JAPANESE MORNING PRESS HIGHLIGHTS 11/12/09

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SUBJECT: JAPANESE MORNING PRESS HIGHLIGHTS 11/12/09

INDEX:

1) Prime Minister's daily schedule (Nikkei)

Futenma issue:
2) Japan and U.S. to establish working group for Futenma relocation
issue (Yomiuri)
3) U.S., Japan foreign ministerial in Singapore: Clinton calls for
swift decision on Futenma relocation (Nikkei)
4) Mass rally in Okinawa rejects new base at Nago; planning
committee representative presents petition to U.S. Embassy
(Akahata)

Hit-and-run accident in Okinawa:
5) Hit-and-run accident; an unusual degree of consideration for
Okinawa (Mainichi)
6) Hit-and-run accident; Okinawa police to send papers on the
service member to the local prosecutor's office (Mainichi)
7) PM asks U.S. to hand over U.S. service member suspected of
hit-and-run (Mainichi)

Defense & security:
8) U.S. proposes to Japan relocating half of the F-15s deployed at
Kadena to Misawa (Sankei)
9) Afghan aid to be limited to civilian assistance; debate over
dispatch of SDF deemed insufficient (Yomiuri)
10) Ginowan mayor opposed to relocation of Futenma facility within
Okinawa (Nikkei)

Politics:
11) Submission of bill granting suffrage for permanent foreign
residents to be postponed (Nikkei)

Economy:
12) Finance Minister Fujii supports strong dollar; Treasury
Secretary Geithner welcomes Hatoyama administration's emphasis on
domestic expansion (Nikkei)
13) Hatoyama stresses domestic expansion to be core of growth
(Nikkei)

Environment:
14) President Obama, PM Hatoyama to affirm coordination to curb
global warming (Nikkei)

Imperial Family:
15) Emperor celebrates 20th anniversary of ascension to throne
(Yomiuri)

Articles:

1) Prime Minister's Official Residence (Kantei)

Prime Minister's schedule, November 11

NIKKEI (Page 2) (Full)
November 12, 2009

08:54 Arrived at the Prime Minister's Official Residence (Kantei).
09:12 Met Wang Jiarui, head of the International Department of the
Chinese Communist Party's Central committee.
10:01 Met U.S. Treasury Secretary Geithner. Received 2008 account
report from Board of Audit President Nishimura. Met Senior Vice

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Foreign Minister Takemasa, Administrative Vice Foreign Minister
Yabunaka, and Deputy Foreign Minister for Foreign Affairs Sasae.
11:58 Attended national convention of the National Association of
Town and Village Assemblies held at NHK Hall.
12:53 Arrived at Kantei.
14:06 Met Takemasa, Senior Vice METI Minister Mashiko, and Sasae.
15:26 Met Mashiko and Natural Resources and Energy Director General
Ishida.
16:07 Met Lower House Foreign Affairs Committee Chairman Suzuki,
followed by Japan Sake Brewers Association Chairman Akio Tatsuuma,
with Lower House member Koichiro Genba.
17:00 Attended government-DPJ executive meeting.
18:11 Met Yabunaka.
19:55 Met Environment Minister Ozawa and Deputy Chief Cabinet
Secretary Matsuno, joined by Special Advisor to the Prime Minister
Nakayama, at his official residence.

2) Japan, U.S. agree to establish cabinet-level working group on
Futenma

YOMIURI (Page 2) (Full)
November 11, 2009

The governments of Japan and the United States agreed on Nov. 10 to
establish a cabinet-level working group of the foreign and defense
ministers of the two countries on the relocation of the U.S. Marine
Corps' Futenma Air Station in Okinawa Prefecture. The agreement was
reached in line with the intention of Foreign Minister Katsuya
Okada. Okada held talks with U.S. Ambassador to Japan John Roos in
the Diet building on the same day, and he announced the agreement at
a press conference in the evening. Ambassador Roos will attend
meetings as a proxy for the secretary of state and secretary of
defense as necessary.

The working group will discuss the Futenma replacement facility in a
wide-ranging manner, including the existing plan to relocate the air
station to the coastal area of Camp Schwab and Okada's idea of
integrating Futenma with Kadena Air Base. In his talks with Okada on
Nov. 10, Ambassador Roos said to the Japanese foreign minister,
"This does not constitute a shift from our previous position."

3) Foreign Minister Okada, Secretary of State Clinton agree on
reaching conclusion on Futenma issue at early date

NIKKEI (Page 2) (Full)
November 12, 2009

Toshihiro Tonishi in Singapore

Foreign Minister Katsuya Okada and U.S. Secretary of State Hillary
Clinton met in Singapore on Nov. 11 and agreed to create a new
ministerial level working group that will work for an early
conclusion on the issue of relocation of the U.S. forces' Futenma
Air Station. They did not go into a detailed discussion on this
issue to avoid bringing the points of contention into the open. The
meeting gave priority to setting the stage for the Japan-U.S. summit
meeting on Nov. 13, but there is a possibility that the impact of
this volatile issue may continue to spread behind the scenes.

Okada indicated at the meeting that the Futenma issue "will be
resolved as soon as possible" and that efforts will be made to reach
a decision within the working group. Clinton said that, "I can

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understand that there is a need (for the Japanese side) to analyze
(the base issues) after the change of administration," expressing a
certain degree of understanding for the Japanese side's desire to
reexamine the existing bilateral agreement.

Okada did not bring up the idea of merging the Futenma base with
Kadena Air Base, which the U.S. side opposes, at this meeting.
Clinton did not broach this subject either. However, the U.S. side's
impatience to resolve the issue at an early date could still be
gleaned from the meeting.

Clinton did not forget to prod Japan with a warning about the
Futenma issue. She said: "It is undesirable for a situation of
uncertainty to continue. It is important to reach a conclusion as
soon as possible."

The U.S. government takes the position that "there can be no
relocation of U.S. Marines (from Okinawa) to Guam without Futenma
relocation." (Secretary of Defense Robert Gates) The U.S. Congress
is in the process of cutting back allocations for Guam relocation in
its budget formulation for year end. So it is possible that the U.S.
side may demand that Japan resolve this issue before the end of

2009.

Meanwhile, Okada also requested U.S. cooperation in dealing with the
hit-and-run incident in Yomitan Village, Okinawa, in which a U.S.
soldier has been detained. Clinton expressed regret for the death of
the victim and stressed that the U.S. will cooperate fully.

The two foreign ministers used Afghan aid and the North Korea issue
to play up bilateral cooperation in this meeting. Commenting on the
Japanese government's plan to offer a maximum of 5 billion dollars
in aid for Afghan reconstruction, Clinton said, "It is wonderful
that Japan is focusing on civilian aid." On the North Korea issue,
Clinton explained that U.S. negotiator Special Representative on
North Korea Policy Stephen Bosworth will visit the DPRK shortly. The
two ministers agreed to cooperate on working toward the resumption
of the Six-Party Talks.

On the democratization of Myanmar (Burma),Okada said, "Japan and
the U.S. should work together to ensure that all citizens are able
to participate in the general election scheduled for next year." The
two ministers confirmed that both countries will cooperate to
promote democratization.

4) Okinawa says "No" to construction of new military base; Okinawa
prefectural assembly makes appeal to government, U.S. Embassy

AKAHATA (Page 1) (Excerpts)
November 11, 2009

"We don't need any more bases in Okinawa. We oppose the building of
a new U.S. military base in Henoko or constructing a replacement
(for the Marine Corps' Futenma Air Station) within Okinawa." A rally
was held by the Okinawa Prefectural Assembly (on Nov. 8) at which
21,000 people gathered. Representatives of the assembly's executive
committee visited a government office and the U.S. Embassy yesterday
and demanded the immediate closure of the Futenma Air Base and the
return of the site to Japan. They also handed a letter of protest to
Kanagawa Governor Shigefumi Matsuzawa, who earlier said: "It is
impossible to relocate the facility outside the prefecture or the
nation."

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In the U.S. Embassy, Ginowan Mayor Yoichi Iha emphasized: "Even in
light of the United States' safety standards, the Futenma base
should be immediately closed and removed." In response to the U.S.
side's comment, "(The Japan-U.S. agreement) is the best choice,"
House of Representatives member Seiken Akamine of the Japanese
Communist Party stressed: "Although you say the Japan-U.S. agreement
is the best choice, the Okinawan people's patience has reached its
limit. The consensus of the Okinawan people is that no more bases
should be allowed to be constructed in the prefecture."

5) Hatoyama shows unusual degree of consideration toward Okinawa
over hit-and-run accident, fearing negative impact on Japan-U.S.
summit

MAINICHI (Page 2) (Excerpts)
November 12, 2009

In a fatal hit-and-run case in Yomitan Village, Okinawa Prefecture,
the U.S. military has taken the U.S. service member suspected of
having been involved in the accident into its custody. In response
to this case, Prime Minister Yukio Hatoyama is showing an unusual
degree of consideration toward Okinawa as seen in his reference to
the possibility that he might ask the U.S. to hand the suspect over
to the Japanese side prior to indictment. Hatoyama is apparently
aiming to prevent the Japan-U.S. Status of Forces Agreement from
developing into a political issue ahead of the Japan-U.S. summit
meeting set for Nov. 13 in order to ensure the meeting's success.

"Please deal with the accident properly before President Obama
visits Japan. Otherwise, I will have to refer to the case during my
meeting with the President." These were the instructions Hatoyama
gave to a Foreign Ministry official after learning that a U.S.
service member might have been involved in the accident. Meanwhile,
he told reporters: "We would like the U.S. military to hand the
suspect over to Japan swiftly, even prior to indictment.

6)Papers on hit-and-run case by alleged U.S. soldier to be sent to
prosecutors

MAINICHI (Page 31) (Full)
November 12, 2009

With regard to the hit-and-run accident resulting in the death of a
man of Yomitan village, Okinawa Prefecture, the Okinawa prefectural
police intend to send to prosecutors papers on a male soldier in his
20s attached to the U.S. Army's Torii Station on suspicion of
manslaughter and violation of the traffic law. The soldier brought
an automobile related to the case to a garage.

On the afternoon of Nov. 11, the police questioned the soldier about
the accident on a voluntary basis. The soldier admitted that at the
time of the accident he was driving through the site where the man's
body was found, but he reportedly made an ambiguous statement
regarding whether his vehicle struck the man.

The police have judged that there is no risk that the U.S. Army
soldier will destroy evidence and abscond, because the U.S. Army has
cooperated with them by allowing him to answer their questions. The
police intend to continue to question him on a voluntary basis. If
the papers are sent to prosecutors, there is only a very small
possibility that the U.S. Army soldier will be transferred to the

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local authorities before indictment.

7) Prime Minister to ask U.S. for handover of custody of U.S.
service member involved in hit-and-run accident

MAINICHI (Page 2) (Excerpts)
November 11, 2009

Ai Yokota

A U.S. service member is being detained by the U.S. military in
connection with a fatal hit-and-run accident in the village of
Yomitan, Okinawa Prefecture. Prime Minister Yukio Hatoyama, meeting
the press corps at the Prime Minister's Official Residence (Kantei)
on the evening of Nov. 10, expressed a plan to ask the U.S. side for
the pre-indictment handover of the custody of the suspect, something
that is not specified in the Japan-U.S. Status of Forces Agreement.
The Prime Minister said: "I want (the U.S. side) to handover custody
and make efforts for the settlement of the matter."

In this connection, Foreign Minister Katsuya Okada met with U.S.
Ambassador to Japan John Roos at the Kantei on Nov. 10 and asked for
cooperation in the investigation. "We will totally cooperate,"
Ambassador Roos responded. Col. James Woodard, commander of the U.S.
Army in Okinawa, said to Yomitan Mayor Keizo Yasuda on the same day:
"We will make maximum efforts for the handover of custody if there
is a request from the Japanese side."

8) Half of Kadena-based F-15 fighters to be redeployed to Misawa

SANKEI (Page 1) (Abridged)
November 11, 2009

The U.S. government has sounded out Japan on a plan to redeploy half
of the F-15 fighter jets deployed to the U.S. Kadena Air Base, which
straddles the town of Kadena and other municipalities in Okinawa
Prefecture, to the U.S. Misawa Air Base in the city of Misawa,
Aomori Prefecture, sources revealed yesterday. The Misawa base
currently deploys a total of about 40 F-16 fighter jets, which will
be all withdrawn to bases back in the United States. The plan is
being studied for a "Quadrennial Defense Review" report to be
released by the U.S. government in February next year. It could have
a serious impact on the security environment of the Far East.

The F-15 redeployment plan was unveiled by sources connected to
Japan-U.S. relations. The Kadena base will reduce its current
deployment of 48 F-15 fighters to 24 and redeploy the remaining 24
F-15 fighters to the Misawa base. This April, the U.S. government
also sounded out Japan on a plan to scale back on the deployment of
F-15 fighters to the Kadena base. At the time, however, the Aso
cabinet, a coalition government of the Liberal Democratic Party and
the New Komeito, expressed reservations about the proposal. The plan
has since been put on hold.

This time around, the U.S. government came up with a plan to
redeploy half of the Kadena-based F-15 fighters to the Misawa base
in order to address concerns over the removal of all U.S. fighter
planes from the Misawa base. However, the capabilities of the two
U.S. airbases, which have been keeping an eye on North Korea, will
be cut almost in half. The Hatoyama cabinet, a tripartite coalition
government of the Democratic Party of Japan, Social Democratic
Party, and People's New Party, has been insisting on the necessity

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of reviewing the presence of U.S. military bases in Japan. Given
this fact, the Hatoyama government is highly likely to accept this
proposal in the end.

Some government officials presume that cutting number of
Kadena-based F-15 fighter jets in half would serve to back up
Foreign Minister Katsuya Okada's advocacy of integrating the
heliport functions of the U.S. Marine Corps' Futenma Air Station in
the city of Ginowan, Okinawa Prefecture, into the Kadena base.

However, even if the Kadena-based F-15s are reduced, it will be
difficult to operate Air Force fighter jets and Marine Corps
choppers concurrently because their flying altitudes differ. Taking
this into account, the U.S. military will presumably not accept the
idea of relocating the Futenma-based helicopters to the Kadena
base.

As far as the F-15 is concerned, there would not be much difference
in flight distances from the Misawa and Kadena airbases to North
Korea. However, China has been building up its naval forces for
southward power projection. The U.S. military's readiness against
China's naval buildup will decline substantially, so the U.S.
government will likely propose sharing the Kadena base with the Air
Self-Defense Force's F-15 fighters.

9) Government decides to put off mobilizing SDF, limit aid to public
welfare due to lack of discussion

YOMIURI (Page 2) (Excerpts)
November 11, 2009

The government has decided to disburse 5 billion dollars, or 450
billion yen, for Afghanistan over five years starting this year. On
the aid package, the government decided yesterday to limit its
assistance to the public welfare area and to put off mobilizing
Self-Defense Force (SDF) troops to that nation. Behind this decision
is a lack of discussion on a dispatch of SDF personnel overseas in
the Democratic Party of Japan. In addition, the Social Democratic
Party, a junior ruling party, has been strongly opposed to
dispatching SDF personnel overseas.

Ahead of U.S. President Barack Obama's visit to Japan on Nov. 13,
the government hurriedly compiled its assistance measures for
Afghanistan under pressure to present during the Japan-U.S. summit a
comprehensive package of international contribution measures to
replace the ongoing Maritime Self-Defense Force's refueling mission
in the Indian Ocean, which the government plans to halt in January.
The amount of 5 billion dollars over five years is less than the
32.1 billion dollars the U.S. has already pledged, but it is the
second largest amount, exceeding the amount pledged by Britain.

It is still uncertain, though, whether the increase in financial aid
will lead to expanding manpower contributions in Afghanistan. Given
the deteriorating security situation in that nation including
terrorist attacks targeting foreigners, the government now finds it
difficult to dispatch civilians there. The Japan International
Cooperation Agency (JICA) had deployed about 30 staff members in
Afghanistan in August but has reduced the number to nine and is
currently waiting for public order to be restored.

10) Ginowan mayor: Okinawan people oppose Futenma relocation within
Okinawa

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NIKKEI (Page 2) (Full)
November 12, 2009

Yoichi Iha, mayor of Ginowan, Okinawa Prefecture, called on Deputy
Chief Cabinet Secretary Yorihisa Matsuno at the Prime Minister's
Official Residence (Kantei) yesterday. In connection with the issue
of relocating the U.S. Marine Corps' Futenma Air Station, situated
in Ginowan, Iha said to Matsuno, "The Okinawan people are opposed to
the relocation of the Futenma base within the prefecture. We want
the government to secure safety by closing (the base)."

11) Introduction of foreign residents' suffrage bill postponed to
next regular Diet session

NIKKEI (Page 2) (Full)
November 12, 2009

The government and the ruling Democratic Party of Japan yesterday
decided to entrust DPJ Secretary General Ichiro Ozawa with the
handling of a bill to grant local suffrage to permanent foreign
residents. Ozawa's view is that it is desirable that the legislation
be submitted to the Diet as a government-initiated bill. Therefore,
the outlook is that the introduction of the bill will be put on the
back burner until the next regular session of the Diet.

12) Japan-U.S. finance ministerial: Finance minister supports strong
dollar: Treasury secretary welcomes Japan's effort to expand
domestic demand

NIKKEI (Page 1) (Full)
November 11, 2009

Finance minister Hirohisa Fujii on the evening of Nov. 10 met in
Tokyo with U.S. Secretary of the Treasury Geithner, who is now
visiting Japan for the first time after taking office. Concerning
the continuing weakness of the dollar on the foreign exchange
market, Fujii indicated his stance of supporting the global economy
based on the U.S. dollar. They vowed that Japan and the U.S. should
cooperate to turn around the global economy, which is beginning to
climb out of the financial crisis. Geithner expressed his intention
to welcome the Hatoyama administration's stance of attaching
importance to growth led by domestic demand

Fujii during the meeting said, "I think highly of your seeking a
strong dollar." Geithner nodded his head. Emerging from the meeting,
Fujii told the press corps, "(The global economy) is based on the
dollar economy. What is most important for international cooperation
is that Japan and the U.S. be on good terms with each other." He
thus revealed that the two countries reaffirmed a policy of close
cooperation on the economic front.

The finance ministers of the two countries have also agreed to
correct the imbalance of the global economy, meaning the over
reliance of the global economy on U.S. consumption. They have also
reportedly vowed that the U.S. raise its savings' rate and Japan
switch to an economy driven by domestic demand. According to a
senior U.S. Treasury Department official, Geithner stated that he
welcomes the Hatoyama Administration's stressing the importance of
growth through domestic expansion.

It was agreed at the meeting of finance ministers and central bank

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governors for the Group of Twenty nations (G-20) held this month
that each participating country set a mid-term goal, such as a
growth goal, so as to correct the imbalance of the global economy.
The challenge is to end the global economy's excessive reliance on
U.S. consumption and for nations with trade surpluses, such as China
and Japan, to expand domestic demand.

13) PM Hatoyama stresses domestic demand-driven economic growth at
meeting with U.S. Treasury Secretary Geithner

NIKKEI (Page 5) (Full)
November 12, 2009

At his meeting with U.S. Secretary of the Treasury Timothy Geithner
on Nov. 11, Prime Minister Yukio Hatoyama said: "Growth centered on
domestic demand is important. It is necessary to take the required
fiscal measures." He added: "At the same time, fiscal discipline is
also necessary. The government as a whole is working to eliminate
wasteful spending." Geithner replied that "the Democratic Party of
Japan's policies to expand domestic demand are excellent."

Bank of Japan (BOJ) Governor Masaaki Shirakawa also met Geithner on
the same day. They exchanged views on the world economy, trends in
the financial market, and other issues.

14) Japan, U.S. expected to agree at summit to take joint steps in
curbing global warming

NIKKEI (Page 1) (Excerpts)
November 12, 2009

Prime Minister Yukio Hatoyama and U.S. President Barack Obama will
likely agree at their summit to be held on Nov. 13 to cooperate with
each other on environmental and energy technologies. The two
countries plan to launch joint research on "smart grid" technology,
the next generation power transmission network, in Hawaii and
Okinawa Prefecture early next year. They will aim to make the
technology they have developed an international standard after test
demonstrations. Both countries are expected to come up with
broad-based collaboration on measures to curb global warming,
including carbon dioxide capture and storage and the promotion of
nuclear power generation.

The focus of the Nov. 13 summit will be on how to strengthen the
bilateral alliance. Since the rift between the views of the two
countries over the relocation of the U.S. Marine Corps' Futenma Air
Station remains unresolved, it will be difficult for them to reach a
ground-breaking agreement on the security area. As such, they want
to make cooperation on the environment and energy fields one of the
showcases of the summit.

15) Emperor holds press conference ahead of 20th anniversary of his
accession

YOMIURI (Page 1) (Full)
November 12, 2009

The Emperor, along with the Empress, held a press conference prior
to a government-sponsored ceremony today commemorating the 20th
anniversary of his accession. Looking back on the last 20 years, the
Emperor expressed concern about the people's livelihoods amid the
severe economic situation, saying, "I am deeply concerned about the

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people's lives." Asked about the possibility that the declining
number of young imperial family members will make stable succession
to the Imperial throne difficult in the future, the Emperor
indirectly indicated for the first time that he and the Empress are
concerned about the matter, replying, "I think your question is
accurate."

"I have spend the years thinking about the long history of the
emperors and the general public, while exploring how best to
function as a symbol of the state," Emperor Akihito, who has become
the first emperor to take the throne under the existing
Constitution, said about the last 20 years. "I would like to see a
society where everyone supports one another. I wish for the peace
and security of Japan and the health and happiness of the Japanese
people."

On the question of imperial succession, the Emperor emphasized that
any matter that concerns the system must be left to Diet
discussions. The Emperor also expressed his desire to entrust the
next generation with the question of the modalities of the imperial
family, saying: "It is important that the views of Crown Prince
Naruhito and Prince Akishino who supports the Crown Prince are
respected."

ROOS