MOFA DISAVOWS PRESS REPORT THAT JAPAN TO ACCEPT

C O N F I D E N T I A L TOKYO 000103

SIPDIS

SIPDIS

DEPT PLEASE PASS TO DOE

E.O. 12958: DECL: 01/09/2017
TAGS: PREL ENRG KNNP IN JA
SUBJECT: MOFA DISAVOWS PRESS REPORT THAT JAPAN TO ACCEPT
U.S.-INDIA DEAL


Classified By: Charge d'Affairs, a.i., Joseph Donovan for reasons 1.4 (
b) and (d)


1. (C) A January 10 front page Yomiuri Shimbun article titled
"Government to OK India as Nuclear State" is "unfounded,"
according to MOFA India Desk Officer Naoshige Aoshima. The
article quotes "government sources" as saying Japan will
recognize India as a nuclear power even though New Delhi has
not signed the Nuclear Nonproliferation Treaty, and that the
government will allow Japanese firms to participate in
nuclear power plant construction projects in India. The
article also states that Tokyo will announce its support of
the U.S.-India nuclear cooperation agreement. Aoshima,
however, was adamant that there has been no change to
Japanese policy following PM Singh's visit to Tokyo last
month. The government is not promoting the participation of
Japanese firms in Indian nuclear projects, nor has it decided
to lend support to the U.S.-India deal. Tokyo continues to
observe the U.S.-Indian negotiations on this subject and will
also await the outcome of India-IAEA negotiations before
staking its position, he insisted. Aoshima also speculated
that a visit to India by PM Abe - also mentioned in the
article - will not take place until after the Upper House
elections this summer.


2. (C) In a subsequent discussion with the reporter who
wrote the article, Embassy was told the source of the
information was &very high level.8 However, the reporter
acknowledged that the actions he reports will probably not
take place until Abe visits India sometime in Autumn 2007. He
described continued intra-agency debate at MOFA on this
issue, with the North America Bureau supporting the move
while the Nonproliferation Department continues to oppose.
There is apprehension in some government circles that if
Tokyo recognizes India as a nuclear power, it will be hard
pressed to explain why it won't do the same for the DPRK. The
reporter predicts that ultimately the desire to improve
relations with India, both commercial and political, will
trump this concern, and Japan will lend India and the U.S.
the support they want.


3. (C) COMMENT: What the Yomiuri has reported will likely
come to pass, but not for some time. The fact that the story
ran on the front page and didn't indicate when the actions
would take place would lead one to believe - incorrectly -
that they are imminent. MOFA's Aoshima is correct that, as
of now, there has been no change in Japan's policy.


DONOVAN