JAPANESE MORNING PRESS HIGHLIGHTS 07/30/09

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SUBJECT: JAPANESE MORNING PRESS HIGHLIGHTS 07/30/09

Index:
1) Top headlines
2) Editorials
3) Prime Minister's daily schedule (Nikkei)

Defense and security affairs:
4) House of Representatives official tells Ambassador Fujisaki that
it hopeless for Japan to expect to introduce the F-22 since the
aircraft will not be exported (Tokyo Shimbun)
5) Government's advisory panel on security affairs comes down in
favor of Japan using the right to collective self-defense, easing
the three weapons-export rules (Sankei)
6) Liberal Democratic Party (LDP) in its manifesto will promise to
reinterpret Constitution to allow use of right of collective
self-defense (Sankei)

Democratic Party of Japan's (DPJ) dilemma:
7) DPJ President Hatoyama says Maritime Self-Defense Force (MSDF)
refueling mission will not be extended, reflecting pull from Social
Democratic Party (SDP) (Tokyo Shimbun)
8) Hatoyama indicates he will propose an alternate plan to the MSDF
Indian Ocean mission that will be ended (Sankei)
9) DPJ trying to preserve coalition with SDP by backtracking on MSDF
mission in the Indian Ocean (Nikkei)
10) DPJ now wavering in its "pragmatic" security line, giving the
LDP new material to attack it in the election campaign (Nikkei)
11) In interview, SDP head Fukushima says her party is against any
overseas dispatch by the Self-Defense Forces (Mainichi)

12) U.S., China end strategic dialogue, marking the start of a G-2
arrangement, but Japan remains concerned about being left behind
(Mainichi)

Japan and human rights issues:
13) World Uighur Congress head Kadeer speaks out on human rights in
China during visit to Japan (Yomiuri) 11
14) Chinese government very unhappy about Kadeer's visit to Japan
(Yomiuri)

15) Japan, Iraq negotiating to allow Japanese companies oil
development rights in Iraq (Nikkei)

16) Government panel proposes lowering legal age in Japan to 18
(Nikkei)

17) New law to revive indigenous Ainu culture in the works
(Nikkei)
Articles:

1) TOP HEADLINES

Asahi:
Election based on manifestos in full swing: Battle to win over child
rearing generation; LDP pledges compete with the DPJ

Mainichi:
Legislative Council report: 18 years old to be legal age, Diet to
determine timing of legal revisions

Yomiuri:
Legislative Council recommends 18 years old to be legal age, on
condition of lowering voting age, etc.

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Nikkei:
Value of "incentive points" given out for shopping reach 1 trillion
yen level; increasing interchangeability

Sankei:
Panel on security, defense recommends exercise of right of
collective self-defense, relaxing three arms export principles

Tokyo Shimbun:
GSDF proposal for first reorganization since inception: New Ground
Defense Command to be created; unified command for regional army
corps

Akahata:
Medical fees: No cost on patients is the norm; 30 PERCENT share
abnormal in the world

2) EDITORIALS

Asahi:
(1) U.S.-China strategic dialogue: Closely watch historic turning
point
(2) Peace of mind and cost: Consider this as a set with
decentralization of power

Mainichi:
(1) U.S.-China strategic dialogue: Engage in cooperation
contributing to peace
(2) Refusal to allow use of venue: Significance of guaranteeing
freedom of assembly

Yomiuri:
(1) Legislative Council report: 18 years old is legal age in most
countries in the world
(2) U.S.-China strategic dialogue: How will the G-2 proceed in the
new era?

Nikkei:
(1) Create the conditions for making 18 years old legal age
(2) U.S., China played up G-2, but...

Sankei:
(1) Verdict on Teachers' Union assembly: Freedom of speech is
guaranteed for all
(2) Uighur issue: UN should conduct on-site investigation

Tokyo Shimbun:
(1) New era in U.S.-China relations: Japan put to test on sending
out its message
(2) Rugby world cup: How to take advantage of first world cup in
Asia

Akahata:
Drastic review of nursing care assessment: Implement drastic change
from policy of spending curb

30 Prime Minister's Official Residence (Kantei)

Prime Minister's schedule, July 29

NIKKEI (Page 2) (Full)

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July 30, 2009

09:10 Left Haneda Airport on ASDF U-4 multi-purpose support
aircraft.
10:34 Arrived at Ube Airport in Yamaguchi Prefecture. Afterward met
Gov. Nii.
11:40 Observed area near National Highway 262 in Hofu City.
12:28 Observed Life Care Takasago, a special nursing home, and
offered flowers.
14:52 Left Ube Airport on ASDF U-4 multi-purpose support aircraft.
15:17 Arrived at Fukuoka Airport. Afterward met Fukuoka Governor Aso
and others.
16:21 Observed collapsed Kyushu Transversal Expressway in Onojo
City, and offered flowers.
17:04 Met Fukuoka Governor Aso, Nakagawa Mayor Takesue and others at
Nakagawa Town Hall
18:42 Left Fukuoka Airport on U-4 multi-purpose support aircraft.
20:06 Arrived at Haneda Airport.
20:35 Returned to his official residential quarters.

4) F-22 introduction hopeless

TOKYO SHIMBUN (Page 1) (Full)
July 30, 2009

Nakahiro Iwata, Washington

John Murtha, a Democrat legislator who chairs the U.S. House of
Representatives Appropriations Subcommittee on Defense, told Japan's
Ambassador to the United States Ichiro Fujisaki in person that it
would be difficult to export the F-22, a state-of-the-art fighter
jet as a candidate for Japan's follow-on mainstay fighter, U.S.
Congress sources revealed on July 28. Japan's introduction of the
F-22 is now hopeless.

The Senate recently approved a bill for the National Defense
Authorization Act of 2010 after eliminating a budget slot of 1.75
billion dollars earmarked for the purchase of seven additional F-22
jets in conformity with President Obama's initiative to reform
defense spending.

Meanwhile, the House is expected to approve a defense appropriations
bill today, incorporating a budget slot of 369 million dollars for
procuring 12 F-22s. However, the White House Office of Management
and Budget (OMB) released a statement on July 28, saying Obama would
veto the bill if it is approved as is.

Murtha has so far been positive about budgeting additional F-22
fighter planes. In response to such moves in the U.S. Congress,
however, he came up with a modified bill switching from spending on
the procurement of F-22s to spending on repair and maintenance
services for F-22 jets that are already deployed.

Meanwhile, a spokesman for Murtha reiterated that it would be
difficult to export F-22s since the defense appropriations bill
includes a clause that prohibits F-22 exports. Murtha is believed to
have conveyed a similar view directly to Fujisaki.

5) Government panel drafts recommendation for exercise of right of
collective self-defense; Relaxation of three arms export principles

SANKEI (Top play) (Full)

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July 30, 2009

The draft of a report compiled by the government's Council on
Security and Defense Capabilities (chaired by Tokyo Electric Company
chairman Tsunehisa Katsumata) in preparation for the revision of the
"National Defense Program Guidelines (NDPG)," which sets the basic
policy for building Japan's defense capability, was revealed on July

29. The draft report recommends changing the constitutional
interpretation to allow the exercise of the right of collective
self-defense and to authorize the Self-Defense Forces (SDF) to
engage in operations such as "protecting U.S. ships in the open
seas," which are currently banned based on the government's legal
interpretation. The report also proposes relaxing the three
principles on arms exports, which prohibit the export of weapons to
foreign countries, in order to facilitate participation in the
international joint development of fighters and other equipment.

The Council will submit its report to Prime Minister Taro Aso on
August 4, and this document will serve as the basis of discussion
for the NDPG's revision toward the end of this year. However, if the
Democratic Party of Japan (DPJ),reported to be leading in the
forthcoming House of Representatives election, takes over the reins
of government, confusion will be inevitable in the discussions on
NDPG revision.

The manifesto (campaign pledges) published recently by the DPJ makes
no mention of the right of collective self-defense, and the party's
"Policy Index 2009" says that the exercise of the right of
self-defense "will not be bound by the theoretical discussions on
individual or collective right of self-defense" and will be based on
the "principle of exclusive defense."

For this reason, there is an opinion in the party that "revision of
the NDPG by year-end should be deferred because if the debate is
started in the party, no consensus will be reached, and this will
give rise to turmoil in the steering of the administration." (senior
DPJ official) Even if revision takes place, the recommendations of
the Council may not be followed.

The draft report recommends changing the constitutional
interpretation relating to the following: (1) counterattack when
U.S. naval vessels are attacked while sailing alongside SDF vessels;
(2) interception of ballistic missiles targeting the U.S.; (3) use
of weapons for counterattack in response to an attack on troops of
other countries while engaged in UN peacekeeping operations (PKO);
and (4) rear support for multinational forces on a common mission.
All the above operations can be made possible by a statement from
the prime minister or other officials in the Diet that changes the
government's interpretation.

The report proposes changing the constitutional interpretation
banning the exercise of the right of collective self-defense to
allow protection of U.S. vessels and interception of ballistic
missiles targeting the U.S. from the standpoint of maintaining and
reinforcing the Japan-U.S. alliance. As for (3) and (4),which have
so far been prohibited due to the possibility of "use of force," the
Council calls for allowing them in order to expand the SDF's
participation in PKO.

Furthermore, in light of North Korea's launching of ballistic
missiles in April, the Council asks the government to develop early
warning satellites for detecting missile launches based on heat

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source. Its report also recommends reinforcing the functions of
Japan's Security Council and a review of the "Basic Policy for
National Defense," which has not been revised since it was first
formulated in 1957.

With regard to defense capability, the Council calls for a shift
from a "multifunctional and flexible" defense capability under the
current NDPG to a "multi-tiered and collaborative" defense
capability. Specifically, it recommends shifting from emphasis on
preparedness for national defense to emphasis on the Japan-U.S.
alliance and defense cooperation with the United Nations and
multinational collaboration.

Based on the above thinking, the draft report also touches on the
need to relax the rules on the use of weapons on PKO missions, in
order to be able to cooperate with other countries, and the need to
legislate a regular law to authorize the dispatch of the SDF at any
time.

6) LDP vows in policy platform to reconsider interpretation of
Constitution to enable SDF's interception of missile targeting U.S.

SANKEI (Page 3) (Slightly abridged)
July 30, 2009

The Liberal Democratic Party unveiled the full text of its yet-to-be
officially announced policy platform (manifesto) for the upcoming
House of Representatives election yesterday. The party pledges to
look into altering the government's interpretation of the
Constitution to enable the Self-Defense Force (SDF) to intercept a
ballistic missile targeting the U.S. from North Korea or other
countries. The manifesto also assumes the possibility of the SDF
assisting missile intercepts by the U.S. military.

Prime Minister Taro Aso will officially announce the manifesto
tomorrow. Its buzzword is "the ability to take responsibility for
protecting Japan," listing 68 items in the areas of security,
vitality, and responsibility.

The prime minister instructed the responsible officials to specify
the reconsideration of the government's interpretation. The
manifesto vows to reconsider the current government's interpretation
to allow the SDF to use the right to collective self-defense in
certain cases, based on the stance of prioritizing the Japan-U.S.
alliance, which is closely linked to national security.

As for employment measures, the manifesto includes a plan to give
job training for one million persons over the next three years. The
party pledges to prepare a program to enable those aged 70 to still
be in active service, including measures to give education and
training to people in their 50s to facilitate them to get jobs after
the retirement age and to establish a senior expert database.

The manifesto also lays out detailed plans to introduce free
education for preschool children. The party vows to phase out fees
for children attending kindergartens, day nurseries or the
authorized children's centers over three years from fiscal 2010.

Regarding drastic reform of the tax system, including a consumption
tax hike, the party promises to work out necessary legal measures by
fiscal 2011 and to carry them out immediately after the economy
turns around.

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The manifesto further proposes introducing the social security
numbering and card system in fiscal 2011 and also resolving the
pension record-keeping fiasco by the end of next year. In addition,
it pledges to enact a basic law on the doshusei system, in which
prefectures are reorganized into larger administrative blocs, at an
early date and introduce the system by 2017. Further, the LDP
proposes reducing the number of House of Representatives members by
more than 10 PERCENT in the general election that eventually
follows the next one. Although its draft included measures to
establish a system to protect human rights, such as granting local
suffrage to foreign residents and legislation to protect human
rights, but the final version excludes these measures, giving
consideration to cautious views in the party.

7) DPJ leader Hatoyama: MSDF's refueling mission to be terminated;
DPJ comes up with new policy, sandwiched between SDP and U.S.

TOKYO SHIMBUN (Page 2) (Full)
July 30, 2009

Democratic Party of Japan (DPJ) President Yukio Hatoyama announced
yesterday a policy of not extending the New Antiterrorism Special
Measures Law, which will expire next January and withdrawing a
Maritime Self-Defense unit, which has been carrying out its
refueling mission in the Indian Ocean. The DPJ is torn between the
demands of the Social Democratic Party (SDP) -- with which the DPJ
is expected to form a coalition if it assumes the reins of
government in the upcoming House of Representatives election --
which wants the immediate withdrawal of the MSDF personnel, and the
United States, which expects Japan to continue its refueling
mission. As result, the DPJ has come up with this new policy.

When the DPJ was under President Ichiro Ozawa, it asserted that the
refueling mission should be terminated immediately, citing the
operation as "unconstitutional." In consideration of relations
between Tokyo and Washington, Hatoyama, however, had shifted this
policy to a pragmatic policy line of continuing the mission even
after his party takes the political helm.

The DPJ had avoided referring to its response after the expiration
of the law, thinking that it would not be wise to reveal its
decision before holding consultations with the United States.

It was the first time for Hatoyama to reveal the party's decision to
withdraw the MSDF troops from the Indian Ocean. He has conveyed this
to SDP Chairperson Mizuho Fukushima. The DPJ made this decision with
an eye on consultations on a coalition government with the SDP after
the general election.

However, the DPJ's policy of terminating the MSDF's refueling
mission might create a rift between Tokyo and Washington. In an
attempt to persuade the United States, the DPJ intends to discussion
alternative measures that Japan will provide Afghanistan.

It seems however that DPJ Deputy President Naoto Kan did not know
about Hatoyama's statement. Referring at a press conference
yesterday to the refueling mission, he said: "We will discuss the
issue by next January and reach a conclusion." This exposed that a
consensus had not yet been reached even among DPJ executives.

The DPJ's manifesto (campaign pledges for the next general

TOKYO 00001733 007 OF 013


election),revealed on July 27, did not stipulate the MSDF's
refueling mission. The DPJ appears to have been motivated by a
desire to have a freehand so that it would be able to flexibly
respond to the calls of the SDP and the United States.

But the DPJ's policy switch instead has given the impression that
the party is disorganized.

8) Hatoyama to "discuss alternative plan" for Indian Ocean mission

SANKEI (Page 2) (Abridged)
July 30, 2009

If the Democratic Party of Japan (Minshuto) takes the reins of
government in the forthcoming general election for the House of
Representatives, Japan will discontinue the Maritime Self-Defense
Force's ongoing refueling activities in the Indian Ocean and recall
the MSDF next January when the renewed antiterror special measures
law is due to expire, DPJ President Yukio Hatoyama told reporters
yesterday on a campaign stop at the town of Kikuyo in Kumamoto
Prefecture. In addition, Hatoyama also clarified that the DPJ would
formulate an alternative plan prior to the law's expiration after
consulting with the United States.

"Our position is not to extend" the new antiterror special measures
law beyond its expiration next January, Hatoyama said, adding:
"During that time, in the process of establishing a relationship of
mutual trust with U.S. President Obama, we will find a solid
solution."

The DPJ has stressed that Japan will not withdraw the MSDF at once
even after taking the reins of government. This was out of
consideration for the Untied States and countries whose naval
vessels have been refueled by the MSDF. However, the DPJ had
continued to oppose extending the special measures law, under which
the MSDF has been refueling U.S. and other foreign naval vessels in
the Indian Ocean. The DPJ was therefore criticized for deviating
from previous statements. This seems to be why Hatoyama chose to
withdraw the MSDF upon the law's expiration as a compromise plan
between the option of continuing the refueling mission and the
option of withdrawing the MSDF at once.

The DPJ, however, used to criticize the MSDF's Indian Ocean dispatch
per se as "unconstitutional," in the words of former DPJ President
Ichiro Ozawa. If the DPJ sees it as unconstitutional, its cabinet
should withdraw the MSDF as soon as possible after the general
election. It is unclear as to why the DPJ plans to continue the
refueling mission for the time being.

9) Interview with SDP President Mizuho Fukushima:

MAINICHI (Page 5) (Full)
July 30, 2009

-- What pledges are you going to emphasize in the election
campaign?

With the "reconstruction of livelihoods" as our slogan, we will
stress the need to improve the job market and people's livelihoods,
and reconstruct local communities. The Social Democratic Party (SDP)
has pointed out that the direction of the Koizumi administration's
structural reform was wrong. The government of the Liberal

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Democratic Party (LDP) and the New Komeito undermined the quality of
people's lives. What the people are seeking is a social democratic
society, in which welfare services are valued and people can live in
harmony. Many people have asked me with tears in their eyes to
change politics without fail. It is unprecedented that so many
people have made such a plea. It is now time for the SDP to play a
key role.

-- A coalition government led by the Democratic Party of Japan (DPJ)
is likely to be established. What approach are you going to take?

We will clearly advocate social democracy. The DPJ said before that
the Koizumi structural reform is too lenient. A real policy switch
will be realized for the first time when the SDP achieves a victory.
Although the DPJ had been reluctant to revise the Worker Dispatch
Law, as a result of our persuasion, the SDP, the DPJ and the
People's New Party (PNP) submitted a bill amending the law. The SDP
is the source of policy change and the basis of solidarity in the
Diet. I want people to think about whether the DPJ will be able to
reconstruct people's lives if the party wins an overwhelming
victory. I want to underscore that everything should be entrusted to
the SDP because the LDP is hopeless and the DPJ is dangerous. We
also want to emphasize: "Those who want to protect Article 9 of the
Constitution should support the SDP."

-- Are you going to join a coalition government with the DPJ?

First, we must win the election. Coalition talks will come after the
election. Under the government of the LDP, the SDP and the New Party
Sakigake, there were such positive results as no progress on
constitutional reform and on the issue of dispatch of the Self
Defense Force overseas, but it was no good to mix up our party's
policies and the coalition's. If we form a coalition, we will have
to clarify such points as the purpose of our joining the coalition;
unacceptable policies; policies that must be translated into action
without fail.

-- What are your conditions to start negotiations on a coalition?

Although I cannot say definitely, we absolutely oppose the dispatch
of Self-Defense Force (SDF) troops overseas. It is important to
maintain the three nonnuclear principles. (The SDP's and the DPJ's)
opposition to the bill amending the new antiterrorism special
measures law also has great significance.

-- What policy differences will you stress between your party and
the Japanese Communist Party (JCP)?

The SDP is capable of playing a key role in a specific and realistic
way in the new political scene. We are in a very good position to
hold a casting vote. Since the JCP will not join a coalition, its
position is quite different from ours.

-- How many seats are you aiming to win?

We aim to get more than 10 seats. We are cooperating with the DPJ
and the PNP for the coming election more closely than in the
previous election campaign. We will make utmost efforts to be
victorious in single-seat constituencies. In 11 proportional
representation blocs across the nation, we would like to win one
seat, at least.


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10) DPJ wavering in its new pragmatic policy line as President
Hatoyama decides not to extend refueling operations

NIKKEI (Page 2) (Full)
July 30, 2009

Democratic Party of Japan (DPJ) President Yukio Hatoyama on July 29
revealed his policy intention of not extending the refueling
operations being carried out by the Maritime Self-Defense Force
(MSDF) in the Indian Ocean. He has apparently given consideration to
the Social Democratic Party (SDP),with which the DPJ will form a
coalition after assuming the reins of government. The party's
manifesto (campaign pledges),released recently, has incurred
criticism both from the ruling and opposition parties because it
left room for an extension of the MSDF's refueling operations by
refraining from touching on the issue. One can say that the DPJ,
which is being rocked by criticism of its manifesto, has revealed
its weakness by going on the defense.

SDP President Mizuho Fukushima called Hatoyama on his cell phone.
Hatoyama, who was then in Kyushu, told her, "I have no intention of
extending (the MSDF refueling operations, which are to end in
January next year)."

The DPJ along with the SDP have been taking a position of opposing
the refueling operations. However, Hatoyama on the 17th told
reporters: "Diplomatic continuity is necessary. It is reckless to
stop the operations all at once." Concerning the possibility of
extending the operations after the expiration, Secretary General
Katsuya Okada at a press conference on the 24th also told reporters,
"There is a possibility of approving the extension, after making
necessary revisions."

The statements of the two DPJ leaders were taken as implying such an
extension to the continuation of the operation was possible for the
time being. A senior DPJ official explained: "The DPJ has opposed
extending the operations. However, we have never called for an
immediate pullout."

However, the SDP is dismayed at the DPJ's pragmatic approach.
Fukushima repeatedly said, "We cannot overlook the DPJ's fuzziness."
Gaps and discord between the DPJ and other opposition parties are
the most open to attacks by the ruling parties, which are suffering
from setbacks.

11) DPJ will not extend refueling mission, attentive to SDP to
preserve coalition

MAINICHI (Page 4) (Full)
July 30, 2009

Democratic Party of Japan (DPJ) President Yukio Hatoyama has
clarified that the DPJ (if elected ruling party) would not extend
the Maritime Self-Defense Force's current refueling activities in
the Indian Ocean after next January's expiry of the new antiterror
special measures law that allows the MSDF to conduct its mission.
What lies behind this is consideration for the Social Democratic
Party (SDP),with which the DPJ is expecting to form a coalition
after the upcoming general election for the House of
Representatives. However, the DPJ has yet to finalize its course of
action to withdraw the MSDF after the law ends. This issue will
remain a source for controversy.

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"DPJ President Hatoyama clearly said, 'We will not extend the
antiterror special measures law.'" With this, SDP President Mizuho
Fukushima unveiled an episode about a telephone conversation she had
with Hatoyama on the morning of July 29.

When the Diet was open in the fall of 2007, the DPJ and the SDP
voted against a government-introduced bill extending the MSDF's
refueling mission and suspended the MSDF's refueling mission for a
while. This time, however, the DPJ chose a down-to-earth course of
action to continue it for the time being. Fukushima had expressed
concern. Even if the DPJ gains a single-party majority of the seats
in the House of Representatives after the next general election, the
DPJ alone cannot maintain a majority in the House of Councillors
without the SDP's cooperation. Hatoyama is therefore believed to
have tried to quiet it down.

One DPJ member, who is familiar with relations with the United
States, took this view: "For the United States, this issue is less
important than the issue of revising the Japan-U.S. Status of Forces
Agreement and thinking twice about the relocation site of the U.S.
military's Futenma airfield." However, once Japan raises the issue
of the MSDF's pullout, the United States will likely call on Japan
to make additional contributions in Afghanistan.

12) U.S.-China Strategic Dialogue: G-2 system now in motion

MAINICHI (Page 2) (Excerpts)
July 30, 2009

Masaya Oikawa, Washington; Joji Matsuura Beijing

The first round of the cabinet-level U.S.-China Strategic and
Economic Dialogue ended on July 28. The Dialogue, which covered a
wide range of topics from climate change to the North Korean nuclear
issue, demonstrated new phase for U.S.-China relations for the 21st
century, while offering a glimpse into a subtle change in the
political dynamics between the two countries, as seen in the United
States' occasional demonstration of its "consideration" for a
"bullish" China. The Dialogue is an ambitious effort for the United
States and China to proactively address issues that are usually
handled by the G-8 or the G-20. How far the G-2 arrangement,
composed of the United States and China, can achieve progress
remains to be seen.

Takashi Sudo

The Japanese government is alarmed, suspecting that a closer
U.S.-China relationship might end up creating a chance for the two
countries alone to handle a variety of issues in Asia. Although
there is a move among Japan, the United States and China to search
for a framework to form a trilateral dialogue, it is a double-edged
sword that might end up forcing Japan to blindly follow in the
footsteps of the United States and China. As such, Japan remains
unable to determine how to deal with it.

The Japanese government basically thinks the U.S.-China relationship
is still at the stage of searching for each other's intention, with
a senior Foreign Ministry official saying, "The United States and
China are essentially different." Tokyo wants to maintain the
two-vs.-one paradigm of facing up to China based on the Japan-U.S.
alliance.

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At the same time, coordination is underway to hold director
general-level talks as early as this summer under the initiative of
China. Japan, which wants to avoid matters being decided under the
lead of the U.S. and China, is not necessarily eager for trilateral
talks either. Tokyo is particularly on alert about Japan and the
United States - two allies - sitting at the same table with China to
discuss security affairs.

If talks are actually held under a Japan-U.S.-China framework on the
back of the deepening U.S.-China relationship, America's failure to
clearly announce its support for Japan might give a chance for China
to score diplomatic points by taking advantage of it. "Even an
objective draw between Japan and China, Japan would lose diplomatic
points," a senior Foreign Ministry official said. Japan wants to
avoid the two-vs.-one paradigm becoming an equilateral triangle.

At the same time, an outlook that China's national strength,
including its economic power, will surpass that of Japan in the long
run is on its way to reality. The senior Foreign Ministry official
took this view, "We will have to continue making efforts to make
China understand that closer ties with Japan will benefit it."

13) WUC President Kadeer to seek right to national
self-determination through dialogue with China

YOMIURI (Page 7) (Excerpts)
July 30, 2009

Seita Higa

Visiting President Rebiya Kadeer of the World Uighur Congress (WUC),
an organization of Uighurs residing overseas, has asked Japan and
the United Nations to send investigative teams. The reason is
because she has strong distrust in the Han-led post-riot response,
as seen in the tight control on information in the Xinjiang Uighur
Autonomous Region. The president said, "At present, we have autonomy
in form only." She revealed a plan to strongly seek the right to
national self-determination through a dialogue with the Chinese
government.

"The death toll announced by China is a lie. We do not believe it at
all." The president also said about the autonomous region's actual
situation after the riots: "It is certain that over 10,000 Uighurs
have been detained by authorities. Our people are in great danger."
She played up the need for the international community to become
swiftly involved in the Uighur issue.

Kadeer also condemned the suppression of riots by Chinese
authorities, saying, "There is information that they had stopped
electricity during the dark hours and opened fire indiscriminately,"
adding, "I want the international community to pursue China's
responsibility."

At the same time, expressing concern about the intensifying
confrontation between Han Chinese and the Uighurs, she asked for a
dialogue with the Chinese government, saying, "Dialogue is the only
way to dissolve the matter peacefully."
14) Chinese government expresses "strong dissatisfaction" with WUC
president's visit to Japan

YOMIURI (Page 7) (Abridged)

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July 30, 2009

Satoshi Saeki, Beijing

Chinese Vice-Foreign Minister Wu Dawei, calling in Japanese
Ambassador to China Yuji Miyamoto, lodged a protest with Japan on
July 29 about the fact that Tokyo allowed World Uighur Congress
(WUC) President Rebiya Kadeer to visit Japan, while expressing
China's "strong dissatisfaction" with the matter. Wu urged Japan to
take an effective step immediately to stop Kadeer's anti-China
activities in Japan. China is keeping a watchful eye on Kadeer's
activities, regarding them as a move reflecting active movements of
Uighur separatists in the international community.

15) JAPEX aims to have access to Iraqi oil fields

NIKKEI (Page 1) (Full)
July 30, 2009

Japan Petroleum Exploration Co., Ltd. (JAPEX),a leading oil and
natural gas development company, has entered talks with the Iraqi
government with the aim of securing a right to develop major oil
fields in that nation. Iraq, which has the world's third largest
crude oil reserves, has decided to fully introduce foreign capital
for production expansion for the first time in about 40 years. Other
Japanese companies, such as Nippon Oil Corporation, are also
pursuing talks with Iraq. Japanese companies' moves to aim to
advance into Iraq are accelerating.

JAPEX will aim to develop the East Baghdad oil field located in a
suburb of Baghdad. Since it has cooperated with the Iraqi government
in terms of assessing oil fields and providing training to engineers
since 2005, the company has judged that it would be relatively easy
to commercialize the project. It is expected that the oil field will
produce about 10 percent of Japan's daily domestic demand - 400,000
barrels a day. JAPEX has proposed developing a mining area on the
southern side of the oil field.

JAPEX has proposed development costs and production goals in
specific terms. The company plans to proceed with talks to discuss
development terms with the Iraqi government.

A consortium consisting of JAPEX, New Oil Corporation and JGC
Corporation has already proposed the development of the Nasiriyah
oil field in southern Iraq. It is expected that if Japanese
companies win these projects, Japan could secure new profit sources.
It would also contribute to Japan's energy security.

16) Justice Ministry's subcommittee in final report: Lowering adult
age to 18 appropriate

NIKKEI (Page 1) (Excerpts)
July 30, 2009

The Civil Law Adult Age Subcommittee of the Legislative Council of
the Justice Ministry, an advisory panel to the justice minister,
yesterday compiled a final recommendation report in which the
subcommittee proposes lowering the legal age of adulthood to 18 from
the current 20, on condition that the voting age is also lowered to

18. The report also points out that such legal measures as one to
protect consumer will be necessary. It does not propose a time frame
for revising the Civil Code, saying the decision should be entrusted

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to the Diet.

The report proposes that the legal age for marriage should be set at
18 both men and women, while the legal age for adopting a child
should be kept the present 20. Currently, the legal age for marriage
in Japan is 18 for men and 16 for women.

The subcommittee had discussed a review of the legal age of
adulthood, following the national referendum law which stipulates
that the voting age is set at 18. The law calls for lowering the
adult age and the voting age by May 2010 when it will take effect.
The Legislative Council plans to submit the report soon to Justice
Minister Eisuke Mori.

17) Government advisory panel urges laws for reviving Ainu culture

NIKKEI (Page 2) (Full)
July 30, 2009

The government panel that studies Ainu polices, chaired by Koji
Sato, professor emeritus at Kyoto University, yesterday submitted
its report to Chief Cabinet Secretary Takeo Kawamura. The report
urges the government to take concrete steps to improve the lives of
indigenous Ainu people and promote their culture through new
legislation.

The report says that Ainu people are the original inhabitants of
Hokkaido. It stipulates that the nation has a responsibility to give
consideration to the restoration of Ainu culture, while indicating
the fact that the government's modern culture policy seriously
undermines Ainu culture.

The government intends to set up a panel in the Cabinet Secretariat
to promote Ainu policies.

ZUMWALT