JAPANESE MORNING PRESS HIGHLIGHTS 11/13/09

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E.O. 12958: N/A TAGS: OIIP KMDR KPAO PGOV PINR ECON ELAB JA SUBJECT: JAPANESE MORNING PRESS HIGHLIGHTS 11/13/09 INDEX: 1) Top headlines 2) Editorials 3) Prime Minister's daily schedule (Nikkei) Japan-U.S. summit: 4) Japan and U.S. leaders to pledge cooperation on global warming and arms reduction; Futenma issue to be placed on back burner (Tokyo Shimbun) 5) Japan and U.S. agree on cooperation in five areas including the environment and energy (Yomiuri) 6) Japan-U.S. joint statement to include target of 80 PERCENT reduction in greenhouse gas emissions by 2050 (Nikkei) 7) At summit Japan and U.S. to steer clear of focus on Futenma (Mainichi) 8) Japan eager to choreograph successful summit (Yomiuri) Foreign relations: 9) Ainu Association Chairman invited to Obama speech (Mainichi) 10) Hatoyama hopes for U.S. participation in East Asia Community (Asahi) Politics: 11) Defense Parliamentary Secretary objects to budget screening (Sankei) 12) Reserve funds of 700 billion yen to be returned; budget screening team eyes using funds (Nikkei) Economy: 13) Japan, U.S., and Europe to strengthen cooperation in patent inspections (Nikkei) 14) Two U.S. carriers battling for JAL (Yomiuri) Articles: 1) TOP HEADLINES Asahi: Government Revitalization Unit calls public corporations to return 600 billion yen in funds to state coffers on day two; money can become new "buried treasure" Mainichi: Government panel eyes clear criteria on screening work overlapping with local regions; corporations hiring retired government officials also subject to screening Yomiuri: Government panel urges return of 627.1 billion yen in "buried treasure" in special accounts Nikkei: China to stockpile coal; imports of iron ore, copper also on sharp rise; competition for resources intensifying Sankei: Emperor celebrates 20 years on the throne; expresses hope for the people to nurture ties and overcome difficulties Tokyo Shimbun: Tokyo District Public Prosecutors Office special investigation squad TOKYO 00002622 002 OF 009 paying attention to unexplained 500 million yen reported by Prime Minister's political fund management organization over five years Akahata: Health and Labor Ministry considering eliminating evacuation, fire resistance criteria for daycare centers; Safety for children and state responsibility might be abandoned 2) EDITORIALS Asahi: (1) Afghan aid: Japan should do what is possible boldly (2) Hisaya Morishige, a renowned actor of postwar period Mainichi: (1) Inoculation system effective against the new strain of influenza necessary (2) A visit to North Korea by high-ranking U.S. official: Stand strong against intimidation Yomiuri: (1) Budget screening work: Aim is understandable, but method is problematic (2) Case of the murder of British woman: Suspect arrested owing to information from citizens Nikkei: (1) Distribution of payments to medical institutions must be reviewed rather than increasing payments (2) Board of Audit must be utilized more effectively Sankei: (1) U.S. President's visit to Japan: "Situation of uncertainly" must be corrected (2) Prime Minister's political funds: Does DPJ not investigate? Tokyo Shimbun: (1) Emperor marks 20th anniversary of reign: Emperor of Heisei always on the side of the people (2) Wasteful spending of tax money: Board of Audit must work closely with Government Revitalization Unit Akahata: (1) Take first step toward abolishing sympathy budget 3) Prime Minister's Official Residence (Kantei) Prime Minister's schedule, November 12 NIKKEI (Page 2) (Full) November 13, 2009 10:09 Met Internal Affairs and Communications Minister Haraguchi and Lower House member Seiji Osaka at the Prime Minister's Official Residence (Kantei). 11:04 Met Ambassador to U.S. Fujisaki, Administrative Vice Foreign Minister Yabunaka, and deputy foreign ministers for foreign affairs Sasae and Otabe, joined by Senior Vice Foreign Minister Takemasa. 13:58 Went to National Theatre of Japan together with National Strategy Minister Kan and Chief Cabinet Secretary Hirano to meet the Emperor and Empress. Attended ceremony commemorating the 20th anniversary of the Emperor's accession. TOKYO 00002622 003 OF 009 15:24 Along with Kan and Hirano saw off the Emperor and Empress. 15:38 Met Foreign Minister Okada and Otabe at Kantei. Okada stayed behind. 16:12 Met Cabinet Intelligence Director Mitani. 17:04 Gave interview to Singaporean media companies. 18:15 Attended event commemorating the 20th anniversary of the Emperor's accession held plaza in front of the Imperial Palace. 19:19 Arrived at his official residential quarters. 4) Japanese, U.S. leaders to affirm cooperation over global warming, nuclear arms reduction, but to sidestep Futenma issue TOKYO SHIMBUN (Page 1) (Excerpts) November 13, 2009 U.S. President Barack Obama will visit Japan today for the first time since assuming office in January and hold a meeting with Prime Minister Yukio Hatoyama at the Prime Minister's official Residence (Kantei). The two leaders are expected to reaffirm that they will cooperate in dealing with global warming and promoting nuclear arms reduction while putting off a conclusion on the issue of relocating the U.S. Marine Corps' Futenma Air Station in Ginowan City, Okinawa Prefecture, the thorniest issue between Japan and the U.S. On the Futenma issue, Washington has urged Tokyo to swiftly implement the current plan to construct an alternative facility in a coastal area of Camp Schwab, but the Hatoyama administration remains indecisive. In the summit meeting today, the Japanese and U.S. leaders are expected to just confirm the need to make efforts for an early resolution of the Futenma issue in order to avoid throwing into relief the gap between the two countries. Speaking before reporters at the Kantei last evening, Hatoyama said: "It is necessary to convey to the President in some form or other the government's willingness to bring about a settlement at an early date." Regarding nuclear arms reduction, coordination is now underway for the two leaders to issue a statement that specifies their determination to realize a nuclear-free world, proposed by the President. The two countries are also studying the possibility of issuing a statement in which they will vow to strengthen cooperation in containing global warming. With respect to aid to Afghanistan, Hatoyama will inform the President of the government's new package of assistance measures worth 5 billion dollars, or 450 billion yen, over five years starting this year. He will also ask for the President's understanding in regard to the policy of halting the Maritime Self-Defense Force's refueling mission in the Indian Ocean in January. 5) Japan, U.S. to agree on cooperation for five projects in environment and energy areas YOMIURI (Page 2) (Full) November 13, 2009 Prime Minister Yukio Hatoyama and U.S. President Barack Obama will affirm during their meeting on the 13th that the two countries will cooperate in the environment and energy areas. According to an outline of the cooperation plan released yesterday, the two TOKYO 00002622 004 OF 009 countries will promote joint research on five projects, including the smart grid strategy, to adjust electricity supply and demand among regions by making use of information technology (IT) and the development of Carbon Dioxide Capture and Storage (CCS) technology to bury in the ground carbon dioxide emitted from thermal and other power plants. As early as 2010 Japan and the U.S. will set up a task force to implement plans for cooperation on the smart grid and hammer out an action plan. The two countries aim to advance global-warming countermeasures by deepening their cooperation in cutting-edge fields and to lead the world in new growth areas. Japan and the U.S. will also jointly conduct research on atomic-power generation, fuel cells, hydrogen technology, renewable energy, and energy conservation. They announced a plan this spring to reach a package agreement to jointly expedite these projects in the environment and energy areas and launch joint research. Their leaders will reaffirm this plan in their summit meeting. 6) Japan, U.S. to issue joint statement on 80 PERCENT greenhouse gas emission cut by 2050 NIKKEI (Page 1) (Full) November 13, 2009 Prime Minister Yukio Hatoyama will hold today a summit meeting with U.S. President Barack Obama at the Prime Minister's Official Residence (Kantei). The two leaders will issue a joint statement aiming to cut greenhouse gas emissions by 80 PERCENT by 2050, as well as to bring about a world free of nuclear weapons. They intend not to take up the relocation of the U.S. Marine Corps Air Station Futenma in Okinawa Prefecture, the key pending issue, as a major agenda item in their summit. Instead, the Futenma issue will be discussed at a working group meeting likely to be held early next week. In connection with his East Asian Community initiative, the Prime Minister is expected to tell the President that the U.S.'s involvement in the community is indispensable and that he welcomes it. The Prime Minister's aim is to ease the U.S. side's anxiety about his initiative. With regard to aid measures for Afghanistan, on which the Obama administration places priority, the Prime Minister will convey to the President that Japan will extend up to 5 billion dollars in fresh civilian aid to Afghanistan over five years from 2009. The Hatoyama administration intends to portray its civilian aid to Afghanistan as a new set of measures to support efforts by the United States in place of the Maritime Self-Defense Force's refueling mission in the Indian Ocean, which will expire next January. 7) Cabinet-level Futenma group to be established to avoid discussing contentious matter at summit MAINICHI (Page 2) (Full) November 13, 2009 Shinichiro Nishida, Tomoko Onuki Since the governments of Japan and the United States have agreed to TOKYO 00002622 005 OF 009 establish a cabinet-level working group to reach a swift conclusion to the question of relocating the U.S. Marine Corps' Futenma Air Station (in Ginowan, Okinawa Prefecture),the Futenma issue is unlikely to take center stage at the Japan-U.S. summit today. However, there is a subtle difference between the motives of the two governments over the significance of the establishment of the working group. The Nago mayor, who has accepted the existing plan to relocate Futenma to the coastal area of Camp Schwab (in Nago, Okinawa Prefecture),announced on Nov. 12 that he will welcome an alternative plan if ONE is presented, and called for a swift decision. There are likely to be many obstacles along the path toward a settlement of the issue. "I commend the Nago mayor on the difficult decision he had to make. We are examining several options while respecting such thinking and the feelings of the people of Okinawa." Prime Minister Yukio Hatoyama reiterated his previous stance of gauging the Okinawa public's consensus to the press corps at the Prime Minister's Official Residence (Kantei) yesterday evening, while indicating that he will take Nago Mayor Yoshikazu Shimabukuro's "difficult decision" into consideration. Hatoyama's insistence on postponing a conclusion comes from his resolve to end Japan's diplomacy of blindly following the United States and not to accept U.S. requests easily. It also comes from his intention to avoid stumbling in the initial process of building (a new) Japan-U.S. alliance, which he has described as the cornerstone of Japan's diplomacy. The U.S. side, too, also decided not to allow any specific issues to be focused on in Japan, the first leg of (President Obama's) Asia tour, to avoid giving the impression that his visit has failed. This is what led to Washington's decision not to discuss contentious matters during the Japan-U.S. summit. The Japanese side attaches importance to the fact that the policy direction to postpone a conclusion was confirmed beforehand, with one official saying, "The U.S. side has officially acknowledged the need for examination work." The U.S. side, on the other hand, has not changed its stance of calling for the implementation of the existing plan, regarding the working group as a framework for the swift completion of the examination. Foreign Minister Katsuya Okada and Secretary of State Hillary Clinton agreed in their talks in Singapore on Nov. 11 to reach a conclusion swiftly through working-group talks. "I received a report from Foreign Minister Okada," Hatoyama told the press corps yesterday. "Rather than promising to resolve the matter at an early date, (the Japanese government) conveyed (to the U.S. government) its desire to settle the matter." 8) "Scanner" column: Government scrambles to stage "good Japan-U.S. relations" for President Obama's visit YOMIURI (Page 3) (Full) November 13, 2009 Aya Igarashi, Hideki Kawasaki U.S. President Barack Obama will make his first visit to Japan on Nov. 13 and hold a summit meeting with Prime Minister Yukio Hatoyama. The Japanese government is making vigorous efforts to TOKYO 00002622 006 OF 009 stage the "success" of this visit amid strains in the Japan-U.S. relationship on such issues as the relocation of the U.S. forces' Futenma Air Station. However, it is uncertain whether the Prime Minister will behave according to prior arrangements due to his own attitude toward the United States and his political style. Developing an agenda When he emerged from his official residential quarters on the morning of Nov. 12, Hatoyama told reporters that "preparations are underway" for the Japan-U.S. summit. Hatoyama, who advocates "political leadership," tends not to rely on the question and answer scenarios prepared by the bureaucrats and likes to speak "in his own words" at meetings. However, tension is high in the bilateral relationship over Futenma and other issues. The Ministries of Foreign Affairs and Defense are edgy because they "cannot afford to make mistakes at this summit meeting." Hatoyama held preparatory study sessions for the summit with Senior Vice Foreign Minister Koichi Takemasa and Vice Foreign Minister Mitoji Yabunaka on Nov. 11 and 12. According to senior Ministry of Foreign Affairs (MOFA) officials, the Prime Minister listened intently to the briefing and made occasional suggestions about wording and expressions. In its attempt to make the summit a success at all cost, the government has been saying "the Japan-U.S. relationship is not limited to the Futenma issue" (according to a government source) as a precautionary measure and has been scrambling to develop an agenda. Its strategy is to demonstrate the achievements of the summit by drafting joint communiqus on nuclear disarmament, global warming prevention, and other areas. In particular, a package of Afghan aid measures worth a total of 5 billion dollars (approximately 450 billion yen) over five years starting this year to replace the Maritime Self-Defense Force's refueling mission in the Indian Ocean has been prepared as the biggest "present" for the President's trip to Japan. While concrete aid measures are still mostly undetermined, a senior MOFA official says that this is an amount that was "compiled frantically in time for the President's visit." U.S. Secretary of State Hillary Clinton indicated repeatedly at her meeting with Foreign Minister Katsuya Okada in Singapore on Nov. 11 that Japan's efforts are "very much appreciated." Slip of the tongue However, there is concern in the government that in his enthusiasm to speak "in his own words," the Prime Minister may make a slip of the tongue, which may cancel out all the preparations that have been made. Hatoyama astonished reporters again at the Prime Minister's Official Residence (Kantei) on the evening of Nov. 12. Even though it had just been agreed upon at the Japan-U.S. foreign ministerial meeting on Nov. 11 to "reach a conclusion as soon as possible" on the Futenma issue, Hatoyama said: "(The foreign minister) has not promised to resolve the issue quickly but merely conveyed his desire to work for an early solution." This statement could be taken to mean that the two foreign ministers did not reach an agreement. The Prime Minister's aides say that "he is 'studying independently' very hard even at his official residential quarters." However, a TOKYO 00002622 007 OF 009 senior MOFA official seemed anxious when he said, "It's up to the Prime Minister to decide whether he will read from the notes we have prepared or say something different." Leaving the President behind? With the President's trip to Japan being delayed by ONE day, he will be in Japan until Nov. 14. This has given rise to unexpected complications. Hatoyama will fly to Singapore for the APEC Summit after the bilateral summit and the reception for the President on the evening of Nov. 13. Therefore, he will be leaving Japan ahead of the President, who has activities scheduled for Nov. 14. The concerned officials are particularly nervous about the President's luncheon with the Emperor at noon on Nov. 14. The Prime Minister will not be in Japan at that time. It is feared that the absence of the Prime Minister at the U.S. President's audience with the Emperor "may be a breach of protocol and may be unprecedented" (according to MOFA). This is another example of Hatoyama's unprecedented diplomacy. 9) Ainu Association head invited to U.S. President Obama's speech on Nov. 14 MAINICHI (Page 26) (Full) November 13, 2009 Tadashi Kato, head of the Ainu Association of Hokkaido, has been invited to a speech that will be delivered on Nov. 14 in Tokyo by U.S. President Barack Obama, who will visit Japan for the first time. Kato was delighted with the invitation, saying, "I am grateful to him for shedding light on the Ainu as the original inhabitants of Japan." The speech will be hosted by the U.S. side and 1,500 Japanese and foreign guests will attend it. 10) Hatoyama wants U.S. to join in East Asian Community initiative ASAHI (Page 4) (Full) November 13, 2009 Prime Minister Yukio Hatoyama expressed hope for the United States to participate in the framework of his East Asian Community initiative. "The United States' security efforts deserve to be appreciated," Hatoyama told a Singaporean news organization in an interview yesterday before leaving Japan for the upcoming Asia-Pacific Economic Cooperation (APEC) forum. "I want the United States to join us in the security area," he added. 11) Nagashima raises objection to budget screening SANKEI (Page 5) (Full) November 13, 2009 The Defense Ministry held a policy meeting yesterday, during which Akihisa Nagashima, ONE of the ministry's two parliamentary vice ministers, raised an objection to the Government Revitalization Unit's budget screening process since it includes defense-related spending. "Their budget screening includes a number of items that should not be concluded in a short period of time," Nagashima said. TOKYO 00002622 008 OF 009 "They should discuss these items thoroughly from the perspective of defending the peace and security of Japan over a long period of time," he added. Nagashima specifically mentioned defense procurement and Japan's burden of sharing costs for the stationing of U.S. forces in Japan (omoiyari yosan or literally "sympathy budget"). 12) Government panel calls for return of 700 billion yen in funds or reserves to state coffers NIKKEI (Page 1) (Excerpts) November 13, 2009 The Government Revitalization Unit, chaired by Prime Minister Yukio Hatoyama, continued work yesterday to screen fiscal 2010 budget requests with the aim of sorting out projects deemed to be a waste of taxpayers' money. In the screening process, the panel focused on 24 items and 67 projects. For many of the funds of public foundations and reserves in special accounts, the panel judged that their full amounts be returned to state coffers. According to a simple calculation based on the balance at the end of fiscal 2008 of the funds and reserves that were judged to be returned, their total amount is approximately 700 billion yen. 13) Japan, U.S., European countries to cooperate for faster screening of international patent applications NIKKEI (Page 7) (Lead para.) November 13, 2009 The patent offices of Japan, the U.S. and European countries will strengthen cooperation for the screening of international patent applications. They will ease the conditions for the application of the Patent Prosecution Highway (PPH) system starting in January next year so that applicants can make patent applications in other countries before obtaining the patent in their own countries. Up until today, applicants could only use the system after obtaining patents in their own countries. This will help Japanese companies operating in Europe and the U.S., including automakers and consumer electronics makers, significantly reduce the time and cost taken to obtain patents. Japan, the U.S. and European countries are expected to reach an agreement to ease conditions for the use of the PPH at their patent agency directors general meeting to be held on Nov. 13 in Kyoto. 14) Two American carriers scrambling for stakes in JAL: American Air Lines, Delta Air Lines in battle with eye on liberalization of Japan's national flag air carrier YOMIURI (Page 11) (Excerpts) November 13, 2009 Hiroshi Ikematsu, New York American Airlines of the U.S., the world's second largest air carrier, has revealed its plan to propose investing in Japan Airlines jointly with TPJ, a leading U.S. investment fund, heating up competition with Delta Air Lines of the U.S., the largest carrier in the world, which is also exploring a business tie-up with JAL. They are approaching JAL because tying up with it is indispensable for them to secure a commanding lead in competition in the run-up to TOKYO 00002622 009 OF 009 liberalization of the aviation industry likely to be realized between Japan and the U.S. However, since JAL is now under state-led reconstruction, a settlement is not yet in sight. Tug-of-war In an interview with the Yomiuri Shimbun, Chief Financial Officer Thomas Horton of AMR Corporation, the parent company of American Air Lines, on Nov. 12 underscored that "firmly upholding strategic relations (with JAL) will produce the greatest value." He revealed his intention to help JAL remain a member of the oneworld alliance like American Air Lines, including cooperation in financial terms as well. Delta Air Lines' share of the Pacific Route connecting Japan and the U.S. is 32 percent. That of American Air Lines is 8 percent. JAL's share is 22 percent. If JAL ties up with Delta Air Lines, American Air Lines would suffer an overwhelming setback on the Japan-U.S. route. In the meantime, Delta Air Lines had already proposed investing billions of yen in JAL. It has also proposed shouldering the cost of JAL, if it ties up with it, becoming a member of its aviation alliance SkyTeam. Delta Air Lines have made those proposals to counter American Air Line's argument that switching the aviation alliance would impose a fiscal burden. American Air Lines and Delta Air Lines had basically agreed to stop fighting, when Transport Minister Maehara in late September came up with a policy of having the JAL Reconstruction Task Force, a group of experts, reformulate a reconstruction program. However, the battle has once again become active since the end of October, when JAL asked the Enterprise Turnaround Initiative Corporation of Japan (ETIC) for financial assistance. The two carriers have concluded contracts with consulting companies in order to strengthen their appeal to the government. They have also dispatched a number of executive-level officers to Japan. ROOS