JAPANESE MORNING PRESS HIGHLIGHTS 10/21/08

UNCLAS SECTION 01 OF 08 TOKYO 002924 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 10/21/08 Index: Defense and security affairs: 1) Aso government sighs in relief as bill extending MSDF refueling mission in Indian Ocean heads steadily toward passage (Tokyo Shimbun) 2) Government considering whether to bear share of expenses of North Korea's scrapping its nuclear programs (Nikkei) 3) Defense Ministry confirms that a Chinese warship has crossed Tsugaru Strait (Nikkei) 4) Prime Minister Aso reiterates desire to pass anti-piracy measures law (Mainichi) 5) Democratic Party of Japan (DPJ) Policy Council preparing legislation to use when in power that would link overseas dispatches of SDF to UN resolutions (Mainichi) 6) Aso states that he will attend the Financial Summit even if the Diet is dissolved at that time (Nikkei) 7) Japan objects to Russia requiring an entry card to visit the Northern Territories despite visa-free agreement (Mainichi) Political agenda: 8) Mainichi poll shows 48 PERCENT of public opposed to lawmakers holding "hereditary seats" in the Diet (Mainichi) 9) Government and ruling camp with election in mind are planning a 2 trillion yen tax cut (Asahi) 10) War of nerves in Diet centered on whether DPJ President Ozawa will agree to party heads debate with Prime Minister Aso (Tokyo Shimbun) 11) Senior Vice Minister Kurata's private secretary to be arrested soon for scheme involving illegal entry of Filipino women into Japan to work in bars (Asahi) 12) Government setting up committee to consider specifics of mid-term target for reduction greenhouse gases (Asahi) Articles: 1) Aso administration relieved to see passage of refueling bill now possible TOKYO SHIMBUN (Page 2) (Excerpts) October 21, 2008 The outlook is that a bill amending the new Antiterrorism Special Measures Law designed to extend the Maritime Self-Defense Force's refueling mission in the Indian Ocean will clear the Diet as early as Oct. 30. Under the current divided Diet, the extension of the MSDF's refueling operation has been a difficult issue that prevented the Abe and Fukuda governments from smoothly managing the Diet. With the prospect for the passage of the legislation in sight, many in the Aso administration are now feeling greatly relieved. "Japan's withdrawal will affect all activities (in connection with the war on terror). There is no option for Japan to pull out (the MSDF from its refueling mission)," Chief Cabinet Secretary Takeo Kawamura categorically said in a meeting yesterday of the House of Representatives Antiterrorism Special Committee. The government has already decided to withdraw by the end of the TOKYO 00002924 002 OF 008 year the Air Self-Defense troops engaged in an airlifting mission in Iraq. Therefore, the MSDF's refueling mission would then be Japan's only contribution to the war on terror. Prime Minister Taro Aso declared in a policy speech he delivered immediately after taking office in September that Japan would proactively take part in the war on terror in the future, as well. Therefore, the continuation of the refueling mission was seen as an international pledge. 2) Government to consider bearing North Korea denuclearization cost NIKKEI (Page 2) (Excerpts) October 21, 2008 It has become clear that the government will consider providing funds and technology necessary for North Korea to abolish its nuclear facilities. The step follows expectations that the North is likely to finish disabling its nuclear facilities before the end of the year, and the focus of the six-party talks is now likely to shift to how to proceed with abolishment. Japan conditions its participation in energy aid to North Korea in return for the dismantlement of its facilities on progress on the issue of Japanese nationals abducted by the North. The government aims to extend assistance for nuclear abolishment by separating the nuclear issue from progress on the abduction issue. The six-party talks are in the second phase requiring the North to declare its nuclear programs and disable those facilities. With disablement work 70 PERCENT complete, the talks are likely to enter before the end of the year the third phase of dismantling nuclear facilities and discarding nuclear weapons and materials. Based on such developments, the North is certain to seek in the next six-party talks that are likely to take place before long the completion of the 950,000-ton heavy fuel energy aid in return for the end of the second phase. Japan does not intend to join the aid program unless there is progress on the abduction issue. But other members, such as South Korea, have expressed dissatisfaction. There is concern in the government, with one official saying: "Japan might be criticized for slighting the nuclear issue by fixating on the abduction issue." The government's decision to consider extending financial and technological assistance for the North's nuclear abolition at this point in time comes from its intent to prevent from Japan becoming isolated in the six-party talks. The step is also intended to apply pressure to the North by bearing part of the expenses necessary for dismantling and scrapping its nuclear facilities. The amount to be borne by Japan will be finalized in the future. There is a view, however, that Tokyo will for the time being aim at 16 billion yen, which corresponds to Japan's share of the 950,000-ton energy aid. The government thinks that bearing part of the nuclear abolition costs, which is distinct from direct assistance to the North, is easy to obtain public understanding from a security perspective. 3) Chinese warships spotted in Tsugaru Strait, according to Defense Ministry NIKKEI (Page 2) (Full) TOKYO 00002924 003 OF 008 October 21, 2008 The Defense Ministry announced yesterday that four Chinese warships, including a destroyer and a top-of-the-line frigate, had been navigating in the Sea of Japan about 37 kilometers from the headland of Tappizaki in northern Aomori Prefecture. The Maritime Self-Defense Force's (MSDF) patrol plane P3C spotted the ships around 17:00 on Oct. 19. The four vessels passed through the Tsugaru Strait into the Pacific Ocean. The ministry says that Chinese warships were spotted in the Tsugaru Strait for the first time. The four vessels were on the high seas, so the navigation does not come under the violation of territorial waters. The Joint Staff Office is carefully watching the moves of the Chinese Navy, as its member said: "The Chinese Navy has been active recently. The Navy has expanded operations by its vessels, including submarines, in waters around the continent to the Pacific Ocean." The MSDF plane spotted the frigate ship and a supply ship off Tsushima on the 17th. The destroyer and another frigate are believed to have made a goodwill visit to Russia. 4) Aso willing to create new law against piracy MAINICHI (Page 5) (Full) October 21, 2008 Prime Minister Taro Aso attended a meeting of his ruling Liberal Democratic Party's executives yesterday, in which he voiced his willingness to consider creating a new law allowing Maritime Self-Defense Force vessels to escort merchant ships as a measure to deal with pirates off Somalia in the eastern part of Africa. However, the LDP deems it difficult to draw up a bill. Aso is apparently aiming to rock the leading opposition Democratic Party, which has been out of step within itself over its security policy. DPJ Policy Research Committee Chairman Masayuki Naoshima indicated in a meeting yesterday of the House of Representatives Special Committee on Antiterrorism and Iraq Assistance that the DPJ would not agree for the time being to hold talks with the ruling parties. 5) DPJ eyes legislation after taking office to allow Japan to use force overseas if there is U.N. resolution MAINICHI (Page 5) (Full) October 21, 2008 In connection with sending the Self-Defense Forces overseas, Democratic Party of Japan (Minshuto) President Ichiro Ozawa has been asserting that the Self-Defense Forces may use force overseas if there is a resolution from the United Nations. In this regard, DPJ Policy Research Committee Chairman Masayuki Naoshima stated before the House of Representatives Special Committee on Antiterrorism and Iraq Assistance in its meeting yesterday that the DPJ would set about working in that way if it takes office. With this, Naoshima indicated that the DPJ would substantially change the government's current constitutional interpretation by going through necessary legislative measures after a change of government. According to the government's conventional interpretation of Constitution Article 9, the SDF is not allowed to use force overseas. There are deep-seated cautious arguments even within the TOKYO 00002924 004 OF 008 DPJ about allowing the SDF to use force overseas even if there is a U.N. resolution. Naoshima also stated, "This necessitates public support and neighboring countries' understanding, and we will make an overall judgment (as to whether to dispatch SDF troops actually). 6) Aso: "I will definitely attend global summit on financial crisis even if Lower House is dissolved before it" NIKKEI (Page 2) (Full) October 21, 2008 Prime Minister Taro Aso expressed his determination yesterday to attend an emergency summit on the global financial crisis to be held in the U.S. in November. Based on his stance of placing emphasis on the economy, Aso as the prime minister of the current chair of the G-8 summit has judged it necessary to be positively involved in the international efforts to contain the crisis although his participation in the summit will make the schedule for his planned election of the House of Representatives in November tighter. But it is uncertain whether Japan will be able to take the leadership in producing positive results. Asked by a reporter yesterday whether his participation in the summit would have some effect on his judgment on Lower House dissolution, Aso replied: "There will be no effect at all. I will attend without fail regardless of whether the Lower House is dissolved before the summit or not. ... The U.S. will be in a political vacuum after the presidential election. Japan as the second major economic power must resolutely address the crisis." Chief Cabinet Secretary Takeo Kawamura told a press conference yesterday: "It is necessary for Japan, which successfully contained its economic crisis, to tell other countries about what it had experienced, both successful and failed experiences. Japan will play a central role in helping all the participant countries cooperate and overcome the ongoing crisis." It is hard to say, however, that Japan is taking a central role as of now. Aso had previously expressed his eagerness to host a financial summit, with the idea once floating of holding one at Narita Airport, which is easily accessible for state leaders, but the plan fizzled out. Kawamura explained in the press conference: "We do not care about the condition of being easy of access for state leaders," adding: "Japan is still determined to play a key role as the G-8 chair. That direction remains unchanged." An aide to the prime minister said: "Even if Japan is unable to assume leadership, it will be fine if the summit on the financial crisis produces achievements. That will work to our advantage in the November Lower House election." But market players will evaluate achievements with stern eyes. The summit might end up just disappointing the markets. It is unpredictable whether the outcome of the summit would work to the ruling camp's advantage in the election. TOKYO 00002924 005 OF 008 The summit of the Asia-Pacific Economic Cooperation (APEC) is scheduled for Nov. 22-23. This event will also make the schedule for the election on Nov. 30 tighter. A government source said: "Prime Minister Aso will have left Japan for more than one week, including the days needed for traveling." A junior Liberal Democratic Party member grumbled: "I want the prime minister to visit as many electoral districts as possible during the campaign period, rather than attending international conferences." But Aso, who is set to opt for international conferences, will be pressed to produce achievements on both economic and political fronts. 7) Japan reacts to Russia's possible proposal for visitors to Northern Territories to submit immigration cards MAINICHI (Page 2) (Excerpts) October 21, 2008 In a press conference in Nemuro city, Hokkaido, yesterday, Vladimir Nosov, the diplomatic representative of Yuzhno-Sakhalinsk in the Russian Foreign Ministry, said that Japanese visitors to the Northern Territories are highly likely to be asked to submit immigration cards starting next year. Now, visa-free visits are allowed for Japanese visitors under bilateral agreements. Chief Cabinet Secretary Takeo Kawamura fiercely reacted to Nosov's remark, saying: "The Russian government has not made such a proposal. Even if the proposal is made, we cannot accept it." 8) Poll: 48 PERCENT opposed to hereditary seats in the Diet, 44 PERCENT see "no problem" MAINICHI (Page 5) (Abridged) October 21, 2008 Public opinion is split over the "hereditary seats" (second and third generation Diet members) held by Diet members in a recent telephone-based nationwide public opinion survey conducted by the Mainichi Shimbun on Oct. 18-19, with 48 PERCENT saying Diet members holding hereditary seats should be avoided and 44 PERCENT saying there is no problem because voters elected them. No answer accounted for 9 PERCENT . Among those who support the ruling Liberal Democratic Party, negative answers accounted for 36 PERCENT , with affirmative ones reaching 54 PERCENT . Among those who support the leading opposition Democratic Party of Japan (Minshuto),negative answers totaled 59 PERCENT , with affirmative ones at 36 PERCENT . As seen from the figures, the results were almost opposite. Among those who support the New Komeito, the LDP's coalition partner, 37 PERCENT were negative, with 50 PERCENT affirmative. Voters with no particular party affiliation coincided with the general trend. Among those opposed to the hereditary of Diet membership, the Aso cabinet's support rate was 25 PERCENT , with its nonsupport rate at 55 PERCENT . The results can be taken to reflect bitter attitudes toward the Aso cabinet since 12 of its 18 ministers are hereditary Diet members. Among those in favor of hereditary, the Aso cabinet's support rate was 48 PERCENT , with its nonsupport rate at 30 PERCENT . TOKYO 00002924 006 OF 008 Prime Minister Taro Aso and DPJ President Ichiro Ozawa are both hereditary Diet members. In the survey, respondents were asked which one between Aso and Ozawa would be more appropriate for prime minister. Among anti-hereditary respondents, Aso marked 28 PERCENT , with Ozawa at 22 PERCENT . "Neither" accounted for 48 PERCENT . Among pro-hereditary respondents, Aso (52 PERCENT ) overwhelmed Ozawa (15 PERCENT ). 9) Generous treatment with upcoming general election in mind: Government, ruling parties accept New Komeito's request for 2 trillion yen worth of fixed-sum tax cut ASAHI (Page 1) (Abridged slightly) October 21, 2008 The government and the ruling parties have decided to adopt a 2 trillion yen fixed-sum tax cut, a policy tool that will serve as the showcase of a new economic stimulus package. Portions of reserves for interest rate fluctuations earmarked in the special account will be used to finance the tax break. Attaching importance to cooperation with the New Komeito with the next Lower House election just ahead, the LDP has thus accepted its request that the size of the tax break should be more than 2 trillion yen. It intends to put up this policy as one of its election pledges. The fixed-sum tax break deducts the same amount from income and local taxes regardless of taxpayers' annual income. The outlook is that if the ruling parties continue to have reins of government after the general election as well, they would compile a second supplementary budget that incorporates the fixed-sum tax cut and a fiscal 2009 budget within December and submit them to the regular session of the Diet next year. The New Komeito's President Ota has called for a tax cut of 65,000 yen for a four-member family, with the total tax cut for the nation amounting to 2 trillion yen. However, some LDP members had been skeptical of the economic effects of such a policy, comparing it to pork-barrel spending, and prefer to curtail the scale by setting an income limit. The prime minister wants to call the new economic stimulus package living-cost countermeasures. He gave top priority to measures for average citizens when he ordered to compile the new package on the 16th. His aim is to impress the government's stance of attaching importance to average citizens, by adopting a fixed-sum tax cut that is generous enough for tax payers to actually feel the benefits of the tax break. At the same time, he aims at smoothening relations with New Komeito in the upcoming election, by fully complying with its request. 10) Psychological war between LDP, DPJ: Will Ozawa attend party-head debate? TOKYO SHIMBUN (Page 2) (Full) October 21, 2008 The Liberal Democratic Party (LDP) and Democratic Party of Japan (DPJ) have been engaging in a war of nerves over whether to hold a one-on-one debate between Prime Minister Taro Aso and DPJ President Ichiro Ozawa. The LDP, which hopes to take advantage of such a party-head debate to bolster the party's strength ahead of the next House of Representatives election, has proposed holding a debate on TOKYO 00002924 007 OF 008 Oct. 29, but the DPJ, which has sought a commitment for an early Lower House dissolution from Aso, has placed its decision on hold. In a meeting yesterday with his DPJ counterpart Kenji Yamaoka, LDP Diet Affairs Committee Chairman Tadamori Oshima referred to the largest opposition party's refusal of the LDP's proposal for holding a party-head debate on Oct. 22. Oshima said: "There was a media report showing that Mr. Ozawa appeared on a program along with a female entertainer. I would like him (to hold a debate with Aso) on the 29th." Behind the LDP's attempts to force the DPJ to agree to a debate, the party hopes to get an advantage in the next Lower House election by demonstrating Aso's political ability. A senior DPJ official said: "Mr. Ozawa has said that he will hold it anytime." The largest opposition party has yet to accept the LDP's proposal, however. Yamaoka said: "We prefer the dissolution of the Lower House to a ceremonial party-head debate." This is the DPJ's position. Ozawa has told his aides: "When the election starts, there will be debates that are similar to a party-head debate every day." The acceptance of a one-on-one debate between Aso and Ozawa is a just tool for the DPJ to urge Aso to dissolve the Lower House quickly. A party-head debate was held only twice this year between then Prime Minister Yasuo Fukuda and Ozawa. A debate between Aso and Ozawa has not been realized. If Ozawa continues to refuse, it might give the impression that he is reluctant to hold a debate with Aso. 11) Kurata's former secretary to be arrested today on suspicion of assisting illegal work ASAHI (Page 35) (Full) October 21, 2008 The Shizuoka Prefectural Police have decided to arrest possibly today a 59-year-old former government-paid secretary to Senior Vice Internal and Communications Minister Masatoshi Kurata, 69, a Liberal Democratic Party member representing the Lower House proportional representation Tokai bloc. The secretary will be charged with suspicion of violating the Immigration Control Law in connection with Filipino women working in bars without entertainment visas under the pretext of appearing in charity concerts. The case avoided scrutiny because the work was allegedly for charity purposes. The regulations have been tightened in line with the international trend of protecting human rights. The case is now escalated into a criminal investigation into the former secretary to the lawmaker. The prefectural police believe that the former secretary has effectively run the Future Charity Executive Committee that guaranteed the status of Filipino women when they entered Japan on short-stay visas. They also suspect he had received remunerations by devising a set of system to dispatch those women to connected entertainment establishments. In an interview with the Asahi Shimbun, the former secretary said that he had received 200,000 yen per bar, while admitting that he devised the whole system. The prefectural police have recognized similar facts through interviews with persons concerned. Filipino TOKYO 00002924 008 OF 008 women who have been indicted on charges of violating the Immigration Control Law have told investigators that they were promised to be paid after returning to their country. Based on this statement, the police have concluded that the former secretary has helped them work illegally in Japan. The United States placed Japan on the Tier 2 Watch List in its (2004) Trafficking in Persons Report. With the country coming under fire as a breeding ground for human trafficking, the Justice Ministry has tightened the requirements for issuing entertainment visas. The Foreign Ministry responsible for short-stay visas has also tightened the immigration checks on young Filipino women. Under such circumstances, the Future Charity has since spring 2007 brought Filipino women into Japan on 90-day short-stay visas, which are the same as the tourist visas, instead of entertainment visas, on the pretext of appearing in charity concerts in the wake of the (2006) landslide disaster on Leyte, the Philippines. The group has dispatched such women to a concert held by the Philippine Embassy, as well as to five bars, including those in Shinjuku's Kabukicho district. 12) Greenhouse gas emissions cut: Mid-term goal study committee to be set up ASAHI (Page 4) (Excerpts) October 21, 2008 The first meeting of the Council on Global Warming during the Aso administration was held on October 20 at the Kantei. Participants decided to set up a study committee consisting of researchers and others with the aim of setting a mid-term goal of cutting greenhouse gas emissions to be achieved by 2020 or 2030. They also confirmed a policy of implementing an emissions trading system on a trial basis before the end of October, starting recruiting participating companies as early as the 21st. At the outset of the meeting, the prime minister noted, "It is important for Japan to lead the world in creating a low-carbon society. Measures to combat global warming could become an investment in the future." He indicated his desire to continue former Prime Minister Fukuda's package of proposals for measures to combat global warming (Fukuda Vision) and facilitate measures that uses Japan's strengths, such as energy-saving technology. The government decision to set up the mid-term goal study committee as the panel's subcommittee is apparently a reflection of Aso's decision to continue the Fukuda policy line. Former Bank of Japan Governor Toshihiko Fukui, who is versed in the management of the economy, has been picked for the chairmanship. The government plans to reveal the mid-term goal, the major focus of attention in talks on an international framework for 2013 and beyond (post-Kyoto Protocol). At the meeting, it presented several targets using a sector-specific approach for reducing greenhouse gases, a method Japan has proposed. The cost needed to achieve the goal was also worked out. A similar method will be adopted for cost calculations for the U.S., European countries and emerging countries, such as China. SCHIEFFER