, which had never admitted its errors,
admitted its fault, saying: "It is fully conceivable that (the
ineligible shipment) could have been avoided if we had improved
our manuals on exports to Japan." Japan was groping for a way to
come to a compromise. Japan therefore welcomed the US side's
reference to its faults, with one official remarking: "We were
able to avoid making a unilateral concession."

Last December, Japan decided to resume imports upon receiving a
report on the results of deliberations by the Cabinet Office's
Food Safety Commission. This time, though, it will be possible
for the government to reopen its market only with a decision by
the Agriculture, Forestry, and Fisheries Ministry and the Health,
Labor, and Welfare Ministry. The two ministries have entered the
stage of finding the best timing for resuming US beef imports.

15) Inching closer to resumption of US beef imports; Japan-US
beef expert talks share common perception to certain extent

NIHON KEIZAI (Page 5) (Slightly abridged)
March 30, 2006

The Japan-US beef experts wound up two days of discussion
yesterday afternoon on a possible resumption of US beef imports
by Japan. The Japanese side had high praise for the meeting,
deeming that the two countries shared a common perception to a
certain extent on the cause of the inclusion of vertebral columns
in a US beef shipment, a breach of the import conditions. The
governments of the two countries affirmed their intention to
speed up efforts to map out measures to prevent a recurrence,
including a method of inspecting US meat packers, and to move
toward a reinstatement of beef trade.

Meeting the press after the session, the division director of the
Ministry of Agriculture, Forestry and Fisheries (MOFA) of Japan
explained, "We now significantly understand why vertebral
columns, a material banned in Japan as a BSE risk, were found in
a US beef shipment." He indicated that in his view the bilateral
talks had made progress with the two countries obtaining a common
perception to a certain extent on the cause of the inclusion of
the banned material.

The two meat packers that shipped the product in question
exclusively handle calves, which are considered to be at low risk
for BSE contamination. Unlike other ordinary cattle processing
facilities, slaughtering facilities and processing facilities are
separated at those plants. The Japanese side accepted that
because of this situation, the circumstances of those two
facilities were quite different from other facilities.

The US had thus far insisted that it was appropriate to authorize

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the two plants to export beef to Japan. It did not change that
stance at the meeting this time. However, it admitted that there
was an oversight on its side, noting, "There were things that
needed to be improved, such as that processing procedures should
have been more detailed." The Japanese side gave high marks to
this statement, too.

The US government claimed that safety was secured as a whole.
However, the division director after the meeting countered, "We
are not convinced to that extent."

Acting Under Secretary of Agriculture Lambert representing the US
stressed to a press conference, "We will fully take measures to
prevent a recurrence in order to ensure that the incident will
not happen again." The US pledged to press ahead with efforts to
implement measures to prevent a recurrence, including training of
employees at meat packers, and to inspect all other plants so
that similar incidents will not happen. The Japanese side will
hold a briefing for representatives of consumers to explain the
result of the meeting. It will also submit a report to the Food
Safety Commission. The plan is to hold talks with the US to boil
down matters, including a timeline for resuming imports, before
the end of April at the earliest, after going through that
process.

16) Report on points at issue in referendum legislation proposes
theme-specific voting system

SANKEI (Page 2) (Excerpts)
March 30, 2006

The House of Representatives' Special Committee on the
Constitution, chaired by Taro Nakayama, yesterday unveiled a
report on points at issue the committee will use in drafting
national referendum legislation governing procedures for revising
the Constitution. On the controversial issue of a voting system
on constitutional amendment legislation, the report proposed a
theme-specific voting system in principle. The special committee
will start discussion of disputed points in its directors meeting
today.

The report was worked out at unofficial talks of the Liberal
Democratic Party, the New Komeito, and the Democratic Party of
Japan (Minshuto). As for a voting formula, the three parties
decided to adopt a theme-specific voting system in principle,
instead of a package voting formula. Regarding rules on
campaigning, the report called for "no restrictions in principle
but minimum restrictions attached."

Minshuto is calling for general national referendums to be also
held on key political other than a revision of the Constitution,
but the ruling camp has opposed it. Given this, the report
included both pros and cons of the issue.

On the voting age, the report cited these three arguments: (1) 20
years of age or older, like national elections; (2) 18 years of
age or older, based on the view that wide-ranging people should
be given the right to offer their opinions; and (3) 20 years of
age or older for the time being, but a change to 18 years of age
or older afterward, matching that of national elections.

SCHIEFFER