Identifier
Created
Classification
Origin
06TOKYO2969
2006-05-31 01:18:00
UNCLASSIFIED
Embassy Tokyo
Cable title:  

JAPANESE MORNING PRESS HIGHLIGHTS 05/31/06

Tags:  OIIP KMDR KPAO PGOV PINR ECON ELAB JA 
pdf how-to read a cable
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ZNR UUUUU ZZH
P 310118Z MAY 06
FM AMEMBASSY TOKYO
TO RUEHC/SECSTATE WASHDC PRIORITY 2639
INFO RUEKJCS/SECDEF WASHDC PRIORITY
RHEHAAA/THE WHITE HOUSE WASHINGTON DC PRIORITY
RUEAWJA/USDOJ WASHDC PRIORITY
RULSDMK/USDOT WASHDC PRIORITY
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RHMFIUU/COMUSJAPAN YOKOTA AB JA//J5/JO21//
RUYNAAC/COMNAVFORJAPAN YOKOSUKA JA
RUAYJAA/COMPATWING ONE KAMI SEYA JA
RUEHNH/AMCONSUL NAHA 9095
RUEHFK/AMCONSUL FUKUOKA 6476
RUEHOK/AMCONSUL OSAKA KOBE 9701
RUEHNAG/AMCONSUL NAGOYA 6418
RUEHKSO/AMCONSUL SAPPORO 7631
RUEHBJ/AMEMBASSY BEIJING 2524
RUEHUL/AMEMBASSY SEOUL 8704
RUCNDT/USMISSION USUN NEW YORK 0499
UNCLAS SECTION 01 OF 11 TOKYO 002969 

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 05/31/06


Index:
UNCLAS SECTION 01 OF 11 TOKYO 002969

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 05/31/06


Index:

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

4) Assistant Secretary of State Richard Boucher calls on Japan
to support US-India nuclear cooperation arrangement

USFJ realignment:
5) Koizumi Cabinet approves basic policy line on USFJ
realignment but relocation site for Futenma base not mentioned
6) Strong negative reaction from Okinawa to cabinet decision on
USFJ realignment
7) Local governments affected by US force realignment complain
of "insufficient explanation" by GOJ
8) Japan's share of USFJ realignment cost remains invisible in
the cabinet decision approving the basic plan
9) LDP team calls for cuts in host-nation support to offset the
expenses of USFJ realignment
10) Rising worry that with sealing of cabinet agreement on USDF
realignment, SDF could become involved in "America's wars"

11) Japan-China gas field talks switching from border
demarcation to give priority to joint exploration and development

Political agenda:
12) Prime Minister Koizumi rules out extension of Diet, placing
a number of important bills in limbo
13) Bereaved Families Association Chairman Koga's proposal for
neutralizing Yasukuni Shrine sets off divisive debate pro and con
in the organization
14) Justice Ministry panel prepares new proposals to address
problem of foreign labor in Japan

Articles:

1) TOP HEADLINES

Asahi:
Asahi poll of 74 companies to crack down on illegal parking: 36
corporations have retired police officers; 14 companies have new
hires

Mainichi and Tokyo Shimbun:
Tokyo High Court rejects Shoko Asahara's objection, paving the
way for his death sentence

Yomiuri:
Government, ruling coalition decide to carry education,
referendum bills over to next Diet session under Koizumi's
successor

Nihon Keizai:
Matsushita, Hitachi to double liquid crystal panel production
capability by jointly investing 80 billion yen in new Chiba line
and building plants in Eastern Europe

Sankei:
ANA considering selling all 35 hotels to Intercontinental

2) EDITORIALS

TOKYO 00002969 002 OF 011



Asahi:
(1) Cabinet decision on US force realignment filled with

postponements
(2) Kimigayo decision: Punishment unfit for education

Mainichi:
(1) US force realignment: Prime Minister Koizumi must fulfill
his responsibilities until September
(2) Hanshin TOB: A thorough explanation necessary for passengers
and Hanshin Tigers fans

Yomiuri:
(1) Push steadily ahead with realignment plan
(2) Social Insurance Agency scandal: Murase policy course must
not be rejected

Nihon Keizai:
(1) Life insurers must increase competitiveness with information
disclosure as leverage
(2) US force realignment will change SDF as well

Sankei:
(1) Cabinet decision on US force realignment: Okinawa does not
need further turmoil
(2) Look-alike paintings: What's happened to the pride of an
artist

Tokyo Shimbun:
(1) US force realignment: Government's decision to jump the gun
would cost Japan dearly
(2) The environment and the declining population: Compact
measures essential

3) Prime Minister's Official Residence (Kantei)

Prime Minister's schedule, May 30

NIHON KEIZAI (Page 2) (Full)
May 31, 2006

08:55
Attended a cabinet meeting in the Diet building. JDA Director
General Nukaga stayed behind.

09:26
Arrived at Kantei.

10:10
Met World Bank Governor Wolfowitz. Followed by incoming and
outgoing chief judge Kohei Nasu and Kunio Hamada.

11:00
Met former Russian Prime Minister Primakov. Later met Diet
Affairs Committee Chairman Hosoda.

14:05
Met Justice Minister Sugiura.

15:00
Met incoming and outgoing Japan Business Federation chairman
Mitarai and Okuda. Followed by Upper House Secretary General

TOKYO 00002969 003 OF 011


Katayama, Fire and Disaster Management Agency Director General
Itakura, and others.

15:57
Met Finance Minister Tanigaki, Vice Finance Minister Hosokawa,
and others. Followed by Vice Foreign Minister Yachi.

17:37
Met State Minister in Charge of Economic, Fiscal and Financial
Policy Yosano, and Assistant Deputy Chief Cabinet Secretary Saka.
Later, met Education Minister Kosaka.

19:02
Met Chief Cabinet Secretary Abe, deputy chief cabinet secretaries
Nagase and Suzuki, senior vice ministers from various government
agencies, and others.

4) US Assistant Secretary of State Boucher asks Japan to support
US-India nuclear cooperation

ASAHI (Page 7) (Full)
May 31, 2006

In an interview yesterday to the Asahi Shimbun, US Assistant
Secretary of State (for South and Central Asian Affairs) Richard

SIPDIS
Boucher, now visiting Japan to attend in international conference
centered on the peace process in Sri Lanka, referred to the
nuclear cooperation pact for private-sector use signed between
the United States and India in March: "I would hope that Japan
examine the contents in detail and look on it favorably." The US
government is sounding out Japan for its support of this issue,
with an eye on the Japan-US summit meeting at the end of June.
His statement as a high-level US official is a clear request for
support.

Assistant Secretary Boucher stressed: 1) India is expanding its
relations with Western countries across the board; 2) a clean
energy supply (through nuclear power) would be for India's
economic development; and 3) this would lead toward greater
international cooperation in nuclear non-proliferation.

He stated that "it would be in Japan's best interests" to have
stable development in India, which is located in between the
unstable Middle East, with its Islamic fundamentalist terrorists,
and Southeast Asia. He thus urged support from a strategic
viewpoint, as well.

5) Cabinet adopts basic US force realignment policy without
specifying Futenma relocation site

YOMIURI (Top play) (Excerpts)
Evening, May 30, 2006

The government at its cabinet meeting this morning adopted a
basic policy on the realignment of US forces in Japan. The basic
policy also mentions the government's plan to swiftly map out a
plan to construct alternative facilities for Futenma Air Station
(now located in Ginowan, Okinawa Prefecture) based on a Japan-US
agreement. The policy also specifies a review of the Midterm
Defense Buildup Program to squeeze out necessary funds for the
realignment. The focus will now shift to such matters as US force
realignment promotion special measures legislation, concrete

TOKYO 00002969 004 OF 011


plans for implementing the realignment, and how to split the
costs of realignment.

The Defense Agency initially planned to specify "waters in the
vicinity of Cape Henoko and Oura and Henoko bays" in the basic
policy as the relocation site for Futenma Air Station. But the
agency in the end decided not to specify a specific site in
deference to Okinawa, which take the view: "We have not agreed to
the government plan." At the same time, the policy clearly
specifies the abolition of the December 1999 cabinet decision on
the original Futenma Air Station relocation plan.

The government will also review the Midterm Defense Buildup
Program (24.24 trillion yen for FY2005-2009) once the estimate
for the realignment becomes clear in order to come up with funds
for the realignment.

The policy also reads, "The government will take steps to help
promote local economies so that they will be able to contribute
to the peace and security of Japan in compliance with requests
from communities bearing additional burdens." The aim is to
enhance economic stimulus measures for local governments to be
affected by the realignment, such as Nago and Iwakuni in
Yamaguchi Prefecture, the relocation site for carrier-based
planes now based at the Atsugi base in Kanagawa Prefecture.

Key points in the basic policy on US force realignment

Take economic stimulus measures in compliance with requests
from local governments bearing additional burdens.
Bear the due cost for relocating US Marines to Guam to
o
swiftly realize the relocation.
Improve the efficacy of defense-related outlays. Review the
Midterm Defense Buildup Program once the estimated cost becomes
clear.
Swiftly map out a Futenma alternative facility construction
plan based on the plan approved by the Japan-US Security
Consultative Committee.

6) Cabinet approves US force realignment plan, but Okinawa raises
strong objection

MAINICHI (Page 6) (Excerpts)
Evening, May 30, 2006

By Teruhisa Mimori, Nakae Ueno, Shinya Oba

Okinawa today raised a strong objection to the cabinet's
endorsement to the central government's policy of implementing
the US force realignment plan. The Okinawa prefectural government
complained that the central government had failed to observe the
basic confirmation exchanged between Okinawa and the Defense
Agency (JDA) on May 11. Nago City, which has accepted the
relocation plan for the US Marine Corps Air Station Futenma, also
is becoming increasingly distrustful of the central government,
,
because Tokyo decided to end the economic stimulus measures for
the northern part of Okinawa.

Okinawa Gov. Keiichi Inamine, now visiting Tokyo, yesterday
criticized the cabinet's approval at a press conference in Tokyo:

TOKYO 00002969 005 OF 011


"(The basic) confirmation states that thorough consultations will
be held with each concerned area, but this sort of effort has not
been fully made. I will emphasize this point from now on." When
asked whether his government would take part in a consultative
body - an arena for the central government and local
municipalities to discuss such matters as a construction plan for
an alternative facility for the Futenma airfield -- Inamine
indicated he would carefully make a decision about this, saying:
"I'd like to decide while discussing it with cities, towns, and
villages that will be affected by the realignment plan."

On the consultative organ, Vice Okinawa Gov. Hirotaka Makino told
reporters earlier in the day: "We won't respond to talks if the
talks are based on the coastal plan." The vice governor thus
implied Okinawa's refusal to participate in the consultative
organ even if the central government asks Okinawa to take part in
it.

The Okinawa prefectural government's position indicated in the
basic confirmation is that the relocation site should be a
coastal area of Camp Schwab, so Okinawa and the central
government has yet to bridge the gap. (The basic confirmation)
mentioned that the central government will discuss the details of
the relocation plan with affected municipalities, such as the
Okinawa prefectural government and Nago City, before the cabinet
approves the realignment plan.

In this regard, Vice Gov. Makino said: "The governor has told JDA
Director-General (Fukushiro) Nukaga that 'a cabinet approval is
an act by the central government, but I can't go along with the
contents of (what the cabinet approves).'" But the JDA has
twisted this remark by the governor as meaning 'local
understanding has been obtained.' It's extremely regrettable."

7) Cabinet decision on USFJ realignment faced with local backlash

NIHON KEIZAI (Page 2) (Abridged)
May 31, 2006

The government made a cabinet decision yesterday on the planned
realignment of US forces in Japan. From now on, the government
will expedite its coordination with local governments to shape
specific realignment plans, such as relocating Futenma base in
the city of Ginowan, Okinawa Prefecture. However, base-hosting
localities raised objections to the cabinet decision all at once,
claiming that the government has failed to fully account for the
US force realignment. The government will likely face rough going
in the final phase of its coordination with local base hosts.

"We've confirmed in written form (with the Defense Agency) that
the government will fully comply with local standpoints," Okinawa
Prefecture's Governor Keiichi Inamine said. "But," Inamine went
on, "the government didn't." He stressed, "We have our own
plans." With this, the governor clarified that he would not
accept Futenma relocation to Camp Schwab's coastal area and that
the Okinawa prefectural government would persist in its own
counterproposals, such as building a temporary helipad on the
camp's premises.

In its cabinet decision yesterday, the government took the
position that it would set up a consultative body with Okinawa
Prefecture and its base-hosting municipalities and would work out

TOKYO 00002969 006 OF 011


a construction plan at an early date. The government intends to
launch the consultative body in June and work out a plan in the
fall of this year. However, Okinawa is crying out against Tokyo
over its pork-barreling of base-hosting localities. It is
therefore unclear whether Okinawa will readily sit down at the
negotiating table.

In the meantime, the US Navy will redeploy a carrier-based air
wing to Iwakuni base in the city of Iwakuni, Yamaguchi
Prefecture. Iwakuni City's Mayor Katsusuke Ihara also criticized
the government, saying, "It's very regrettable that the
government went ahead with the realignment talks while failing to
give sufficient explanations to us." The mayor added, "We'd like
to negotiate with the government in a tenacious manner so as to
call for the government to retract the planned redeployment."
Another specific realignment issue is the US Army's planned
relocation of the 1st Corps' revamped command functionality to
Camp Zama in Kanagawa Prefecture. The local hosts of Camp Zama,
namely the cities of Zama and Sagamihara, have released their
respective comments opposed to the strengthening of base
functions.

8) Japan's share of US force realignment cost remains invisible

ASAHI (Page 3) (Excerpts)
May 31, 2006

Following the cabinet's approval of the government's basic policy
on the realignment of US forces in Japan, the focus of attention
has shifted to the problem of how to solicit agreement from the
local communities affected by the realignment plan, as well as to
the size and financial resources of Japan's share of the
realignment cost. The government's plan did not present any
specific cost estimate. The Japanese government already bears a
huge financial burden to maintain the US military presence in
Japan. In addition, a new burden, the cost of relocating Marines
to Guam, will be imposed on Japan. Japan is unlikely to see any
reduction in its burden for hosting the US forces in Japan.

Regarding the estimated total realignment cost, Prime Minister
Koizumi told reporters at noon of yesterday: "Close examination
is necessary. It will take some time to work out the
calculations."

US Deputy Under Secretary of Defense Lawless estimated Japan's
share of the realignment cost at 3 trillion yen late April.
Regarding this estimate, Defense Agency (JDA) Director General
Nukaga said: "It is a groundless figure." Some JDA officials have
come up with 1.5 to 2 trillion yen as a rough estimate.

Administrative JDA Deputy Director General Takemasa Moriya also
said in a speech in April: "We estimate Japan's share at 2
trillion yen after deducting the share of the cost for relocating
Okinawa-based Marines to Guam." If about 700 billion yen in
Japan's estimated share of the Guam relocation cost is added to
this figure, the total amount will reach nearly 3 trillion yen.

The government set 2014 at the target year for the plans of
transferring the US Marine Corps Futenma Air Station, and Marines
to Guam. Assumed that the 3 trillion yen is paid over an eight-
year period, Japan's share on an annual basis will be 375 billion
yen in new expenses. Given the country's current difficult fiscal

TOKYO 00002969 007 OF 011


situation, it will not be easy for the government to squeeze out
such fiscal resources.

Once the US military vacates the bases located south of Kadena
Air Base in Okinawa Prefecture in accordance with the agreement
reached between Japan and the US, the government will be released
from the obligation of paying ground rents and pay for local
employees. The government, though, remains unable to presume a
total balance, a government source remarking: "It is still
impossible to make a calculation in detail."

9) LDP team suggests bold cut in host nation outlays in US force
realignment

ASAHI (Page 4) (Full)
May 31, 2006

The Liberal Democratic Party's "project team for expenditure
reform" decided yesterday to drastically review "sympathy budget"
allocations for US forces in Japan, or host nation outlays, as a
measure to cut expenditures. The US force realignment plan will
impose a huge amount of financial burden on Japan. By
significantly reducing host nation outlays, the LDP aims to
obtain public understanding toward Japan's share of the
realignment cost and underscore the stance of cutting
expenditures without sanctuary.
The project team will compile this week an interim report on
items up for spending cuts in general areas (including ODA,
defense, and energy) and will include in it this wording: "The
drastic review of host nation outlays." The government has begun
budget allocations for US forces in Japan as welfare expenses for
US base workers. Since the sympathy budget reached a record 282
billion yen (contract base) in fiscal 1997, it has been on the
decline. The amount in fiscal 2006 is set at 215.1 billion yen,
but the interim report is expected to call for a larger
reduction.

Related to defense affairs, the interim report will also include
these measures: (1) Reduction in the number of Self-Defense Force
regular members; (2) cost cuts by joint procurement by the Air,
Maritime, and Air Self-Defense Forces; (3) cut in facility-
maintenance costs by preventing bid-rigging; and (4) sweeping
review of measures for local communities near US military bases.

10) Public concerned about involvement in US war

TOKYO SHIMBUN (Page 2) (Full)
May 31, 2006

The government made a cabinet decision yesterday on a basic
course of action over the planned realignment of US forces in
Japan. With the US military's realignment going on, Japan will be
a command linchpin of US forces in the Asia-Pacific region. In
the event of emergencies in Japan, the Self-Defense Forces (SDF)
and US Forces Japan (USFJ) will act in concert. Japan will
solidify its alliance with the United States. At the same time,
however, Japan is also likely to "blindly follow" the United
States and may be involved in US warfare.

In their talks over the US force realignment, Japan and the
United States factored in the Korean Peninsula and the Taiwan
Strait and considered maintaining deterrent capabilities.

TOKYO 00002969 008 OF 011


However, the United States has shifted its forces to its mainland
since the Sept. 11, 2001 terrorist attacks at its nerve centers.
The United States therefore had to strengthen its military
partnership with the three SDF services in order to make up for
its weakened military presence in the Far East.

In the planned realignment of US forces in Japan, the US Army
will set up a new command at Camp Zama in Kanagawa Prefecture,
for example. The US Army, Navy, and Air Force will combine their
commands with their SDF counterparts, namely the Ground,
Maritime, and Air Self-Defense Forces, or GSDF, MSDF, and ASDF
for short. In addition, Japan and the United States will further
conduct joint training exercises and share intelligence. The
Japanese government will also study bilateral defense planning in
anticipation of emergencies in Japan and mutual cooperation
planning in anticipation of emergencies in areas surrounding
Japan.

In 1997, Japan and the United States revised their bilateral
defense cooperation guidelines. The Defense Agency, meanwhile,
wants to overhaul the defense guidelines in an aim to push for
bilateral cooperation in counterterrorism, missile defense,
international disaster relief, and various other areas.

Japan and the United States have now agreed on the realignment of
US forces in Japan. The Japanese government praises itself for
the agreement. "This is an outcome of our harmonized efforts to
lessen the burden of base-hosting localities while maintaining
deterrent capabilities," a senior official of the Defense Agency
said.

As a result of USFJ realignment, however, a fusion of the SDF and
USFJ will not start. Eventually, Japan may become almost
automatically involved in America's wars. This is a matter of
concern to the public. There is such concern even within the
ruling Liberal Democratic Party. "The United States can decide on
where to send troops," a one-time cabinet minister in the LDP
said. "Unlike the United States," this LDP lawmaker added, "Japan
has no choice but to blindly follow the United States."

If the SDF and USFJ act in concert to deal with emergencies,
enemy countries and terrorists would inevitably equate Japan with
the United States. In that case, SDF bases are highly likely to
come under attack.

Article 9 in the Constitution of Japan prohibits Japan from
exercising the right of collective self-defense. However, Japan
would be poised to fight together with the United States as a
result of USFJ realignment. If that is the case, there is no
doubt that the LDP will call for the government to unseal Japan's
self-imposed prohibition against collective defense.

The government, in its cabinet decision yesterday, underscored
the necessity of USFJ realignment, recounting: "It is important
to maintain and develop the security arrangement between Japan
and the United States in order to ensure Japan's national
security and maintain peace and stability in the Asia-Pacific
region." However, the cabinet decision on USFJ realignment may
become controversial on the point of whether the US military
realignment in Japan will really help Japan.

11) Japan-China gas field development: Tokyo sidesteps

TOKYO 00002969 009 OF 011


demarcation, gives priority to talks on joint development

SANKEI (Page 2) (Lead paragraph)
May 31, 2006

The government yesterday decided to put on the backburner the
work of demarcation to determine the exclusive economic zone
(EEZ) during talks with China on oil and gas field development in
the East China Sea. Behind this decision is Tokyo's judgment that
because talks on demarcation are likely to drag on, it is wise to
first engage in talks on joint development on a profit-sharing
basis. But this move might be taken by China to mean that Japan
has now accepted China's claim about an expansion of the
continental shelf.

12) Koizumi refuses to extend Diet session; Key bills to be
carried over; Reform of the Social Insurance Agency given up

SANKEI (Page 5) (Excerpts)
May 31, 2006

Prime Minister Junichiro Koizumi announced yesterday his final
decision not to extend the ongoing Diet session, which ends on
June 18. Reacting, the government and ruling coalition have
started coordination to abandon plans linked to a possible
extension of the current session. This will be the last Diet
session to be conducted under the Koizumi government, but many
contentious bills will now be carried over to the next session
(under a new prime minister). Therefore, some lawmakers in the
ruling camp, which holds more than two-thirds of the House of
Representatives seats, have voiced their unhappiness with
Koizumi's decision.

Asked by reporters last night "Is it your last decision that the
current session will not be extended?" Koizumi responded, "That's
right." Prior to this, Koizumi called Liberal Democratic Party
(LDP) Diet Affairs Committee Chairman Hiroyuki Hosoda in his
office and told him, "The Diet session will not be extended."

Hosoda, who had called for extending the session, told reporters:

"There are slight gaps between the prime minister, who believes
the term of the current session should be respected, and the Diet
Affairs chairman, who wants to get the bills through the Diet at
any cost."

The ruling camp intends to put priority on the enactment of a set
of bills on medical reform, which is now being deliberated in a
House of Councillors committee. In the wake of a widening scandal
involving social insurance offices' waivers of pension premium
payments, the ruling coalition has given up on passing bills to
reform the Social Insurance Agency through the Diet during the
current session. They will decision within 10 days on whether to
kill the bills or carry them over.

Of important legislation submitted to the current session, only
the administrative reform promotion bill has cleared the Diet.
The medical reform bill might be the only other one that will be
enacted before the end of the ongoing session. If the session is
not extended, it will be difficult to enact an education reform
bill, a bill on national referendum for amending the
Constitution, a bill that would make conspiracy a crime, and a

TOKYO 00002969 010 OF 011


bill upgrading the Defense Agency to ministry status.

13) Koga's proposal creates debate pro and con in Japan
Association for the Bereaved Families of the War Dead; Reaching
consensus difficult on removing Class-A war criminals from
Yasukuni Shrine

MAINICHI (Page 5) (Full)
May 31, 2006

Makoto Koga, chairman of the Japan Association for the Bereaved
Families of the War Dead, proposed on May 30 that the issue of
removing Class-A war criminals from Yasukuni Shrine should be
discussed. Following the proposal, the association discussed the
issue at its council of directors, but the group ended up divided
into those for and those against it. The association therefore
simply reaffirmed the conventional view that it is up to Yasukuni
Shrine as to whether to remove Class-A war criminals. The
association's leadership will discuss whether the proposal should
be on the agenda. It will likely be difficult to reach consensus
since the issue, being delicate, might split the membership in
two.

About 130 members attended yesterday's meeting. Koga walked out
of the meeting soon after referring to the issue in his speech.
The issue was discussed in his absence.

During the meeting, one member said, "It is useless to discuss
the matter because Yasukuni Shrine has said that it cannot remove
Class-A war criminals once enshrined." Some said, "We should not
shy away from discussing this matter."

The association, a major supporter of the Liberal Democratic
Party, is made up of 1 million households. Touching in a meeting
of the association in June on Prime Minister Junichiro Koizumi's
visits to the shrine, Koga expressed his view that Japan should
give consideration to its neighboring countries, but he later
changed that view. A senior association member commented on
Koga's proposal: "I think that's his personal view. I don't think
he has decided to make disenshrinement of Class-A war criminals a
policy issue."

In addition to disenshrinement, Koga has made a policy proposal
calling for consideration of the removal of Class-A war criminals
from the Shinto shrine. Political observers think that he aims to
make the Yasukuni issue a major campaign issue in the September
LDP presidential election. Many take the view that he wanted to
cause a stir by making the proposal even though he knows reaching
consensus would be difficult.

14) Justice Ministry likely to limit the number of foreign
residents to 3% of total population, reconsider preferential
treatment now taken toward foreign nationals of Japanese descent

TOKYO SHIMBUN (Page 1) (Excerpts)
May 31, 2006

The Ministry of Justice's (MOJ) project team yesterday ended its
discussions and came up with a policy proposal concerning ways to
accept immigrants. As a medium and long-term goal, the proposal
states that the number of immigrants, excluding special permanent
residents, should be limited to 3% of the total population, and

TOKYO 00002969 011 OF 011


that immigrants would be required to improve their Japanese
language capability as well as other skills when they extend
their stay in Japan. The proposal also seeks to reconsider the
policy of preferential treatment toward foreigners of Japanese
descent, namely, unconditionally offering permanent residence
status to them and instead to apply the same requirements to them
as those applied to other foreigners.

The MOJ intends to make adjustments to this policy proposal after
discussing it with other relevant ministries and agencies in the
coming weeks and then prepare legislation.

The project team was established in the MOJ in last December.
Senior Vice Minister of Justice Taro Kono heads the team.

According to the MOJ's Immigration Bureau, the share of
immigrants excluding special permanent residents, such as South
and North Korean residents, was 1.2% of the total population as
of the end of 2005. Business circles, concerned about the
increasingly aging population and declining birthrate, are
strongly calling on the government to accept more foreign workers
in such areas as nursing care. But Senior Vice Minister Kono
said, "Japan can't follow in the footsteps of European nations
and the United States, where (immigrants) make up 5-10% of the
total population" Kono wants Japan to set some kind of limit on
the increase in immigrants.

According to the policy proposal, the current training programs
for foreign workers intended to accept those foreigners wishing
to learn skills will be abolished because those programs have
been simply used to bring in unskilled workers. Instead, a new
system will be established. Under the new system, if foreigners,
after working as regular employees at firms during a certain
period of time, do not improve their skills and Japanese language
ability, they will not be allowed to continue working in Japan.

Until now Japan has unconditionally offered foreigners of
Japanese descent like children and grandsons of Japanese
nationals permanent residence status that does not restrict their
activities in Japan, such as employment, but the policy proposal
points out the need to reconsider this treatment.

SCHIEFFER

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