DAILY SUMMARY OF JAPANESE PRESS 10//06

UNCLAS SECTION 01 OF 11 TOKYO 005873 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: DAILY SUMMARY OF JAPANESE PRESS 10//06 INDEX: (1) Japan, China agree to improve relations, aiming at strategic reciprocity; "Deep concerns" voiced at summit talks over North Korea's N-test (2) Gist of Japan-China summit meeting (3) Japan, China, South Korea agree to pursue talks on investment agreement, with China shifting from cautious stance (4) First Lady makes debut for first time in five and half years (5) Diet exchange on historical views (6) Schwab coastal plan tops agenda: Kyuma (7) Major companies, including Toyota, to establish think-tank, planning to ask former Prime Minister Koizumi to become adviser (8) Seiron (Opinion) column by Susumu Nishibe: I look forward to in-depth debate on a nuclear Japan (9) James Zumwalt becomes director for Japanese affairs at US Department of State: Important for US and Japan to seek mutual benefits ARTICLES: (1) Japan, China agree to improve relations, aiming at strategic reciprocity; "Deep concerns" voiced at summit talks over North Korea's N-test ASAHI (Top play) (Excerpts) October 9, 2006 BEIJING-Japanese Prime Minister Abe yesterday arrived in China on the first leg of his overseas tour and met with Chinese President Hu Jintao in the Great Hall of the People, soon after his talks with Premier Wen Jiabao and top legislator Wu Bangguo, chairman of the Standing Committee of the National People's Congress. At the summit talks, Japan and China agreed to improve their bilateral relations. In addition, the two countries also agreed to build a "strategic reciprocal relationship" in order to share common strategic interests on North Korea, environmental, and energy issues. The two governments then issued a joint press release that summarized the summit talks. Hu and Wen called for Abe to resolve the history issue, including the problem of former Prime Minister Koizumi's visits to Yasukuni Shrine, which caused the two countries' relations to go from bad to worse. Abe underscored the postwar course of Japan as a pacifist nation and avoided clarifying whether he would visit Yasukuni Shrine or not. Japan and China voiced their "deep concerns" over North Korea's proclamation of its intention to conduct a nuclear test and confirmed their cooperation to denuclearize the Korean Peninsula. Commentary: 1st step to mutual trust Hideto Fujiwara, China Bureau chief Chinese President Hu Jintao spoke highly of Prime Minister Abe for choosing China as the destination of his first official overseas trip among his postwar predecessors, saying it well indicated Abe's TOKYO 00005873 002 OF 011 SUBJECT: DAILY SUMMARY OF JAPANESE PRESS 10//06 stance of attaching importance to the improvement and development of the two neighbors' relationship. Abe himself probably wanted to do so. His meetings with Hu and other Chinese leaders, including Premier Wen Jiabao, were not only held in an amicable atmosphere but also produced many fruits. What is noticeable above all is a new objective in terms of "building a strategic reciprocal relationship" declared in the joint press release, which is the first joint documentation since the Japan-China Joint Declaration of 1998. China has gone no further than a bilateral "friendly partnership" in its relations with Japan while underlining its "strategic relationship" with the United States and Russia to address global issues. One high-ranking official of the Chinese government even said China's strategic relations are only with nuclear powers. Japan has also avoided calling China a "strategic" partner in its bilateral relations with that country, which has a different political system and is not an ally of Japan. In China, however, a number of researchers have recently suggested the need for China to conclude "long-term, across-the-board" strategic relationship with Japan as well in order to ensure "reciprocal" interests in real terms. That is in part because of self-reflection on the extreme stagnation of political relations between the two countries. Last year, Japan and China started a vice foreign ministerial policy dialogue, which Beijing calls a "strategic dialogue." However, it is indispensable to build a relationship of mutual trust in order to build a "strategic reciprocal relationship." China-apparently burned badly by Prime Minister Koizumi's visits to Yasukuni Shrine-has voiced its readiness, both internally and externally, to hold summit talks with Japan if Japan's prime minister does not visit Yasukuni Shrine. However, Abe went no further than to say he would deal with the problem in an "appropriate" manner. The Chinese media referred to Abe's China visit as "breaking the ice" in expectation of improving Sino-Japanese relations. The ice began breaking, indeed. However, one Chinese official says the thick ice was not made due to one day's freeze. The two neighbors have just begun paving the way to a "strategic reciprocal relationship". (2) Gist of Japan-China summit meeting YOMIURI (Page 7) (Excerpts) October 10, 2006 The following are main parts of the Japan-China summit meeting between Prime Minister Abe and Chinese President Hu Jintao. (Outset) President Hu: I met you in March 1997 when you visited China, but I welcome your first visit to China since you took office as prime minister. I think your choosing China as the first country to visit as prime minister fully indicates your stance of improving and developing China-Japan relations. I appreciate this in a highly forward-looking manner. This is the first visit by a Japanese prime minister to China in five years. I think this indicates that China-Japan relations have come to a turning point. I hope your TOKYO 00005873 003 OF 011 SUBJECT: DAILY SUMMARY OF JAPANESE PRESS 10//06 visit to China will become a new starting point for improvement and development of China-Japan relations. Prime Minister Abe: You remember my China visit a long time ago. I am impressed by your wonderful memory. I would like to offer congratulations on the 57th anniversary of the foundation of your country. I am grateful for your welcoming me and my entourage with scrupulous arrangements when you are occupied with the 6th Congress of the Chinese Communist Party, following National Day. I am the first Japanese prime minister who was born after the war. The choice of China as my first foreign visit as prime minister has greatly surprised domestic and foreign audiences. Japan and China are attaching importance to their bilateral relations. (View of wartime history) Prime Minister: Japan has followed a path in its postwar history of 60 years based on the deep self-reflection that it caused massive damage and pain to Asian nations. I would like to seek due appreciation and understanding of the path Japan has followed in the postwar period as a pacifist nation. President: I give high praise to Japan in the hope of and in the belief of its continuing to follow the path for peaceful development. (Yasukuni issue) President: I would like you to make efforts to remove political obstacles to China-Japan relations. Prime minister: I visited Yasukuni Shrine in order to pray for lasting peace. I never meant to glorify militarism. Since this has developed into a diplomatic and political issue, I have decided not to comment on whether I visited it or not or whether I will visit it or not. I would like to properly deal with this issue from the perspective of overcoming political difficulties and promoting the sound development of both countries. Prime Minister: I would like to hold the first meeting between Japan and China for joint research on history before the year's end. President: I agree with you. (North Korea) Prime Minister: The Japanese government is dealing with the abduction issue with dialogue and pressure. North Korea has rejected the United Nation's Security Council resolution and is acting in an insincere manner, such as issuing a declaration that it will conduct a nuclear test. Japan is strengthening measures to deal with the abduction issue, including the appointments of state minister in charge of North Korean abductions of Japanese nationals and special advisor to the prime minister on the abduction issue or the establishment of an abduction issue headquarters led by the prime minister. China's cooperation is indispensable in resolving the issue. I would like you to work on the North more strongly so that it will refrain from carrying out a nuclear test. The best framework for settling the issue is the six-party talks. The North should immediately return to the framework. I would like to continue to closely cooperate with the host nation China. TOKYO 00005873 004 OF 011 SUBJECT: DAILY SUMMARY OF JAPANESE PRESS 10//06 President: I would like to pledge, on the part of the Chinese government, cooperation on the issue. Prime Minister: North Korea's declaration on nuclear testing is a threat not only to Japan but also to the international community. It is unacceptable. Such a test would further stiffen public opinion in Japan. I would like to praise the UNSC president's statement and thank you for your cooperation. President: I support the statement. China will strongly protest a North Korean nuclear test and express concern about it. We would like to discourage that nation from carrying out a nuclear test. (Defense cooperation) Prime Minister: Cooperation between defense officials of our two countries is not sufficient. I would like to propose establishing a mechanism to promote such. President: I will look into such a possibility. I would like to consider such a proposal in a forward-looking manner. (UN Reform) Prime Minister: I would like China to support Japan's entry into the UNSC as a permanent member. President: We will expand dialogue on reform of the UN, including the UNSC. (Summit) Prime Minister: I would like to establish a strategic reciprocal relationship with China. I would like President Hu and Premier Wen Jiabao to visit Japan at an early date. I would like to hold a summit on the sidelines of an Asia-Pacific Economic Cooperation (APEC) forum meeting in November and an East Asia summit in December. President: I agree with you. If we can obtain approval from South Korea, we also like to hold a Japan-China-South Korea summit. (Taiwan issue) President: The Taiwan issue is very important. Prime Minister: Japan's position is consistent. There will be no change in it under my administration as well. (3) Japan, China, South Korea agree to pursue talks on investment agreement, with China shifting from cautious stance NIHON KEIZAI (Page 3) (Full) October 9, 2006 Beijing, Tadanori Yoshida Prime Minister Shinzo Abe and Chinese Premier Wen Jiabao during their talks agreed to pursue cooperation to sign an investment agreement among Japan, China, and South Korea. The objective of the investment agreement is to ban China from discriminating against or setting undue regulations on foreign companies that have made TOKYO 00005873 005 OF 011 SUBJECT: DAILY SUMMARY OF JAPANESE PRESS 10//06 inroads into it. China has veered from its previous cautious stance toward such a request made by Japanese business circles. The issue will be made a common agenda item at the APEC forum meeting in November. The three countries will aim at formally reaching an agreement once such talks have kicked off. During the summit, Abe worked on Premier Wen, noting, "We would like to sign an investment agreement among Japan, China, and South Korea." Wen responded, "I would like to pursue that idea." Japan, China, and South Korea at a summit meeting in Laos in November 2004 agreed to upgrade the investment agreement talks, which they had up until then pursued at the private-sector level, to the government level. Later, the talks lost momentum, with China shifting toward a cautious stance. Japan Business Federation Chairman (Nippon Keidanren) Fujio Mitarai visited Beijing last month. He asked the Chinese side to make efforts to realize the agreement at an early date so as to consolidate an investment environment. Japan and South Korea will likely seek to have the proposed agreement incorporate a clause guaranteeing that foreign companies in China will be able to operate under the same conditions as those imposed on domestic companies. It is said that there are cases in China where the composition of capital subscription in foreign companies is restricted or they are required to meet the China-set ratios of the procurement of materials and exports as conditions for obtaining a permit for business operations. The aim of the agreement is to prevent China from discriminating against Japanese and South Korea companies operating in that nation. Some have noted that the Chinese government suddenly changes regulations imposed on foreign companies operating in China. Japan wants to have a regulation that ensures transparency in administrative procedures incorporated in the agreement. The three countries will also consider the possibility of strengthening the protection of intellectual property rights. Japan and China have already signed a bilateral investment protection agreement. However, this agreement simply stipulates basic matters to be observed, such as that investors' assets should not be seized and that cash remittances by companies should not be obstructed. Regarding some aspects, whether discussion will go smoothly is uncertain, but the Japanese government is of the opinion that, "If the drafting of an investment agreement among the three countries progresses, it will greatly benefit Japanese companies," as an official of the Ministry of Economy, Trade and Industry put it. (4) First Lady makes debut for first time in five and half years TOKYO SHIMBUN (Page 2) (Full) October 9, 2006 Yuji Hiraiwa, Beijing Akie Abe, 44, the wife of Prime Minister Shinzo Abe, who is now accompanying her husband on his China trip, visited a school and an association to help the handicapped in Beijing. Her debut as First Lady was the first time for Japan in five years and six months because former Prime Minister Junichiro Koizumi is single. TOKYO 00005873 006 OF 011 SUBJECT: DAILY SUMMARY OF JAPANESE PRESS 10//06 Akie visited Yuetan Junior High School (integrated junior and senior high school),where the Japanese language is taught. She there met students who had home-stayed in Japan. She told the class her true feelings: "My husband is now meeting with President Hu Jintao. The top leaders present their countries' views and sometimes there are debated. Since we are not politicians, let us just grasp each other's hands and look positively toward the future." At the Chinese association of the handicapped, the First Lady actively exchanged views with the eldest son of the late President Teng Xiaoping on employment policy measures for the handicapped. Asked by a Chinese reporter, "I've heard that you like Korean TV drama, how about Chinese drama?" She responded with a smile, " I will start to learn about the Chinese culture, too, now." (5) Diet exchange on historical views ASAHI (Page 4) (Full) October 6, 2006 The following are the major exchanges between Prime Minister Abe and Minshuto (Democratic Party of Japan) Acting Representative Naoto Kan on historical views. (Kono Statement) Kan: Will you honor the statement (on the comfort-women issue) made by then Chief Cabinet Secretary Yohei Kono? Abe: The statement referred to the government's involvement in recruiting the so-called comfort women. The current administration continues to support it. Kan: Does the prime minister support it? Abe: Since I am prime minister, the government, including me, supports it. Kan: In a Diet question-and-answer session in May 1997, you said, "The premise of the statement has considerably collapsed." Abe: I said there are various doubts over the question of whether the women were forced to provide services in a narrow sense. But even if some were not directly forced to provide such services, in the broad sense, it is true that one could argue such conditions were forced on them. (Murayama Statement) Kan: What do you, Prime Minister Abe, think about the contents of the Murayama statement (apologizing for Japan's wartime acts)? Abe: I do not have any thought in mind about drafting a new statement and reissuing it. My cabinet, too, will keep alive the document that was adopted by (the Murayama) cabinet. Kan: What do you mean by "I"? Abe: Naturally, I mean myself as prime minister. Kan: During the colonial rule, many Asian countries were casualties TOKYO 00005873 007 OF 011 SUBJECT: DAILY SUMMARY OF JAPANESE PRESS 10//06 and suffered from the aggression, and it is clearly stated that our country's policies were wrong. As an individual, what do you think? Abe: There was a statement adopted by the cabinet and issued that took (the view) that aggression was carried out against the South Koreans and the Chinese and others. I think that it was just as the central government pointed out. (Responsibility of war leaders) Kan: Do you take the view that your grandfather's signing a declaration of war against the United States was wrong? Abe: Japan lost that war, and many scars were left for the Asian peoples. The people who were in leadership positions at the time, including my grandfather, were greatly responsible for this. Kan: Is it my understanding that your view is that it was wrong for those leaders to have signed a declaration of war, looking at it today? Abe: Since politics is responsible for the results, it is only natural that the decisions made at the time were wrong. There are various ways to assume responsibility. That is why (my grandfather) tackled the revision of the US-Japan Security Treaty at the risk of his life. (6) Schwab coastal plan tops agenda: Kyuma MAINICHI (Page 5) (Full) October 4, 2006 -- What do you think about the idea of making a permanent law stipulating requirements for the Self-Defense Forces to engage in international peace cooperation activities? Defense Agency Director General Fumio Kyuma: I hope we can make that law. However, we've yet to have such a law. When Japan actually sends SDF members overseas, the government would have to ask for Diet approval. Another problem is what to do about interactions with United Nations resolutions. In the past, we needed to create the Law for Cooperation on United Nations Peacekeeping Operations and the Iraq Special Measures Law. I wonder if we can easily unify these laws into one. I think it would be better to tackle this matter through a national debate. -- There's an argument about whether Japan should have the capability of striking enemy bases. Kyuma: So far, Japan has taken the position that it will play the role of a 'shield' but expects the United States to play the role of a 'spear' under the Japan-US Security Treaty. It's all right to debate, but it's not time for the government to set forth a policy course of acquiring the capability of striking enemy bases. We should show consideration so that we will not cause them to become unnecessarily cautious. -- Japan and the United States agreed in their talks over the realignment of US forces in Japan to relocate the heliport functions of Futenma airfield in Okinawa Prefecture to a coastal area of Camp Schwab. How do you evaluate this Camp Schwab coastal plan? Kyuma: I think it's a good idea. I think there's no room to retouch TOKYO 00005873 008 OF 011 SUBJECT: DAILY SUMMARY OF JAPANESE PRESS 10//06 the plan. -- It seems that Okinawa's local communities are still strongly crying out against that relocation plan. Kyuma: We need their understanding. The US military's deterrent capability gives a sense of security to us all. But then, there are too many US military bases on Okinawa. So we want to reduce their footprints. We will relocate Futenma airfield to Camp Schwab and will also move Marines to Guam. I want people in Okinawa to recognize this to be a further step forward. This is good for both Okinawa and Japan, so it's a matter of top priority. -- How long are you thinking of continuing the Air Self-Defense Force's airlift support in Iraq? Kyuma: There's a (legal) time limit, so I cannot say we will continue it as long as we like. If we modify the masterplan (in December),then we can go on. We will renew the plan if we need to. I think there are still needs for airlift services for a while. (7) Major companies, including Toyota, to establish think-tank, planning to ask former Prime Minister Koizumi to become adviser YOMIURI (Page 2) (Full) October 9, 2006 Leading companies, including Toyota Motor Co. and Canon Inc., plan to set up a think-tank that would cover international politics, security affairs, and economic issue, it was learned on Oct. 8. The sponsors are now working on former Prime Minister Junichiro Koizumi to serve as an advisor to the think-tank. They will announce the plan next week. The major companies, believing that policy-making should not be entirely entrusted to bureaucrats, plan to have the think-tank present policy proposals to the government. The think-tank reportedly will be modeled after Brookings Institution, which is involved in the policy-making of the US government. The major firms want Koizumi to utilize his personal connections with foreign leaders to help its policy-making and dispatch of information t_JecE< will likely finance over 10 million yen each. Naoki Tanaka will head the institute. Tanaka currently heads the 21st Century Public Policy Institute. The think-tank's head office will be set up in Nihonbashi Mitsui Tower, in Chuo Ward, Tokyo. (8) Seiron (Opinion) column by Susumu Nishibe: I look forward to in-depth debate on a nuclear Japan SANKEI (Page 11) (Full) October 7, 2006 By Susumu Nishibe, critic and president of Shumei University There is a limit to America's "nuclear umbrella" The Institute for International Policy Studies (IIPS) led by former Prime Minister Nakasone came up with this suggestion recently: "In preparation for a future dramatic shift in the international TOKYO 00005873 009 OF 011 SUBJECT: DAILY SUMMARY OF JAPANESE PRESS 10//06 community, a nuclear option should be discussed." This was perhaps the first, somewhat positive suggestion made by an organization having links to the administration about the question of whether Japan should go nuclear. I laud the suggestion that came surely on the strength of Nakasone, a highly decorated statesman who is influential even now in the political world. I read IIPS's suggestions. In the report, "independent defense strategy" and "a tolerance of the exercise of the right to collective self-defense" are advocated. But the report also follows the existing defense policy pillared by firmly upholding the position of a nonnuclear power, strengthening the nuclear proliferation treaty (NPT),and solidifying the Japan-US alliance. Regrettably, I must say this level of perception and attitude fail to touch the heart of the nuclear issue, as well as the essence of self-reliant defense. The important thing is to assess the story we have been told until now that "Japan has been under America's 'nuclear umbrella'" as almost a fallacy. If intercontinental or submarine-launched ballistic missiles were to be fired, the US mainland itself would be exposed to nuclear attacks. It is unlikely that the US would overcome its fear and conduct a retaliatory nuclear attack against (a common enemy for Japan and the US) for the sake of Japan. In addition to the nuclear umbrella, even the "intercept missiles" (IM) the US is selling to Japan have a poor performance, according to experts in the know. If that is true, as long as Japan remains nonnuclear, it will be unable to acquire any powerful capability to deter war (including a nuclear deterrent). That's why Japan tends to end up being wimpy when it comes to its posture of independence defense. Two nonnuclear principles are only ruinous to the country The US, which knew all thislong ago, foresees: "Japan has no way but to become America's protectorate, and the Self-Defense Forces are merely the US Far East forces' tool." In fact, this sort of view was once professed by Zbigniew Brzezinski, a leading international political scientist. Most Japanese accept that notion and advocate that "the Japan-US alliance should be strengthened for security and survival," even though Japan as "a state" may lose "self-respect and independence." In view of the nuclear issue, however, if our nuclear-free archipelago does not turn into America's territory (or one of its states but without voting rights),the archipelago's safety and survival remain in jeopardy. The US -- I am talking about the government and not academic circles -- is well aware of that and has been opposed to Japan going nuclear. The NPT was established in this context. A nonnuclear country regards an alliance as its last resort, but such thinking is a way for that country to end up a vassal of that other state. I can say postwar Japan has been ruled by the "two nonnuclear principles," namely that Japan allows the US to "introduce" nuclear weapons into the archipelago for America's interests, but Japan does not "produce or possess nuclear weapons" for the sake of Japan's interests. I wonder why this sort of dangerous defense argument has been accepted here in Japan. The reason is deeply concerned with Japan's trauma stemming from its defeat in the war with the US (but existing on a subconscious TOKYO 00005873 010 OF 011 SUBJECT: DAILY SUMMARY OF JAPANESE PRESS 10//06 level). Because of such views of the world stemming from the fear of the US as: "Only the US can defend itself independently"; and, "The world is moving in a unipolar direction led by the US," Japan has already been reduced to being a subject state of the US. Japan needs to break away from its lost war trauma Independent defense does not mean single-handed defense. States that lose confidence and are worried they would not have either allies or friendly nations on equal terms always cling to the strongest military power in the belief that it is impossible to defend themselves on their own. With an independent defense, an independent country can put together single-handed defense system (in preparation for a worst-case situation) at the heart of its defense network. In order to reinforce that defense network, military treaties and pacts can be concluded with allies and friendly nations. In addition, when it compromises with a potential enemy, it gives priority to its own decision (over another country's order). Those people suffering from a we-lost-the-war trauma throw away traditions (or traditional common sense). But doing so is equivalent to throwing away the basis of the national spirit, and the people's independent judgment only goes down accordingly. As a result, the people suffer not only from a nuclear allergy but also a hypersensitivity to "combat power and armed conflicts," even for self-defense (as stated in the current Constitution). Moreover, even a hypersensitivity to the term "nation state" (the people and their government as a state) is spreading without making no distinction between the nation and the state. When we think about an idea of independent defense, an argument for nuclear armament is indispensable. In a multipolar world, nuclear power is necessary as macht for the "balance of fear," and it also affects the formation, interpretation, and operation of international recht. But what must be done before the Japanese reach this simple truth is to resolve what is called the "America problem" concerned with Japan's postwar mentality, especially, the skewed images of human beings and the world. (9) James Zumwalt becomes director for Japanese affairs at US Department of State: Important for US and Japan to seek mutual benefits TOKYO SHIMBUN (Page 3) (Full) October 8, 2006 When James Zumwalt was a high school student, he wanted to study in Germany. He was, however, sent to Japan. He lived with a Japanese family in Yokohama without knowing anything about Japan. Thirty-three years later, he assumed the post in charge of drafting US policy toward Japan. "When I think back, I was really lucky," he said. Zumwalt served at the US Embassy in Tokyo until July this year. He lived in Japan, including Kobe and Akita, a total of 14 years and visited all 47 prefectures. Although he thought communication in Japanese was difficult, he has now little difficulty communicating in Japanese, "Thank to Japanese people who watched and encouraged me patiently," said Zumwalt. He described the present Japan-US relations as "excellent." He assumes a great responsibility to rebuild, improve, and strengthen TOKYO 00005873 011 OF 011 SUBJECT: DAILY SUMMARY OF JAPANESE PRESS 10//06 the good bilateral ties along with the new Japanese government. He said: "When I entered the Department of State, there were many issues to be resolved between the United States and Japan. The two countries, overcame the situation, however, are now cooperating in dealing with multinational issues." He has stressed that it is important for the two countries to seek win-win outcomes. His wife also works at the State Department. They got to know each other during their first assignment in Japan. "There is a Japanese expression shanai kekkon (office wedding),but what do you say when it's shonai (within the same government department)?" He and his wife enjoyed hot springs in Japan. He was born in California. He is 50 years old. SCHIEFFER