Identifier
Created
Classification
Origin
06TOKYO2353
2006-05-01 01:18:00
UNCLASSIFIED
Embassy Tokyo
Cable title:  

JAPANESE MORNING PRESS HIGHLIGHTS 05/01/06

Tags:  OIIP KMDR KPAO PGOV PINR ECON ELAB JA 
pdf how-to read a cable
VZCZCXRO9248
PP RUEHFK RUEHKSO RUEHNAG RUEHNH
DE RUEHKO #2353/01 1210118
ZNR UUUUU ZZH
P 010118Z MAY 06
FM AMEMBASSY TOKYO
TO RUEHC/SECSTATE WASHDC PRIORITY 1553
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/COMUSJAPAN YOKOTA AB JA//J5/JO21//
RUYNAAC/COMNAVFORJAPAN YOKOSUKA JA
RUAYJAA/COMPATWING ONE KAMI SEYA JA
RUEHNH/AMCONSUL NAHA 8603
RUEHFK/AMCONSUL FUKUOKA 5975
RUEHOK/AMCONSUL OSAKA KOBE 9169
RUEHNAG/AMCONSUL NAGOYA 5955
RUEHKSO/AMCONSUL SAPPORO 7146
RUEHBJ/AMEMBASSY BEIJING 2029
RUEHUL/AMEMBASSY SEOUL 8203
RUCNDT/USMISSION USUN NEW YORK 0053
UNCLAS SECTION 01 OF 12 TOKYO 002353 

SIPDIS

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 05/01/06

Index:
UNCLAS SECTION 01 OF 12 TOKYO 002353

SIPDIS

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 05/01/06

Index:

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

US-Japan ties:
4) President Bush meets Sakie Yokota in White House
5) Megumi Yokota's mother Sakie calls US visit to promote
rescue of Japanese kidnapped by North Korea "more than I had ever
expected"
6) Prime Minister Koizumi calls President Bush's meeting with
Sakie Yokota "extremely powerful"
7) Japan, with its Azadegan project, may be left in lurch by US
House of Representatives bill imposing sanctions on countries
investing in Iran oil projects
8) Yasukuni Shrine issue could hurt US-Japan ties: Kent Calder

Foreign affairs:
9) Former Chief Cabinet Secretary Yasuo Fukuda, contender for
Koizumi's post, says next prime minister should not visit
Yasukuni Shrine
10) Republic of Korea to make maritime survey of waters near
disputed Takeshima (Dokdo) isles in July, possibly in Japan's EEZ
11) Government to float idea of Japan-China foreign ministerial
at international conference next month
12) Prime Minister Koizumi meets Ethiopia's premier in first
stop on overseas tour

Defense issues:
13) Final report of USFJ realignment contains plan for new
command facility at Camp Zama in two years, joint use of Yokota
Air Base by fiscal 2010
14) JDA top official confirms US, Japan coordinating new set of
defense cooperation guidelines
15) Legislation related to USFJ realignment will be postponed to
future Diet session
16) LDP's Yamasaki on TV believes Japan's share of total cost of
USFJ realignment will be closer to 2 trillion yen and not
estimated 3 trillion yen
17) Government's poll on defense views shows 45% of public fears

danger of war, an all time high

18) Finance Minister Tanigaki confirms his interest in running
for Koizumi's seat this fall

Articles:

1) TOP HEADLINES

Asahi:
Meandering stream of Kushiro River to be revived: 500 million yen
spent to make it straight; 1 billion yen to be spent to restore
its original shape

Mainichi:
Economic assistance as centerpiece of measures on low birth rate;
Allowance for children aged up to three; increase in subsidies
for fertility treatment; Government expert panel maps out draft
plan

Yomiuri:

TOKYO 00002353 002 OF 012


Information on crime syndicates to be posted online, including
names of members arrested

Nihon Keizai:
Increase in workforce last year for first time in eight years;
Active use of female and elderly workers

Sankei:
Final report on USFJ realignment: Zama headquarters to be
established in two years; Joint operation of Yokota Air Base to
start in fiscal 2022

Tokyo Shimbun:
Government-agency-sponsored bidding bars small- and medium-size
companies; World-level technology turned away; METI mulling
measures to correct situation

2) EDITORIALS

Asahi:
(1) Fair Trade Commission to crackdown on bid-rigging
(2) Sumitomo-Mitsui Bank: Customer-first policy mere lip service

Mainichi:
(1) Fifty years of Minamata Disease: Reviewing identification
standards essential
(2) Abolition of special pricing system for newspapers should
not be decided on FTC chairman's own authority

Yomiuri:
(1) Super-long-term government bonds will slightly absorb
shockwave of interest rate rise
(2) Takamatsuzuka mural: Government office should properly
protect national treasures

Nihon Keizai:
(1) Company Law will change corporate management; Time to face
M&As

Sankei:
(1) Lay judge system: Measures to encourage public to take part
urged
(2) Abolition of interest rate gray-zone: Borrowers should also
be aware of potential risks

Tokyo Shimbun:
(1) Considering travel warnings

3) Prime Minister's Official Residence (Kantei)

Prime Minister's schedule, April 29 & 30

NIHON KEIZAI (Page 2) (Full)
May 1, 2006

April 29
Arrived in Addis Ababa. Stayed at the Sheraton Addis Hotel.

Morning, April 30
Attended welcoming ceremony at the Ethiopian Presidential Office.
Held talks with Prime Minister Meles. Attended joint press
conference. Visited lion raising facility and Japanese garden.

TOKYO 00002353 003 OF 012



Afternoon
Returned to the Addis Hotel. Toured water supply training center.
Held informal talks with Japanese residing in Ethiopia in the
hotel.

4) US President meets with abductee Megumi Yokota's mother, tells
her, "I wants to step up efforts to resolve the abduction issue"

SANKEI (Top play) (Excerpts)
April 29, 2006

By Sho Nakamura, Washington

Abductee Megumi Yokota's mother, Sakie, 70, and her younger
brother, Takuya, 37, who are both visiting the United States, met
with US President Bush at 11:00 a.m. on April 28. In the meeting,
Bush criticized North Korean leader Kim Jong Il: "It's a
heartless act for the top leader of the country to promote
abduction." "I'd like to step up efforts to (resolve the
abduction issue)," he added.

The meeting lasted for 30 minutes, with Japanese Ambassador to
the US Ryozo Kato joining. Sakie and her son asked for
cooperation to resolve the abduction issue, handing over to
President Bush a photo of Megumi, supposed to have been taken
right after she had been abducted to North Korea, photos of other
abductees, a letter written in English by Sakie and relatives,
and some items, including a blue ribbon, a symbol of the rescue
of abductees.

Bush listened to Sakie's appeal on the abduction issue with a
serious expression, and Sakie earnestly listened to the US
President's words with her hands firmly placed on her lap. Takuya
was very attentive to the President, leaning toward him not to
miss any word.

In the meeting, Bush stated: "This is one of the most moving
meetings that I have ever had. What the mom wants to have is a
reunion (with her daughter). It's hard to believe that there is a
state that condones abductions. It's a heartless act for a leader
to promote abductions."

Referring to moves by relatives of abduction victims to resolve
the abduction issue, Bush stated: "It takes courage to speak to
someone who does not respect human rights. I am proud of this
mom's and her relatives' activities. We will protect those
activities respecting human rights."

5) Abductee Megumi Yokota's mother Sakie smilingly returns home
from US, saying results were "better than expected"

YOMIURI (Page 26) (Full)
May 1, 2006

Abductee Megumi Yokota's mother, Sakie, 70, and members of the
Association of the Families of Victims Kidnapped by North Korea
(AFVKN) as well as members of the supporting group National
Association for the Rescue of Japanese Kidnapped by North Korea
(NARKN or Japanese Rescue Movement),returned home from the
United States yesterday. At a press conference held at Narita
Airport, Sakie stated with a smile, "We've achieved bigger

TOKYO 00002353 004 OF 012


results than we had expected," citing the realization of a
meeting with President Bush.

Sakie and others, who looked weary, were welcomed with applause
when they entered the airport lobby. When Sakie saw her husband,
Shigeru, 73, and Megumi's younger brother, Tetsuya, 37, who both
stayed behind in Japan, she smiled.

At a press conference, looking back on her US trip, Sakie stated:
"At the Congressional hearing, as well as our meeting with the
President, we sensed everyone shared our feeling that 'abductions
are unpardonable' and listened to our appeal." "I hope every
victim wanting to return home from that country will be able to
do so this year," she added.

Shigeru, who met Sakie at the airport, urged an active response
from the Japanese government, noting: "How the government will
negotiate with North Korea in the coming months will decide the
future course of this issue." The group will today visit the
Prime Minister's Official Residence and convey the results of
their US tour to Chief Cabinet Secretary Abe.

6) On US President Bush's meeting with abductee Megumi Yokota's
mother, Prime Minister Koizumi says, "It's very encouraging"

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

Prime Minister Koizumi yesterday referred to the meeting between
abductee Megumi Yokota's mother, Sakie, and US President Bush,
stating, "It's very encouraging in the sense that the US
government and the US people have a significant interest in the
abduction issue." Koizumi told this to reporters in front of his
official residence.

When asked what action the Japanese government will take in the
future, Koizumi stated, "While calling world attention to the
abduction issue, we have to tenaciously work on North Korea to
come up with a sincere response."

7) With passage of US House bill on sanctions on investments in
Iran energy area, Japan faces difficulty over "Azadegan oil
project"

SANKEI (Page 7) (Excerpts)
May 1, 2006

Yoshihisa Komori, Washington

The US House of Representatives passed on April 26 a bill that
obligates the US government to impose economic sanctions on
foreign institutions and corporations investing more than 20
million dollars in Iranian oil projects and other energy areas.
The bill, which is intended to make Japan give up its Azadegan
oil field development project in Iran is highly likely to be
passed into law. The Bush administration has also urged Japan to
suspend the project. Affected by Iran's nuclear development
moves, Japan now faces a difficult situation.

The main aim of the bill is to obstruct foreign investments in
the oil and natural gas energy area in Iran, with the ultimate
purpose of preventing Iran from promoting nuclear development, as

TOKYO 00002353 005 OF 012


well as suppressing human rights and freedom. Specifically, the
bill mandates the US government to impose economic sanctions,
including a ban on dealings with US government institutes, on
foreign institutions and corporations that invested more than 20
million dollars in the Iranian energy field.

House of Representatives' International Relations Committee
Chairman Henry Hide, who has promoted the bill, indicated that
its main target is Japan. He said: "Japan imports 15% of its oil
from Iran. We understand that under such a situation, Japan will
find it difficult to cut ties with Iran over oil. But we want
Japan to cooperate for our efforts to apply pressure on Iran for
the sake of international solidarity to prevent its nuclear
development."

Washington would like to prevent Iran's nuclear development by
imposing sanctions under the United Nations Security Council, but
meeting objections from China and Russia, the US is pushing ahead
with a plan to deal with the issue under a US-led alliance
framework.

8) Clash between US view of history, Asia strategy: Japan experts
in US worried about impact of Yasukuni Shrine issue on Japan-US
relations, fearing rise of US criticism of Japan

ASAHI (Top play) (Abridged)
April 30, 2006

Kent Calder, director of the Edwin O. Reischauer Center for East
Asian Studies at Johns Hopkins University School of Advanced
International Studies, is worried. He said: "Legitimizing the war
will bring about a clash with the views of history in the United
States, which fought against Japan in that war. A stable alliance
cannot be built on different views of history." Calder, who once
served as special assistant to the ambassador at the US Embassy
in Japan, continued: "Many Americans do not know about Yasukuni,
but once they find out, it could lead to damaging ties between
the US and Japan."

Mike Mochizuki, director of the Asian Research Center at George
Washington University, also pointed out: "Elites in the US
generally are negative about Yasukuni Shrine's view of history.
The history issue could become the cause of rising criticism of
Japan in the United States."

Japan accepted the judgments of the International Military
Tribunal for the Far East (Tokyo War Crimes Trials) at the time
of its signing of the San Francisco Peace Treaty that brought
Japan back into the international community. But Hideki Tojo and
other judged Class A war criminals by the Tribunal are enshrined
at Yasukuni Shrine. What US scholars and others fear is that the
Prime Minister's visits to that shrine will inevitably be seen as
a repudiation of Japan's postwar departure point.

President Bush has not criticized Prime Minister Koizumi's
Yasukuni visits, and the Pentagon, as well, has not placed
importance on the historical issue. However, within the State
Department, which is responsible for US diplomacy, there is
growing irritation with Japan for not being able to engage China
in summit meetings at a time when Japan and the US should be
cooperating to make Japan a "partner" in the international
community. Regarding that disgruntlement in the State Department,

TOKYO 00002353 006 OF 012


Calder makes this assessment: "A Japan that cannot carry out
dialogues with neighboring countries is of no use to the US. For
the US-Japan alliance to function, Japan should play a role in
Asia."

A senior official in Japan's Foreign Ministry who is involved in
relation with the US stated: "Outside the Bush administration,
the atmosphere in Washington regarding Japan's historical issue
is severe. Right now, there will not be a fuss due to the
honeymoon-like relationship at the summit level, but after the
prime minister is changed, I don't know."

9) LDP's Yasuo Fukuda: Next prime minister should refrain from
visiting Yasukuni Shrine

MAINICHI (Page 1) (Full)
May 1, 2006

Asked on an NHK television talk show yesterday about his view of
Japan's strained relations with China and South Korea due to
visits to Yasukuni Shrine by Prime Minister Junichiro Koizumi,
Liberal Democratic Party (LDP) member Yasuo Fukuda, a former
chief cabinet secretary, responded:

"Considering the deterioration of bilateral ties with both
countries, we should think about what kind of action we must
take. There is no other choice but to make a decision from a
broad standpoint, looking at relations in the future."

He indicated that the next prime minister should not visit
Yasukuni Shrine.

Fukuda then pointed out that Japan's relations with China and
South Korea were "in somewhat abnormal situation." He continued,
"Japan-US relations are interrelated with Japan's relations with
the rest of Asia. We should attach importance to relations with
the rest of Asia in order also to place emphasis on Japan-US
ties," stressing that it is urgent for Japan to review its policy
toward Asia in order to strengthen Japan-US ties.

Asked whether he would run in the LDP presidential election in
September, Fukuda responded: "When the time comes, I will ask the
public's judgment. However, I have no such an ambition; I would
just like to do my best to carry out my political duties."

10) South Korea to conduct maritime survey around Takeshima
islets, including Japan's EEZ

SANKEI (Page 1) (Excerpts)
April 29, 2006

It was learned on April 28 that South Korea is planning to carry
out a maritime survey in July in the waters west of the Takeshima
(Dokdo) islets, including areas within Japan's exclusive economic
zone (EEZ). South Korea, which is illegally occupying the islets,
has thus far carried out maritime surveys several times within
Japan's EEZ regardless of Tokyo's opposition. Chances are that it
will go ahead with the plan this time around as well.

According to several senior government and ruling party
officials, the South Korean National Oceanographic Research
Institute will observe between July 3 and 17 oceanic conditions,

TOKYO 00002353 007 OF 012


including water temperature, salinity, current, and tides in the
waters from off Ulsan Metropolitan City east of South Korea to
the Takeshima islets.

South Korea's claimed EEZ covers the islets, overlapping Japan's
claimed EEZ, which is based on the islets. South Korea has thus
far carried out four maritime surveys within Japan's EEZ,
including waters around Takeshima, in defiance of Japanese
opposition.

Commenting on the maritime survey, a government source said, "The
survey will be carried out in the areas claimed by both Japan and
South Korea." A senior Foreign Ministry official explained: "The
survey is aimed to observe not the sea bed but the ocean current.
It has nothing to do with naming the seafloor topography around
the islets South Korea claims." Some government officials are
increasingly alarmed about South Korea's ocean current survey,
with a senior official from the Ministry of Land, Infrastructure,
and Transport noting, "Though South Korea says that the survey is
to observe the ocean current, it involves the issue of naming the
seafloor topography around the area in a delicate way."

11) Government to sound out China about holding foreign
ministerial on sidelines of international conference in May

YOMIURI (Page 1) (Full)
April 30, 2006

The government intends to sound out China to hold a foreign
ministerial on the sidelines of an international conference on
cooperation in Asia, which will take place in late May. Since
Chinese Foreign Minister Li Zhaoxing is expected to attend the
conference, the government has decided to look into the
possibility of a meeting between Li and Foreign Minister Taro
Aso. If realized, Li and Aso will meet for the first time since
they held talks last May in Kyoto on the sidelines of the Asia-
Europe Meeting (ASEM) of foreign ministers.

The protocol of mutual visits by the top leaders of Japan and
China has been suspended since 2001. Bilateral relations between
Japan and China have remained cool since Prime Minister Junichiro
Koizumi made a fifth visit as prime minister to Yasukuni Shrine
last October. Since Beijing has rejected a foreign ministerial,
Aso has not met any key Chinese officials since he assumed the
foreign minister's post.

However, vice minister-level talks resumed in February. The
government has decided that a foreign ministerial should be held
in order to discuss such pending bilateral issues as China's gas
exploration in the East China Sea, as well as environmental
protection. It will propose a meeting after the Golden Week
holidays.

The government seems to have considered that if Beijing rejects
the proposal, Tokyo will be able to appeal to audiences at home
and abroad that the Chinese side has closed the window to
contacts.

12) Koizumi meets Ethiopian counterpart in first stop on Africa
tour

NIHON KEIZAI (Page 2) (Excerpts)

TOKYO 00002353 008 OF 012


May 1, 2006

Yasuhiro Otaki, Addis Ababa

Prime Minister Junichiro Koizumi met with Ethiopian Prime
Minister Meles Zenawi in Addis Ababa on April 30. The two leaders
agreed on the need to cooperate toward Japan's acquisition of a
permanent seat on the United Nations Security Council (UNSC).
Koizumi indicated Japan's willingness to offer more economic
assistance to Ethiopia. The ongoing Africa tour reflects the
government's aim of countering China's diplomatic activity in
Africa.

The prime minister arrived in Ethiopia on April 29 on the first
stop on his tour of Africa and Scandinavia. He is the second
incumbent prime minister to visit sub-Saharan Africa, following
Prime Minister Yoshiro Mori in 2001. Koizumi will meet African
Union (AU) Commission Chairman Alpha Oumar Konare on May 1 and
leave for Ghana on May 2 with the aim of strengthening bilateral
relations.

In a joint press conference after the meeting, Koizumi said that
if Japan lands a UNSC permanent seat, "Japan will be able to
provide assistance from a stance different from the current five
permanent members, like efforts focusing on the consolidation of
peace." Meles expressed his support for Japan's bid, remarking:
"It is improper that the second largest economic power does not
have a permanent seat on the UNSC."

13) US Army to set up new command at Camp Zama in 2 years; Yokota
airbase to be combined in 2010: final report on USFJ realignment

SANKEI (Top play) (Abridged)
May 1, 2006

The US Army will set up a joint operations center at Camp Zama in
Kanagawa Prefecture in the US fiscal year of 2008 (beginning in
October 2007 and ending in September 2008),according to a final
report revealed yesterday on the realignment of US forces in
Japan. The Air Self-Defense Force (ASDF) will relocate its Air
Defense Command functions to the US Air Force's Yokota base in
Tokyo in fiscal 2010. The final report sets forth a course of
action to substantially step up bilateral military cooperation.
Japan and the United States will agree on the final report in a
'two-plus-two' meeting of their intergovernmental security
consultative committee to be held in Washington on May 1.

The report says Japan is basically to pay for the realignment of
US forces in Japan, adding that the United States will shoulder
costs relating to operations. It details plans to relocate the US
Marine Corps' Futenma Air Station in Ginowan, Okinawa Prefecture,
and redeploy a carrier-based wing from Atsugi to Iwakuni.

The report also says Futenma airfield will be relocated to a
coastal area of Camp Schwab in the city of Nago, Okinawa
Prefecture, and its replacement facility will have a V-shaped
pair of airstrips with an overall length of 1,800 meters
including overrun areas. The United States will return five
facilities in their entirety, including Futenma airfield and Naha
military port, and will also return Camp Zukeran (i.e., Camp
Foster) in part. However, the report says foregoes the return of
these facilities, recounting that the Japanese and US governments

TOKYO 00002353 009 OF 012


will work out a detailed plan by March 2007.

The report also says the Self-Defense Forces will participate in
joint training exercises at Camp Hansen and Kadena airbase in
Okinawa Prefecture. Kadena-based fighter jets' training flight
missions will be dispersed to bases in other prefectures,
explaining that a squadron of 1-5 fighters will participate in
joint training for a period of 1-7 days at first and will be
increased to a squadron of 6-12 fighters for a period of 8-14
days.

Main points from final report

-- Japan and the United States will maintain their deterrent
capabilities, budget their relevant costs, and relocate Futenma
airfield to a coastal area of Camp Schwab. The construction of V-
shaped runways is to be completed in eight years.
-- The United States will redeploy 8,000 Marines and 9,000 family
dependents from Okinawa to Guam. Japan will pay 6.09 billion
dollars.
-- Camp Zama will be provided with command and control functions
in two years.
-- The ASDF will relocate its Air Defense Command functionality
to the US Air Force's Yokota base in 2010.
-- A carrier-borne wing will be redeployed to Iwakuni by FY2014.

14) Japan, US to revise security declaration

NIHON KEIZAI (Page 2) (Full)
April 29, 2006

Japan and the United States will enter into intergovernmental
coordination to revise their 1996 joint declaration on security
at a Japan-US summit meeting slated for late June, a high-level
official of the Defense Agency said yesterday. The official also
referred to the necessity of reviewing the bilateral defense
cooperation guidelines based on the joint declaration. The
Japanese and US governments will confirm their intention to
review the defense guidelines on the occasion of a 'two-plus-two'
foreign and defense ministerial meeting of their security
consultative committee to be held in the United States in early
May over the realignment of US forces in Japan, the official
said.

As a reason for revising the security declaration and the defense
guidelines, the Defense Agency official cited the changes in the
post-Cold War security environment, such as potential terrorist
and missile attacks. In addition, the official also cited the
expansion of the Self-Defense Forces' international
contributions. "The content does not match the actual situation,"
the official noted.

15) USFJ realignment-related legislation to be postponed until
after current Diet session, as doubts well up about Japan's 3-
trillion yen burden

NIHON KEIZAI (Page 2) (Excerpt)
April 29, 2006

The government has decided to postpone until after the current
Diet session submission of a bill promoting the realignment of
the US forces in Japan that would make it possible for financial

TOKYO 00002353 010 OF 012


funding of the relocation of US Marines from Okinawa to Guam.
Voices have erupted in the ruling and opposition camps
questioning the basis for the US government's calculation that
Japan's share of the total realignment cost would come to $26
billion (approximately 3 trillion yen). The judgment was thus
made that enacting of a bill submitted to the current Diet
session that ends on June 18 would be difficult.

Prime Minister Junichiro Koizumi on the evening of April 28 told
reporters at his official residence: "We need to carefully think
it over and consult with US forces and with those localities
(hosting US bases). This is not something we should do hastily."

16) April 30 episode of "Hodo 2001": Yamasaki says Japan's
spending for USFJ realignment likely to exceed 2 trillion yen

SANKEI (Page 5) (Full)
May 1, 2006

Former Liberal Democratic Party Vice President Taku Yamasaki, who
will leave for South Korea on May 1, expressed his views about
Takeshima (Dokdo),US force realignment, and other issues.

-- South Korean President Roh Moo Hyun has taken a hard-line
stance on the Takeshima issue.

Yamasaki: In promoting diplomacy, "dialogue and pressure" are
necessary, but the special speech delivered by President Roh was
somewhat high-handed, exceeding the framework of dialogue.

-- US Deputy Under Secretary of Defense Lawless said that Japan
would pay 26 billion dollars (about 2.98 trillion yen) as its
share of the overall US force realignment cost.

Yamasaki: Defense Agency Director General Fukushiro Nukaga
reached an agreement with Defense Secretary Rumsfeld on Japan's
59% share (of the cost for relocating Marines to Guam). That was
great job, because Mr. Lawless had insisted on 75%. (Regarding
his remark on the 26 billion dollar figure),he probably said to
the US Congress that Japan's share was not just 59%, but this is
just his own calculation.

-- How much money do you think Japan will pay?

Yamasaki: (Lawless) calculated costs over a ten-year period. No
official in the Japanese government has worked out an amount, but
if the cost for the Guam transfer plan is included, the total
amount is expected to top 2 trillion yen.

-- Will this be covered by tax increases?

Yamasaki: We think a considerable sum of money will be needed,
including money to finance measures for residents and economic
promotion in local communities, but we have no plan to raise
taxes. It is not correct to think that Japan alone will share the
cost."

-- Do you think the premier who will succeed Koizumi should be
someone who departs from his foreign policy and places an
emphasis on relations with China and South Korea?

Yamasaki: It is undesirable for Japan to be unable to hold a

TOKYO 00002353 011 OF 012


summit when a critical situation occurs. It is desirable to have
a leader who will work energetically to break the impasse (in the
current strained relations with China and South Korea).

17) Poll: 45% -- highest ever figure -- believe that war is
possible; Public concerned about Korean Peninsula, terrorism

TOKYO SHIMBUN (Page 1) (Full)
April 30, 2006

The Cabinet Office yesterday released the results of its recent
public opinion survey conducted in order to probe public
awareness of the Self-Defense Forces (SDF) and defense issues. In
the survey, respondents were asked if they thought Japan could be
involved in a war. In response to this question, 45.0% answered
"yes," with 32.6% answering they "can't rule it out" and 16.5%
saying "no." The proportion of "yes" answers was up 1.8
percentage points from a previous survey conducted three years
ago and is the highest ever since the survey was started in 1969.
Asked about peace and security concerns, respondents picked the
Korean Peninsula, international terrorism, or China's military
buildup. This shows the general public's anxiety ascribable to
the Northeast Asian situation's uncertainties.

In the meantime, Japan has sent SDF members to Iraq to help with
that country's reconstruction. Respondents were asked if they
thought the SDF deployment in Iraq was helpful. In response to
this question, "yes" accounted for 66.7%. They were also asked if
they were in favor of sending SDF personnel overseas for disaster
relief operations, and "yes" marked an all-time high of 90.8%

When it comes to international peace cooperation, however, 53.5%
answered that Japan should continue such activities at the
current level, with 31.0% insisting Japan should undertake an
even more positive role.

In the survey, respondents were further asked about peace and
security concerns and they were asked to pick one or more issues
from among those given. In response, the Korean Peninsula topped
all other issues at 63.7% , followed by international terrorism
at 46.2% and China's military modernization and naval activities
at 36.3%.

When asked whether the Japan-US Security Treaty is helpful,
affirmative answers accounted for 75.1% , with negative ones at
17.0%. A total of 76.2% chose the Japan-US security arrangement
and the SDF for Japan's national security, up from 72.1% in the
last survey.

Those in favor of relocating US military functions in part from
Okinawa to Japan's mainland prefectures marked an all-time high
of 51.5% , topping negative answers for the first time in nine
years since 1997.

The survey was conducted across the nation on Feb. 16-26. For the
survey, a total of 3,000 men and women aged 20 and over were
selected. The retrieval rate was 55.2%.

18) Finance Minister Tanigaki expresses intention to run in LDP
presidential race

MAINICHI (Page 1) (Full)

TOKYO 00002353 012 OF 012


May 1, 2006

Referring to the September presidential election of the Liberal
Democratic Party (LDP at a study session of his faction yesterday
in the city of Utsunomiya, Finance Minister Sadakazu Tanigaki
revealed his intention to run in the race, saying, "I will do my
best with that determination in mind. I would like you to support
me."

Tanigaki called for a review of the negative aspects of Prime
Minister Koizumi's reform drive.

DONOVAN