DAILY SUMMARY OF JAPANESE PRESS 02/17/06

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SUBJECT: DAILY SUMMARY OF JAPANESE PRESS 02/17/06


INDEX:

(1) Intensive debate on Livedoor scandal; What is Horie's real
intention of sending 30 million yen to Takebe's son? Opposition
to pursue accountability of Koizumi; LDP may submit disciplinary
motion against Nagata

(2) Livedoor shock: Market fundamentalism destroys morals, ethics

(3) Minshuto (Democratic Party of Japan) leader Maehara firm
about describing China as a threat, despite possible objections
in the party; Prelude to party presidential race?

(4) Calls for hard-line measures against North Korea growing
stronger; Government studying ways to apply pressure

(5) Interview with University of Shizuoka Prof. Hajime Izumi on
North Korea: Pyongyang paying close attention to Tokyo's intent
for normalization; North wants to confirm Pyongyang declaration
as a cornerstone of bilateral ties

(6) Final ODA reform plan calls for continued use of the name
JBIC

(7) Interview with former Ambassador to US Kuriyama, Kyorin
University Prof. Takubo on Prime Minister Koizumi's visit to
Yasukuni Shrine, soured Japan-China ties

ARTICLES:

(1) Intensive debate on Livedoor scandal; What is Horie's real
intention of sending 30 million yen to Takebe's son? Opposition
to pursue accountability of Koizumi; LDP may submit disciplinary
motion against Nagata

YOMIURI (Page 3) (Slightly Abridged)
February 17, 2006

At a House of Representative Committee session yesterday,
lawmaker Hisayasu Nagata of the largest opposition party Minshuto
(Democratic Party of Japan) charged that former Livedoor Co.
President Takafumi Horie had sent an internal e-mail directing
his staff to pay 30 million yen to the second son of Liberal
Democratic Party (LDP) Secretary General Tsutomu Takebe. Nagata's
claim is now creating a stir. It is certain that this issue will
become a main subject at an intensive deliberation today at the
Budget Committee.

At yesterday's Budget Committee session, Nagata, who was posing
questions on relations between the LDP and Horie regarding last
year's Lower House election, suddenly started reading out a memo
that said:

"I want you to arrange for me to transfer 30 million to (the son
of Mr. Takebe) by the 29th if possible, but by the 31st at the
latest. I want you to list" in the company's account book "as
consulting fee for campaigning."

Nagata claimed that the memo was Horie's e-mail on Aug. 16
instructing his staff to send money to the second son (of
Takebe). Citing the real name of Takebe's son, Nagata criticized
Takebe, stating in a strong tone, "I assume that he supported
Horie's campaign since he had received the money. He might sell

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his soul for money." The session was thrown into a commotion as
LDP lawmakers jeered at Nagata.

Committee Chairman Tadamori Oshima urged Nagata "to be careful
about referring to the name of a private citizen." Nagata,
however, insisted, "I have the information on where the money
came from and the bank account to which it was sent, as well as
when the money was transferred to that account." He then
continued, saying, "If you question the credibility of the
information, I want someone to prove it." He then demanded that
Takebe and his son be summoned before the Diet as unsworn
witnesses.

Minshuto has stepped up the offensive against the government and
ruling coalition regarding the so-called "set of four issues,"
including the bid-rigging scandal involving the Defense
Facilities Administration Agency (DFAA). The largest opposition
party is now, however, focusing at the intensive deliberations on
a relationship between Horie and Takebe, which has come under
criticism from some LDP members. The party intends to pursue the
accountability of Prime Minister Junichiro Koizumi, who is also
president of the LDP. That's why Nagata brought up the e-mail
issue yesterday. Reportedly only some senior Minshuto members,
including party head Seiji Maehara, knew the contents of the memo
in question.

Soon after the committee session took a break, Takebe called
committee director Toshimitsu Motegi in the office of LDP
secretary general at the Diet building. Takebe then telephoned

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his son and was told by him "there was no such fact." Motegi then
talked with Takebe's son on the phone, and he received the
explanation from him.

Takebe's son once operated a restaurant, an Internet securities
firm and other businesses. He now runs an apparel shop in Tokyo.
Horie reportedly was one of his business associates who run
Internet companies.

If Nagata's accusation is proved, "Mr. Takebe will not be
forgiven as a politician," said Minshuto policy chief Komei
Matsumoto. Such a view will unavoidably become stronger. Some say
that Takebe would have no choice but to resign. However, the view
is strong questioning the credibility of Nagata's information. If
Nagata's information is not credible, will be put in a difficult
position. As a result, Minshuto would have to weaken its pursuit.

Nagata said, "I've got the information through a freelance
reporter." He reiterated that he was unable to reveal the details
about the details because of the safety of the news source. For
the same reason, he distributed to the press corps the notes
describing the contents of the e-mail, but did not give out
copies.

All the more because Nagata stirred up a controversy with his
radical words, LDP lawmakers are suspicious about his
information. Nagata is serving in his third-term in the Lower
House, after working at the former Finance Ministry. In 2000, the
LDP submitted to the Diet a disciplinary motion against him for
having wrestled with LDP Upper House lawmakers at a session to
deliberate the election system reform. Recently a New Komeito
lawmaker criticized Nagata at a Diet session, "Mr. Nagata made an
unforgivable remark that victims of the earthquake-resistance
data calcification scam want to set a fire."

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The LDP intends to urge him to present the grounds for the
accusation.

If 30 million yen was really paid to Takebe's son, there are
problems in terms of the election law and the tax code

According to the Ministry of Internal Affairs and Communications,
under the Public Offices Election Law, the ceiling for an
election campaign expense is decided based on the number of
voters in an electoral district. The ceiling for the Lower House
Hiroshima No. 6 district, from which Horie ran in the election,
is about 24.2 million yen. If he violates the election law, the
person in charge of accounts will be sentenced to three years or
a fine up to 500,000 yen and the guilt-by-association system will
be applied to the candidate. But no one has been charged so far.

Depending on who paid the 30 million yen to Takebe's son --
Livedoor or Horie -- different taxation problems will come out.

If prosecutors find that Livedoor sent the money to Takebe's son,
the money will be recognized as "loan" to Horie or "director's
bonus." If prosecutors find the company entered the money into
its account book as expenditure, tax authorities will not
recognize the money as a "loan" or "director's bonus." If
prosecutors find Takebe's son did not declare the money to a tax
office, a taxation problem will occur.

A source connected with Minshuto pointed out, if election
campaigns are including in the consulting job for campaigning,
there is a possibility that both Horie and Takebe's son will be
charged with bribery.

(2) Livedoor shock: Market fundamentalism destroys morals, ethics

SANKEI (Page 1) (Slightly abridged)
February 8, 2006

By Masahiko Fujiwara, professor at Ochanomizu University

I wrote this passage in my book Kokka no Hinkaku (The Dignity of
the State),published last year:

"Americanization, including the market fundamentalism that has
been the basis for Japan's ongoing economic reforms, knows no
bounds. It has swept across the country, profoundly affecting not
only Japan's economy but also its society, culture, and
nationality. The present-day Japanese, who are obsessed by
mammonism, do not look on a law-bending takeover attempt backed
by financial strength - which may be described as a money game -
as dirty trick or crassness."

I wrote this, with Livedoor Co. President Horie's words and deeds
in mind.

Later, prosecutors raided Livedoor. Mr. Horie was arrested. I
think Horie's arrest itself is of no significance.

What should be called into question with the arrest of Mr. Horie?
Is it the Securities and Exchange Law or the Securities and
Exchange Surveillance Commission? Or is it a problem that the
Liberal Democratic Party (LDP) in effect backed Mr. Horie as an
"assassin" candidate in last year's Lower House election? Yes,

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backing him was a problem, but I can say a more serious problem
is that many Japanese gave support and favored someone like Mr.
Horie.

When Mr. Horie attempted to take over Nippon Broadcasting System
last year, the company employees declared their objections to the
idea of becoming a subsidiary of Livedoor. Mr. Horie, however,
paid no attention to their wishes and coolly pursued the takeover
attempt. Many Japanese viewed the attempt as a battle between a
crafty, seasoned old man and a reformist-minded younger man
trying to break the stifling atmosphere in Japan. They rooted for
Mr. Horie.

Society losing stability

Why did this sort of thing happen? The reason lies in market
fundamentalism.

For example, based on the logic that a company belongs to its
stockholders, should the corporate manager fail to achieve a good
result in a short run, that manager would be dismissed. To avoid
this, corporate restructuring and a performance-based salary
system become important, even though Japanese management had not
used them in the past. The performance-based pay system would
bring the opportunity for pay increases to competent personnel on
the one hand, while average people would surely see their
salaries decrease on the other. In addition, the number of
permanent employees would be cut and the number of nonpermanent
employees, whose labor cost is half that of permanent employees,
would increase instead. The lifetime employment system - the most
excellent working system in the world that has ensured employees'
loyalty to the company - is being abandoned.

Even if you study hard and graduate from a good school, you will
find it difficult to get a job because new hiring is limited.
Even if you are hired by a big company, that does not ensure job
security, and you could be fired at any time. If that is the
case, it is of no use studying hard or continuing to stay in an
ordinary job. Instead of this, it is wiser for you to become an
information technology (IT) "hero." This tendency is prevailing
in Japan. All this considered, I would say it is only natural
that young people adored Mr. Horie.

Additionally, the declining birthrate is a major issue. The root
cause is that our society has lost its stability under the
influence of market fundamentalism. The public surely feels that
this society cannot make children feel happy. Raising children
requires huge labor from women as well as men. But this kind of
labor is taken as a disadvantage under the performance-based pay
system. Young people eventually become reluctant to have
children.

Winners and losers

Market fundamentalism seeks to eliminate regulations, calling
them obstacles to free competition. But regulations are
definitely necessary to protect the weak.

Market fundamentalism polarizes the nation into a small group of
winners and a large group of losers and does not allow people to
exist outside of one of these two categories.

In this sort of society, the public focuses solely on how to back

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the winner. In other words, every citizen of the nation becomes a
fence sitter. Recently I've come to realize there are some who
hold a critical view of a military general of the Nagaoka clan in
the last days of the Tokugawa shogunate, Tsuginosuke Kawai, and
the Aizu clan, describing them as not being quick at seizing an
opportunity. This would mean that one Japanese virtue, remaining
loyal, is now seen as something stupid.

Widening disparity in wealth

Imagine what would happen to society if it were trampled down by
market fundamentalism. The United States is a good example of
this. The average annual income of corporate managers in that
country is 1.3 billion yen, while that of the rank and file is
three million yen. The US infant mortality rate is higher than
that of even the autocratic state Cuba. The reason is that many
Americans cannot afford health insurance. In the US, citizens
have to somehow survive cutthroat competition. For this, the US
has dozens of times as many lawyers and psychotherapists as
Japan. Their businesses are thriving.

Of the 13 members of the Organization for Economic Cooperation
and Development (OECD),Mexico has the largest disparity in
wealth, followed by the US. Where do you think Japan ranks?
Japan, which was once a country in which everyone was said to be
middle class, now ranked number five.

Shedding the national character that had been its pride in the
world, Japan is running on the path to becoming a vulgar and
coarse society like the US.

The Japanese public, albeit obscurely, is in fear of living in
such a society. This fear leads to a sense of impasse felt by the
Japanese. The root cause lies in market fundamentalism, but the
people, unaware of this, supported Mr. Horie, who is the child of
(market fundamentalism).

When incidents like the Livedoor case occur, legal measures are
quickly prepared. Doing so may be unavoidable, but a country that
is ruled by a broad range of laws is shameful, I think. The
essence of the incident this time is that market fundamentalism
hurts not only the economy and society but also the beautiful
virtues of the Japanese. The most wonderful country, in my view,
is a country where the people discipline themselves with their
strong awareness of morals and ethics, as Japan did in the past.

Masahiko Fujiwara: Born in Manchuria in 1943 and is a
mathematician. Graduated from University of Tokyo Faculty of
Science and is now a professor at Ochanomizu University after
holding such posts as research fellow at the University of
Michigan and associate professor at the University of Colorado.
Majored in indefinite equations. Is the author of such books as
Wakaki Suugakusha no America (The America of a Young
Mathematician),Harukanaru Kenburijji (Far Away Cambridge),and
Sokoku to wa Kokugo (The National Language is the Homeland). Was
awarded the Seiron Shimpu Prize for his writing.

(3) Minshuto (Democratic Party of Japan) leader Maehara firm
about describing China as a threat, despite possible objections
in the party; Prelude to party presidential race?

NIHON KEIZAI (Page 2) (Almost full)
February 16, 2006

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Minshuto will give shape to its unified view about China's
military strength before the end of the month. The party
leadership, including President Seiji Maehara, intends to specify
in the unified view that China is a "real threat," but they also
intend to express their desire to strengthen friendly relations
with China by removing concerns through continuing dialogue. This
would be the first hurdle Maehara has to clear before unifying
the party view next on foreign and security policy in June, a
challenge on which he has staked his presidential post. It is
also likely to be a prelude to the presidential race slated for
September, given possible objections to Maehara's attitude from
his party members.

The party's next cabinet's Foreign Minister Keiichiro Asao and
Defense Agency Director-General Akihisa Nagashima will soon
prepare a rough draft of the unified view and present it to the
party's joint foreign and defense affairs meeting. The draft is
likely to continue Maehara's view of looking on China as a threat
as he had stated in a speech in the United States last December.

The government does not recognize China as a threat at present.
In the written government reply approved at a cabinet meeting in
January, "threat" is defined as coming to the fore when a
capability of invading other countries and an intention to invade
other countries join hands. This written reply indicates that
Japan does not think China has any intention to invade.

But the Minshuto leadership's basic position is that China could
be recognized as a threat, given its capabilities, including "its
increased military spending at the pace of 10% or more annually,
its deployment of missiles to cover Japanese territory and its
nuclear weapons," according to Maehara, even though it does not
have any intention to invade. By recognizing that country as a
threat, the party intends to highlight the importance of
diplomatic efforts to avoid disputes.

The party's unified view is likely to mention the need to promote
cooperation (with China) in such areas as energy and the
environment, as well as to enhance the transparency (of China's
military spending) via military exchanges. It also aims to cast a
critical eye on Prime Minister Junichiro Koizumi who as a result
of his continued visits to Yasukuni Shrine, has almost failed to
have a top-level exchange with China.

This tone is gaining a certain degree of understanding among the
party's conservative lawmakers. If he succeeded in getting a
consensus also on the view of allowing the exercising of the
right to collective defense but with conditions attached by
containing objections from former socialists in the party,
Maehara could strengthen his cohesive power in the party, thereby
possibly gaining an advantage in fighting the presidential race
in September.

"Your thinking is behind the times," Maehara told Yoshio Hachiro
on Feb. 14. Hachiro is a former socialist and an aide to Lower
House speaker Takahiro Yokomichi. Hachiro advised Maehara not to
rush to get a consensus on foreign and security policy, but
Maehara did not listen to him.

Secretary General Yukio Hatoyama held talks with Ichiro Ozawa in

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Tokyo on Feb. 8. Hatoyama told Ozawa: "Our party is pursuing the
shadow of the Koizumi cabinet. I'd like you to support President

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Maehara." Ozawa remained silent.

(4) Calls for hard-line measures against North Korea growing
stronger; Government studying ways to apply pressure

NIHON KEIZAI (Page 2) (Abridged)
February 17, 2006

Calls are growing stronger for a hard line against North Korea
following the Japan-North Korea intergovernmental talks earlier
this month that failed to bring progress to the issue of Japanese
nationals abducted to North Korea. The Liberal Democratic Party
(LDP) decided yesterday that if the abduction issue fails to see
a settlement, the party would draft North Korean human rights
legislation obligating the government to impose economic
sanctions on North Korea. The government also decided at its
director general-level meeting to study using pressure by
strictly applying existing legislation to the North.

At yesterday's LDP abduction issue taskforce meeting, many
members criticized local governments' preferential tax treatment
for facilities connected with the pro-Pyongyang General
Association of Korean Residents in Japan (Chongryon).

The meeting also decided to approve an outline of the North
Korean human rights legislation to get it approved in the current
Diet session.

The LDP characterizes it as the third sanction against the North
following the revised Foreign Exchange and Foreign Trade Control
Law and the Law Banning Specific Ships from Entering Japanese
Ports.

The major opposition Minshuto (Democratic Party of Japan) is also
planning to submit to the current Diet session legislation to
rescue victims of crimes against human rights, with North Korean
defectors in mind. The Diet may pass a new sanctions law in the
current session on the back of growing public opinion critical of
North Korea.

A group of lawmakers, including Upper House member Ichita
Yamamoto, has briefed Chief Cabinet Secretary Shinzo Abe on the
outline of the North Korean human rights bill. Abe was visibly
pleased with their efforts to establish new legislation. The
government's position is to keep channels for dialogue with the
North alive and do away with economic sanctions legislation for
the time being. A person close to Abe explained: "If the LDP
hardens its stance, it will help the government elicit
compromises from the North behind the scenes in intergovernmental
talks."

The government will speed up its efforts to come up with ways to
apply pressure on the North by strictly applying existing
legislation under the initiative of the Prime Minister's Official
Residence (Kantei). In yesterday's abduction issue expert council
meeting of senior officials of concerned government offices, the
Internal Affairs and Communication Ministry reported that some
local governments have been considering reexamining preferential
tax treatment to Chongryon-related facilities.

The expert council also appointed Cabinet Office Parliamentary
Secretary Eriko Yamatani as officer in charge of support for

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abductees and their families. The group also decided to improve

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the abduction issue corner in the Kantei website.

The outlook for the next round of government-to-government talks
looks gloomy, as such a trend in Japan is certain to draw a
fierce reaction from the North.

(5) Interview with University of Shizuoka Prof. Hajime Izumi on
North Korea: Pyongyang paying close attention to Tokyo's intent
for normalization; North wants to confirm Pyongyang declaration
as a cornerstone of bilateral ties

ASAHI (Page 15) (Full)
February 16, 2006

Hajime Izumi, a professor at the University of Shizuoka, is well
informed on the Korean Peninsula situation. The Asahi Shimbun
interviewed him on what will come out of the recent talks between
Japan and North Korea and what challenges are in store.

-- What's your view of the talks this time?

Izumi: It was the first round, so we'll have to wait for the
talks to go through several more rounds to see what kind of
results they can produce. The Japanese delegation was willing to
go on with the talks. But it's difficult to continue them if the
North does not take any action on the abduction issue. That's the
atmosphere in Japan, and North Korea understands that. The North
wonders if Japan really wants to normalize diplomatic relations.
They suspect that Japan might not be interested in anything but
the abduction issue. They will not show their card on the
abduction issue until they see if Japan is serious about
normalization.

-- How do you think Japan should respond on the abduction issue?

Izumi: The most important thing is the abduction issue. At the
same time, however, Japan will need to tell them that Japan will
also work hard to normalize diplomatic relations if the abduction
issue and security issues are settled. Otherwise, North Korea
won't respond. There's no problem as far as the government
applies the current law even more strictly to put the screws on
the North. They might stiffen their attitude, but they won't call
off the talks.

-- In the normalization talks, too, North Korea called for
compensation. There's a gap with Japan.

Izumi: That's what North Korea has claimed time and again. If the
bilateral talks boil down to a certain extent, they might even
retract that claim, I think. But speaking from their way of
thinking, they will say whatever they like to say, even while
knowing that may not go well.

-- How do you think North Korea will come out?

Izumi: I still have no idea. (Korean Workers Party) General
Secretary Kim Jong Il doesn't have to attain diplomatic

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normalization while Prime Minister Koizumi is in office, so he's
free from pressure. But General Secretary Kim is probably
conscious of his age. There are five years or so left before he
turns 70. I wonder how much he can do during that time. They've
had nothing remarkable in their relations with Japan and the
United States since the 1990s. After the Soviet Union's collapse,

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they only accomplished something in their ties with China and
South Korea. That's all they've got. If they think of trying to
rebuild or develop their country, there's no choice but to
improve their relations with Japan and the United States. That's
the only way left for the North.

-- In the talks, Japan delivered Prime Minister Koizumi's message
to General Secretary Kim.

Izumi: Japan can tell them that the Japan-DPRK Pyongyang
declaration is a cornerstone of bilateral relations between Japan
and North Korea. If we do so, North Korea can go ahead. That's
because the Pyongyang declaration is a very important document
that was signed by General Secretary Kim himself. North Korea
fears the case where the post-Koizumi government scraps the
Pyongyang declaration. I'm not saying the bilateral relationship
between Japan and North Korea will be undermined. It will hurt
the justifiability of General Secretary Kim. The North probably
wants to confirm while the Koizumi government is in office that
the Pyongyang declaration will remain the foundation of bilateral
relations between Japan and North Korea.

-- What about reactions from the US, China, and South Korea over
the Japan-DPRK talks?

Izumi: In the past three years, Japan has talked with North Korea
about the abduction issue only. Now, unlike before, Japan is
ready to negotiate various other issues in wide-ranging areas.
This stance gets high marks not only from China and South Korea
but also from the United States. That's because the United States
can share most security issues with Japan.

-- Will the bilateral talks affect the suspended six-party talks
over North Korea's nuclear programs?

Izumi: It was important for Japan to tell the North that security
is a matter of serious concern to Japan. They think Japan is
better than China to get things transmitted to the United States.
The six-party talks could resume late this month at the earliest
if the moneylaundering issue is settled. But even if the six-
party talks were resumed, they would only set up working groups.
North Korea will probably assume a wait-and-see attitude until
this November's off-year election in the United States.

(6) Final ODA reform plan calls for continued use of the name
JBIC

MAINICHI (Page 1) (Abridged slightly)
February 17, 2006

The government and the Liberal Democratic Party (LDP) have
crafted their final plan to reform the official development
assistance (ODA) program. The plan is designed to dissolve the
Japan Bank for International Cooperation (JBIC) to integrate its
yen loan department into the Japan International Cooperation
Agency (JICA) and its international financial department into the
new government-affiliated financial institution to be established
by absorbing all state-run financial institutions. The government
and LDP have also decided to continue to call the new financial
institution's international department the JBIC and keep its top
post in line with the LDP Policy Research Council's view.

The Council on Overseas Economic Cooperation (chaired by former

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Public Prosecutor General Akio Harada),established under Chief
Cabinet Secretary Shinzo Abe, is expected to unveil the plan
today.

The government has decided to continue to use the name JBIC in
consideration of business circles putting importance on the
JBIC's high international recognition. The JBIC will serve as the
international department in the government's new financial
institution, which is likely to be placed under the jurisdiction
of the Finance Ministry. A retired government official may assume
its top post, as before.

Currently, 13 government agencies, including the Foreign
Ministry, are responsible for planning ODA projects; the JBIC and
JICA are responsible for implementing yen loans and providing
technological cooperation, respectively; and the Foreign Ministry
for grant aid. Under the new system, what is tentatively called
the External Economic Cooperation Council will handle the ODA
exclusively.

(7) Interview with former Ambassador to US Kuriyama, Kyorin
University Prof. Takubo on Prime Minister Koizumi's visit to
Yasukuni Shrine, soured Japan-China ties

SANKEI (Page 5) (Full)
February 17, 2006

Japan and China are at a deadlock in their ties. Beijing has been
refusing to hold a summit meeting of the two countries' leaders,
and Tokyo remains unable to find a way out of the impasse. Some
deem it difficult to fundamentally improve the relations all the
more because China is exploiting Prime Minister Junichiro
Koizumi's annual practice of paying homage at Yasukuni Shrine as
a diplomatic card. In the meantime, Takakazu Kuriyama, a former
ambassador to the United States, wrote an essay,
"Reconciliation-Challenges facing Japan's diplomacy," for Gaiko
Forum in its January and February issues, calling for Koizumi to
stop visiting the shrine. However, Tadae Takubo, a visiting
professor at Kyorin University, wants the premier to continue his
Yasukuni visit. The Sankei Shimbun interviewed both of them.

Stop visiting the shrine: Kuriyama

-- You urge Prime Minister Koizumi to stop visiting Yasukuni
Shrine. What's your real motive?

Kuriyama: Prime Minister Koizumi has said he visits Yasukuni
Shrine to "mourn for people who died in the war" and to "renew a
pledge not to fight a war." There's not the slightest doubt about
the prime minister's sentiment. Also, half of the responsibility
rests with China for the two countries' failure to reconcile
well. However, Japan, as a country that victimized its neighbors,
should face up to history and self-reflect on that, and Japan
must continue its efforts to have that reflected in its foreign
policy and in its Asia policy. We can't attain reconciliation
until China and South Korea see Japan as differing from what it
used to be in the prewar days. It's important for Japan's
national security to stabilize relations with South Korea, and I
think Japan will look different in its state and dignity
depending on whether Japan can be well reconciled with these two
countries.

-- The prime minister has noted that compromising on the Yasukuni

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issue is one thing and getting along well with each other, that
is, between Japan and China, is another.

Kuriyama: It's difficult to reconcile Japan and China. The
biggest reason for that is nationalism on the side of China. The
Communist Party of China justifies its existence at home. They
say they won in their war of resistance against Japan. That's the
biggest reason for them to assert the party's justifiability.
Indeed, I can't expect China to stop raising history issues even
if a Japanese prime minister refrains from visiting Yasukuni
Shrine. It's unrealistic to expect China's policy toward Japan to
change in a visible way when it comes to oil and gas exploitation
in the East China Sea, territorial claims over the Senkaku
islets, or Japan's bid for a permanent seat on the United Nations
Security Council. If that is why Japan does not make efforts for
reconciliation, that's wrong as a matter of diplomatic stance.
Reconciliation is not just between Japan and China. That's the
question of how to get along with the international community as
a whole.

-- Since the war ended, many Japanese prime ministers have paid
homage at Yasukuni Shrine. Is this also wrong?

Kuriyama: I think so. When I was a bureaucrat of the Foreign
Ministry, I kept from saying anything that differs from the
political judgment at the time. However, I thought to myself that
Japan's policy during the first half of the 20th century was
consistently wrong. I think the greater part of those who were
victimized in the war fought purely for Japan and lost their
lives. It's only natural and not strange for the Japanese people
to mourn for their souls. However, in the case of the prime
minister and government officials bearing responsible positions,
their visits to Yasukuni Shrine will undoubtedly cause the
international community to wonder if they're really doing so
purely for that.

-- What made you write that essay at this point of time?

Kuriyama: I have a very serious sense of crisis about the rise of
nationalism. Former Chinese President Jiang Zemin irritated
Japanese nationalism when he visited Japan in 1998. That
deteriorated Japanese sentiment toward China. In recent years,
Japanese nationalism has been growing strong. The international
community might have a feeling of vague anxiety, probably
wondering where Japan is going.

-- The international community's feeling of anxiety comes from
misunderstanding, doesn't it?

Kuriyama: That's where my view differs a little. Unlike Germany,
Japan has made no appropriate overview of its conducts during the
first half of the 20th century when Japan took imperialistic
policy and expansionism. That's the problem remaining left
behind.

-- History has yet to come up with a definite evaluation of the
past war.

Kuriyama: When I was director general of the Treaties Bureau at
the Foreign Ministry, I stated before the Diet that the
international community regards that as a war of aggression. The
Japanese people might disagree to that view. However, the
international community has already handed down its judgment. If

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a Japanese prime minister tells the United States that that war
was a war for self-defense, Japan and the United States can't get
along with each other. Unfortunately, the history of mankind has
seen a number of wars. Most of those histories were written by
those who won wars. Those who lost wars might think that is
unfair. However, histories written by winners have been accepted
as histories. The Japanese people must accept that.

Continue to visit the shrine: Takubo

Mr. Kuriyama sounds as if to say Japan's foreign policy toward
China and South Korea is in a fix. However, Japan was somewhat
abnormal before Prime Minister Koizumi's visit to Yasukuni
Shrine. After the war, Japan made unnecessary apologies over the
comfort women and school textbook issues. Its total settlement
was the Murayama statement of 1995 with "deep remorse and
heartfelt apology." The prime minister is on that track. But I
think the Yasukuni issue is a chance to get it back on the right
track. We should exactly tell them that we can't apologize even
for their interventions in Japan's internal affairs. By doing so,
we can get along with each other as sovereign nations over the
mid- to long-term.

In his view of history, Mr. Kuriyama seems to say things only
about the Manchurian Incident and Japan-China relations in the
days a little before the Manchurian Incident and up until Japan's
defeat in the war in 1945. What led Japan to the war? Why did the
Manchurian Incident break out? We must look into history before
that. We must take an overall view of history from the spectrum
of Japan-China relations, the United States' policy toward Asia,
and the former Soviet Union's policy toward Asia. That war is
multifaceted and is too complicated to simplify countries as
parties that victimized others and as parties that were
victimized.

In his essay, Mr. Kuriyama says the Self-Defense Forces is
"obviously a kind of military muscle." But he takes a look only
at hardware or weapons. The SDF is a far cry from the now-defunct
military. The SDF Law corresponds to the police law system. Even
when sending SDF personnel overseas, Japan will have to make a
special law, or Japan can do nothing. People in the Diet are now
working to amend Japan's postwar constitution in order to turn
the SDF into the status of a normal military entity. I don't know
why this motive is nationalism.

We should gradually shape our Japanese view of history. It's all
right to make it a principle to take omnidirectional diplomacy.
But it's only natural that there are priorities. The most
important thing is the Japan-US alliance. China is becoming a
military threat, and it's only natural to make the Japan-US
alliance even closer.

SCHIEFFER