Identifier
Created
Classification
Origin
09TOKYO1788
2009-08-05 00:41:00
UNCLASSIFIED
Embassy Tokyo
Cable title:  

JAPANESE MORNING PRESS HIGHLIGHTS 08/05/09

Tags:  OIIP KMDR KPAO PGOV PINR ECON ELAB JA 
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UNCLAS SECTION 01 OF 12 TOKYO 001788 

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 08/05/09

Index:
UNCLAS SECTION 01 OF 12 TOKYO 001788 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 08/05/09 Index: 1) Top headlines 2) Editorials 3) Prime Minister's daily schedule [Nikkei] Former President Clinton in Pyongyang: 4) U.S. notified Japan ahead of time about visit of former President Clinton to Pyongyang to negotiate release of two U.S. journalists [Asahi] 5) Japan worried that North Korea will use the Clinton visit for its own purposes [Nikkei] 6) Japan alarmed by Clinton visit to Pyongyang, worried that nuclear issue will come up [Tokyo Shimbun] 7) Comments on the Clinton visit to North Korea by two scholars [Yomiuri] Defense and security affairs: 8) Prime Minister Aso's security panel releases report calling for joint response with U.S. to North Korean missiles, revision of PKO principles [Sankei] 9) Gist of contents of advisory panel's security policy recommendations [Mainichi] 10) Democratic Party of Japan (DPJ) President Hatoyama indicates that his administration if elected would review the advisory panel's security report [Mainichi] 11) Hatoyama negative about reinterpreting the Constitution to allow Japan the use of collective self-defense [Sankei] 12) What will the DPJ do if elected into power about Japan's non-nuclear principles? [Mainichi] DPJ policies: 13) DPJ will have ready in week a draft proposal for an FTA between Japan and the United States [Mainichi] 14) DPJ set to promote policy of 2% economic growth [Nikkei] 15) Nippon Keidanren (Japan Business Federation) differs with the DPJ on environmental issues and jobs policy [Yomiuri] Articles: 1) TOP HEADLINES Asahi: Former U.S President Clinton meets North Korean leader Kim, nuclear issue may have been touched on Mainichi: Clinton meets Kim, progress may have been made over release of two journalists Yomiuri: Clinton meets Kim, conveys Obama's message Nikkei: China eyes boosting renewable energy output capacity 13-fold by 2020 Sankei: Clinton meets Kim, holds negotiations on
release of two U.S. journalists Tokyo Shimbun: Clinton meets Kim, exchanges views on broad range of areas TOKYO 00001788 002 OF 012 Akahata: JCP Chairman Shii meets UNGA president 2) EDITORIALS Asahi: (1) Make Clinton's surprise visit to North Korea opportunity to break the crisis (2) Urge debate on national security based on the Constitution Mainichi: (1) Clinton's Pyongyang visit's top priority is release of female journalists (2) Question remains in government panel's proposal of "admitting" the right of collective self-defense Yomiuri: (1) New defense guidelines should reflect bold ideas (2) Development of technical capabilities most important for exploration of the moon Nikkei: (1) Policies for 2009 general election: Not only financial assistance but also other measures necessary for preventing falling birthrate (2) Make best use of government panel's proposals in national defense program outline Sankei: (1) Clinton's visit to the North: Don't distort broad principle that North Korea will abandon nuclear programs (2) Reviewing exclusively defense-oriented policy is only natural Tokyo Shimbun: (1) Removal of exclusively defensive dense policy unacceptable (2) Clinton's North Korea visit: Don't' repeat another's mistake Akahata: (1) Agricultural revitalization: JCP as constructive opposition party to speak up against business community and U.S. 3) Prime Minister's Official Residence (Kantei) Prime Minister's schedule, August 4 NIKKEI (Page 2) (Full) August 5, 2009 09:13 Council on Security and Defense Capabilities at Kantei; followed by Security Council of Japan meeting 10:06 Cabinet meeting; followed by meeting with all cabinet ministers, LDP Policy Research Council Deputy Chairman Hiroyuki Sonoda; met Cabinet Intelligence Director Mitani 11:05 Met Israeli, Palestinian youth participating in "Middle East Peace Project"; followed by elementary and middle school "kid reporters" from Okinawa, Hakodate TOKYO 00001788 003 OF 012 11:57 Met former Nagasaki Mayor Hitoshi Motoshima, accompanied by Senior Vice Minister of Defense Kitamura 13:07 Meeting on education with National Federation of Private Universities at the Shigaku Kaikan in Kudankita 14:15 Handed out certificate of endorsement to candidate in Sakai mayoral election at Kantei; Shuzen Tanigawa, secretary general of LDP caucus in Upper House, also present; followed by meeting with Japan Security Research Association 15:12 Met Upper House member Ichiro Tsukada 15:41 Call of condolence for ex-President Corazon Aquino at Philippine Embassy in Roppongi 16:27 Campaign kickoff meeting of LDP Kanagawa Chapter at Yokohama Royal Park Hotel 17:30 Street corner speech in front of JR Sakuragicho station 18:13 Street corner speech at West Exit of JR Yokohama station 18:54 Lecture sponsored by LDP Kanagawa Chapter at Kanagawa Public Hall 20:15 Arrived at official residential quarters FORMER PRESIDENT CLINTON IN PYONGYANG 4) U.S.: Line drawn between Clinton's N. Korea visit and nuclear issue ASAHI (Page 9) (Abridged) August 5, 2009 Concerning former U.S. President Clinton's visit to North Korea, the Japanese government, while paying attention to the results of his meeting with North Korean leader Kim Jong Il, wants to further deepen cooperation with the U.S. government. Clinton reportedly visited North Korea to urge Pyongyang to release detained U.S. reporters. Tokyo, however, does not want Washington to compromise on the nuclear problem and other issues in order for Japan and the United States to act in concert. According to a senior Foreign Ministry official, the U.S. government gave prior notification to the Japanese government about Clinton's visit to North Korea. The U.S. government explained that Clinton would visit North Korea as a private citizen, not in the capacity of a government official, the official said. The United States views the Clinton visit to North Korea as "a humanitarian visit for the release of detained reporters" and "draws a clear line between it TOKYO 00001788 004 OF 012 and bilateral talks between the United States and North Korea on issues including the nuclear problem," according to the official. The Japanese government has indicated that it would accept such bilateral talks between the United States and North Korea if the bilateral talks are linked to the Six-Party Talks and lead to a comprehensive solution to the abduction, nuclear, and missile issues for Japan. Last October, however, the former Bush administration removed North Korea from the list of state sponsors of terrorism without properly consulting with Japan. Given such circumstances in the past, the Japanese government is very wary of the United States and North Korea going ahead with bilateral talks. The Japanese government therefore asked the Obama administration to consult with Japan and South Korea before entering into bilateral talks with North Korea, taking up the abduction issue when holding talks with North Korea, and reporting what was discussed between the United States and North Korea in their bilateral talks. This time, the U.S. government contacted the Japanese government before the Clinton visit. For the United States, Clinton's visit to North Korea may be a visit for "humanitarian purposes." Even so, a senior Foreign Ministry official said North Korea undoubtedly has something in mind. "The lineup of North Koreans who greeted Clinton shows that they were attaching a great deal of importance to his visit," the official said. With the Clinton visit as an opportunity, North Korea may also attempt to hold direct negotiations with the United States. "It's not an occasion for negotiations, so former President Clinton will probably bring North Korea's message back home," the official said, adding, "I don't know how it will turn out." 5) Japan alarmed at "sweet deal" NIKKEI (Page 3) (Full) August 5, 2009 The Japanese government is highly alarmed at North Korea's intent. Although Japan does not oppose a U.S.-DPRK dialogue, if talks proceed behind the backs of Japan and other countries concerned, Japan fears this might have an adverse effect on the progress of the Six-Party Talks to discuss the North Korean nuclear issue. According to a government source, Japan received an advance notice on the visit to North Korea by the former U.S. President. The source said: "North Korea is expected to try to take advantage of the former President's visit." A senior Foreign Ministry official, too, commented: "The abduction issue and the nuclear/missile issue must not be grouped together. No sweet deal must be cut." 6) Former U.S. president visits Pyongyang: Japan, alarmed about possible nuclear deal, calls for separating release talks from other issues TOKYO SHIMBUN (Page 3) (Full) August 5, 2005 Former U.S. President Clinton visited North Korea to hold talks on the release of two American female reporters who are detained in that country. He met with General Secretary Kim Jong Il. The Japanese government said that it hopes to see the case settled. It is, at the same time, paying attention to the outcome of the TOKYO 00001788 005 OF 012 meeting, suspecting that Pyongyang might use the case as a bargaining chip for the nuclear development issue. Concerning the former president's visit to North Korea, Foreign Minister said, "We are not in a position of making any comment on the matter." However, Japan had been informed of the matter by the U.S. in advance. A senior Foreign Ministry official said, "In view of Japan's ties with the U.S. at the six-party talks, it is only natural for the U.S. to inform of the matter to Japan in advance." The Japanese government is under a direct threat from North Korea regarding the nuclear and missile issues. It is also strapped with the abduction issue. As such, it is concerned about the DPRK tying the release talks to the nuclear development issue, as a senior Foreign Ministry official said. Japan cannot accept that the release talks will make progress, while there is still no progress on the nuclear development and missile issues. The government is watching how the release talks will unfold, while asking the U.S. to separate the talks from other issues. 7) Experts' views on Clinton's visit to North Korea YOMIURI (Page 6) (Excerpts) August 5, 2009 Hajime Izumi, Shizuoka Prefectural University professor of international politics, Korean Peninsula politics and foreign policy -- Aim is mutual understanding Former U.S. President Bill Clinton is visiting North Korea for talks for release of the two American journalists, but the North Korean nuclear issue is also expected to be discussed naturally. The former President will effectively serve as a special envoy. The former President is visiting the DPRK because he is the husband of Secretary of State Hillary Clinton and to convey the Obama administration's intent clearly to the North. Having amassed much experience from his presidential days, he is well-versed in North Korean affairs. I am certain that the former President meets every requirement presented by North Korea as its negotiation partner. The United States' purpose is to relay to Pyongyang the Obama administration's "comprehensive solution" (to extend assistance in return for nuclear abandonment). I believe [the United States] after listening to North Korea's intentions regarding the nuclear issue and other matters, will watch carefully its next move. There will be no request from the U.S. side for direct talks with General Secretary Kim Jong Il. The purpose of this trip is to win the release of the journalists separate from the nuclear issue. But then, it can be said that the United States conveying its policy to Secretary General Kim and showing its understanding to General Secretary Kim's thinking is the maximum goal of the two sides. The United States' stance is that it will not make a compromise with North Korea on its returning to the Six-Party Talks, but there is a possibility that Pyongyang will call for direct talks with Washington on the premise that it will return to the Six-Party Talks. The Clinton visit will serve as the starting point for the North's return to the Six-Party Talks and U.S.-DPRK bilateral TOKYO 00001788 006 OF 012 talks. (Interview by Ken Makino) Hideshi Takesada, executive director of the Defense Ministry National Institute for Defense Studies - North Korea expected to convey to U.S. its intent to shift to peace system Talks are expected to include the nuclear issue, in addition to the release of the two American journalists. I think North Korea intends to convey to the U.S. its intent of shifting from a truce condition to a process for building a peace arrangement. I believe North Korea thinks former President Bill Clinton, the husband of the U.S. Secretary of State, is appropriate to entrust with its intent. The North must have concluded that the stage has been set for Clinton's visit to Pyongyang at this particular point in time to discuss matters on equal footing in the wake of the Taepodong-2 missile launch and the nuclear test by the DPRK. The clock is also ticking in view of General Secretary Kim Jong Il's poor health. A visit to Pyongyang by the former President has been rumored since before the journalists were detained. He was about to visit North Korea in 2000. This time around, the United States was able to score points by realizing talks with General Secretary Kim and successfully conducting "private diplomacy." In addition, the United States was able to confirm General Secretary Kim's health condition firsthand. It has obtained information that is beneficial for negations in the future. The Six-Party Talks are unnecessary for North Korea, whose aim is to win assurance for the maintenance of the current regime. Japan and South Korea are cumbersome and China requires special attention, so talks without them would be easier. Asked for consideration for its neighboring countries, the United States might present such steps as easing its financial sanctions for the North's return to the Six-Party Talks. If the way is paved for U.S.-DPRK bilateral talks, there is a possibility that the Six-Party Talks will serve as a lubricant for the bilateral talks and that its role will diminish. (Interview by Kenji Noguchi) DEFENSE AND SECURITY AFFAIRS 8) Defense panel recommends joint Japan-U.S. response to DPRK missiles, review of five PKO principles SANKEI (Page 2) (Full) August 5, 2009 The Council on Security and Defense Capabilities (chaired by Tokyo Electric Company chairman Tsunehisa Katsumata),a private advisory body to the prime minister, submitted its recommendations on defense capability buildup to Prime Minister Taro Aso on August 4. It calls for revising the constitutional interpretation banning the exercise of the right of collective self-defense to allow the Self-Defense Forces (SDF) to protect U.S. ships guarding against North Korean ballistic missiles. It also demands the relaxation of the three principles on arms exports at an early date to allow Japan to participate in international joint development and production of military equipment. TOKYO 00001788 007 OF 012 The report proposes the concept of "multi-tiered and collaborative defense capability" in place of the "multi-functional and flexible defense capability" in the current National Defense Program Guidelines (NDPG). It asserts that Japan should build a "multi-tiered and collaborative defense capability" through: (1) its own efforts; (2) cooperation with its allies; (3) regional cooperation; and (4) cooperation with the international community. Toward this end, the Council stresses the need to review the "basic policy for national defense," which sets a policy of exclusive defense, and participate actively in UN peacekeeping operations (PKO). It also calls for a review of the five PKO principles, including a relaxation of the rules on the use of arms, and the legislation of a permanent law allowing the dispatch of the SDF for overseas missions at all times. The report also points out that the ban on SDF mobilization to assist ally forces under attack in a joint mission and rear support "deviates from the reality in international cooperation" on the grounds that "this may constitute the use of force." It emphasizes the need to revise the constitutional interpretation to make such activities possible. The panel regards North Korea's ballistic missiles as a "common threat to Japan and the United States" and recommends that the exercise of the right of collective self-defense should be allowed for the interception of missiles targeting the U.S. and for the protection of U.S. ships guarding against missiles in the open seas by SDF vessels. It points out the need for "appropriate legislative measures, including a review of the constitutional interpretation." Regarding the three principles on arms exports, which prohibit the export of weapons to foreign countries, the Council expresses its concern that this is obstructing the acquisition of advanced technology and the promotion of Japan-U.S. defense cooperation. It asks that the three principles be relaxed at an early date by drawing up a new policy that "allows the export of weapons that contribute to world peace and security," and exempting specific cases from the three principles prior to the implementation of the new policy. It cites the following as possible cases of exemption from the three principles: participation in joint international development and production of military hardware, transfer of jointly developed equipment to a third country by a development partner, and assistance to antiterrorism and anti-piracy operations. The report was compiled as a basis for discussion on the revision of the NDPG toward the end of the year. 9) Main points from security and defense panel report MAINICHI (Page 5) (Full) August 5, 2009 The following is a gist of the report submitted by the government's advisory panel on security and defense capabilities. Chapter 1: Japan's new security strategy Section 1: Security strategy's ideal and objective-The world Japan is heading for (omitted [by the Mainichi Shimbun]) Section 2: The security environment of Japan The United States' commitment could be shrinking. The United States TOKYO 00001788 008 OF 012 has taken the initiative to provide the international community with public assets. The European Union and countries like Japan will need to work together to provide such international public assets. North Korea's regime could collapse in the future. Section 3: Multilayered cooperative security strategy Japan, for its national security, needs "multilayered cooperative security strategy" to attain three goals with its "multilayered" use of four approaches. Chapter 2: Japan's defense capability Section 1: Defense capability and its role Japan should weigh "deterrence with its presence" (static deterrence) and "operational deterrence" (dynamic deterrence). Section 2: Defense capability and its additional functions and setup (omitted [by the Mainichi Shimbun]) Section 3: Defense capability and its foundation (omitted [by the Mainichi Shimbun]) Chapter 3: Security policy review Section 1: Security policy and its guidelines (omitted [by the Mainichi Shimbun]) Section 2: Japan's policy and setup for international peace cooperation (omitted [by the Mainichi Shimbun]) Section 3: Response to ballistic missile attacks Japan should be allowed to intercept North Korean ballistic missiles headed for the United States. The government should therefore review its interpretation of the right to collective self-defense. The Self-Defense Forces' vessels should be allowed to protect U.S. naval vessels. The government should therefore take appropriate legislative steps, including reviewing its conventional interpretation of the right to collective self-defense. Section 4: Japan's three principles on arms exports It is appropriate for Japan to participate in such projects as international joint research, development, and production outside the bounds of its three principles on weapons exports. Section 5: New security strategy and its foundation (omitted [by the Mainichi Shimbun]) 10) DPJ to review security panel report: Hatoyama MAINICHI (Page 5) (Abridged) August 5, 2009 Democratic Party of Japan President Yukio Hatoyama, meeting the press yesterday, said the report submitted by the government's advisory panel on security and defense capabilities was a "policy proposal" to the Liberal Democratic Party's government. "We will have to review that report from our point of view, including its members," Hatoyama said, clarifying that the DPJ would review the panel report after taking the reins of government. The report suggests the government review its interpretation of the right to collective self-defense and ease its self-imposed three TOKYO 00001788 009 OF 012 principles on weapons exports. "It's true that the government's view has taken root," Hatoyama said. He added, "We need to scrutinize and verify the panel's discussion." With this, he indicated that the issues should be handled cautiously. 11) DPJ's Hatoyama negative on review of constitutional interpretation of right to collective self-defense SANKEI (Page 2) (Full) August 5, 2009 Democratic Party of Japan (DPJ) President Yukio Hatoyama held a news conference at the party headquarters on August 4 in which he commented on the constitutional interpretation of the exercise of the right to collective self-defense and the three principles on arms exports. He stated: "The government has come out with a position on this for many years, and this has taken root," indicating a negative view on making a review. He said that with regard to the three no-nuclear principles, "this is a national policy which is stronger than the law and in a sense, above the law." He criticized the Council on Security and Defense Capabilities because "the members were picked by the Liberal Democratic Party (LDP) administration, and the recommendations were made for the LDP administration." "After we take over the administration, we will start with a close examination of our thinking." 12) How will DPJ handle the three nonnuclear principles? MAINICHI (Page 2) (Full) August 5, 2009 Joichi Sato, Shinichiro Nishida The handling of Japan's Three Nonnuclear Principles -- the policy of not possessing, not producing and not permitting the introduction of nuclear weapons into Japan -- has emerged as a source of trouble between the Democratic Party of Japan (DPJ) and the Social Democratic Party (SDP),with which the DPJ is considering forming a coalition government after the upcoming House of Representatives election. If the DPJ reveals the contents of the "secret treaty" between Japan and the United States that contravened the policy of not allowing the introduction of nuclear weapons into Japan, chances are that it will be difficult for Japan not to allow the transit of nuclear weapons. The SDP as a result is increasingly worried that the DPJ might consider revising the Three Nonnuclear Principles. During her meeting yesterday with United Nations General Assembly President Miguel d'Escoto Brockmann, who is now visiting Japan, SDP Chairperson Mizuho Fukushima said: "When Japan discloses the secret pact, it will have two choices: one would be to remove the policy of not permitting the introduction of nuclear weapons into the country from the three nonnuclear principles and the other being that it will continue to maintain all three principles." Fukushima was able to draw out from d'Escoto, who has called for abolishing nuclear weapons, the answer that the three nonnuclear principles should be kept. What Fukushima has in mind is the SDP's letter asking the DPJ and People's New Party (PNP) for their cooperation to legislate the TOKYO 00001788 010 OF 012 Three Nonnuclear Principles. The SDP noted in the letter that Japan should not reduce the three principles to two in order to adhere to the secret agreement. This is because DPJ President Yukio Hatoyama stated on July 14: "A pragmatic response has been made because there was a necessity to do so." The SDP took Hatoyama's remark as implying a review of the three principles. Taking advantage of her meeting with the UNGA president ahead of peace ceremonies in Hiroshima and Nagasaki, Fukushima sent the message to the DPJ. Hatoyama, however, assumed an indifferent attitude. At a press conference yesterday, he took a cautious stance toward the SDP's call for the legislation, saying: "The Three Nonnuclear Principles are like a national virtue that exceeds law. If they are made into law, there is a possibility that they will be changed. We should handle the matter in a cautious manner." Should the DPJ disclose the secret deal after it takes the reins of government, there is a possibility that the party will acknowledge the introduction of nuclear weapons into Japan, which has been admitted based on a tacit agreement. DPJ Secretary General Katsuya Okada, in an interview to the Mainichi Shimbun, stated: "If the secret deal is disclosed, we will have to hold policy debate as to whether the three principles should be modified or the present way of thinking should be kept." The DPJ's manifesto (campaign pledges for the next general election) does not stipulate anything about the Three Nonnuclear Principles, which is quite a contrast to the SDP, which strongly advocates the maintaining of them. Therefore, the issue will likely a major topic of discussion in compiling common policies among the DPJ, SDP and PNP. DPJ POLICIES 13) DPJ to propose amendment to manifesto on Japan-U.S. FTA this week, exempting major crops from agreement MAINICHI (Page 2) (Full) August 5, 2009 Nariyuki Tanaka At a briefing on the manifesto (campaign pledges) of the Democratic Party of Japan (DPJ) for the House of Representatives election in Sapporo City on August 4, Deputy President Naoto Kan told reporters that the party may come up with an amendment proposal on the pledge to conclude a free trade agreement (FTA) with the United States this week. Regarding the method of amendment, he said: "Tariff for the major crops should basically not be reduced. We want to include a clear statement on this." Kan received a petition from agricultural groups in Hokkaido to include in the final manifesto the exemption of agricultural and livestock products from the FTA negotiations." He stressed at the briefing held after this that, "We have no intention to engage in FTA negotiations that contradict the party's agricultural policy of increasing self-sufficiency." He said that "something to that effect will be included in the manifesto to be distributed after the official declaration of candidacy (on August 18)." However, the liberalization of agriculture through the conclusion of TOKYO 00001788 011 OF 012 FTAs is believed to be inseparable from the DPJ's main agricultural policy of income compensation for farming households. The exemption of agricultural products from the FTA that Kan was referring to is an issue bearing on the very foundation of agricultural policy. Rough sailing on this issue is inevitable. Secretary General Katsuya Okada also emphasized to reporters in Toyohashi City, Aichi Prefecture, on August 4 that, "We will only go into FTA negotiations after ensuring self-sufficiency and food safety." 14) DPJ aims for 2 percent growth: Same level as LDP's goal; No specific measures, goal year indicated NIKKEI (Page 2) (Full) August 5, 2009 The Democratic Party of Japan (DPJ) on August 4 held a Lower House election manifesto briefing at the Japan Business Federation (Nippon Keidanren). Secretary General Katsuya Okada during the session revealed the party's intention to aim for annualized economic growth of 2 percent sometime in the future, noting: "A growth strategy is important. The Liberal Democratic Party's (LDP) target is 2 percent. Attaining 2 percent growth appears to be feasible, if we do our utmost. It is a desirable figure." He, however, stopped short of showing any specific measures or a goal year. As a growth strategy, the LDP advocates achieving an annualized growth of 2 percent by the remaining half of the fiscal 2010. Okada said, "I do not think there is much difference with the LDP's goal." Regarding specific measures to achieve the end, Okada said, "The LDP has not yet said how it is going to attain its goal. I have no answer to give at the moment." Emerging from the briefing, Policy Research Council Chairman Masayuki Naoshima underscored to reporters: "Many observers are of the opinion that Japan's potential growth rate is 1.5 percent. We want to achieve 1.5 percent growth promptly. We will aim to achieve 2 percent sometime in the future." Prime Minister Taro Aso during a speech made on the 4th in Yokohama criticized the DPJ's policy, saying, "Only the LDP advocates turning around the economy. It has a proper growth strategy." 15) Gaps in views of Nippon Keidanren, DPJ on environment, employment measures visible at manifesto briefing YOMIURI (Page 9) (Full) August 5, 2009 The Japan Business Federation (Nippon Keidanren) on August 4 invited senior Democratic Party of Japan (DPJ) members, including Secretary General Katsuya Okada, to the Keidanren Hall in Otemachi, Tokyo for a briefing on its manifesto. The Liberal Democratic Party (LDP) also held a manifesto briefing at Nippon Keidanren on the previous day. Many participants highly praised the LDP's policy proposals. In contrast, gaps in views of Nippon Keidanren and the DPJ over environment and employment issues were visible at the DPJ's briefing yesterday. Among DPJ's policies, Nippon Keidanren is most concerned about its goal of cutting greenhouse gas emissions by 25 percent by 2020 in comparison with the level of the base year of 1990. TOKYO 00001788 012 OF 012 Nippon Keidanren pointed out that a high target will greatly affect people's livelihoods. Secretary General Okada rebutted, "If the negative aspects of global warming are to be taken into consideration, we must devise ways to attain a severe goal," while adding, "Our goal is based on the precondition the U.S., China, and India join the framework to combat global warming." The DPJ and Nippon Keidanren thus remained out of sync. Nippon Keidanren also strongly opposed the DPJ's stance of placing a general ban on the dispatch of workers to manufacturers. As reasons for their opposition, the business federation cited that such a policy could deprive temporary workers of job opportunities and small- and medium-sized companies, in particular, have no financial strengthen to employ permanent workers. Policy Research Council Chairman Naoshima of the DPJ sought understanding, saying, "We want to designate special employment areas to which temporary workers can be dispatched, instead of placing a uniform ban." Nippon Keidanren Chairman Mitarai insisted, "Dispatching temporary workers to the manufacturing sector should basically be approved." The DPJ indicated its stance of achieving economic growth through increased consumption, by means such as providing child allowance. Mitarai urged the party to reveal its growth strategy in the form of, for instance, the government designating areas into which it will invest heavily. Some business leaders gave the DPJ's manifesto high marks, noting that amid a change of administration becoming the greatest focus of attention in the Lower House attention, the DPJ's approach has become realistic. Meanwhile, referring to the LDP manifesto, Mitarai pointed out that the time required for materialization is too long. Nippon Keidanren intends to evaluate the details of both parties' manifestos and use the results when making fresh policy proposals. ZUMWALT

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