JAPANESE MORNING PRESS HIGHLIGHTS 03/20/09

UNCLAS SECTION 01 OF 09 TOKYO 000624 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 03/20/09 Index: North Korea problem: 1) Diplomatic source: North Korea in final stage of readying for missile launch, with fuel trucks moving to site (Sankei) 2) US commanders: North Korea readying new type of medium-range missile (Sankei) 3) US commanders: North Korea's missiles could reach Okinawa and Alaska: "Cannot disregard the threat" (Nikkei) 4) Japanese public to be warned by J-ALERT about approaching North Korean missile, but most areas in danger not covered by system (Nikkei) 5) Government mulling additional sanctions on North Korea but effect may be limited (Asahi) Anti-piracy operations: 6) MSDF vessels sent to waters off Somalia to deal with piracy will be there and operational March 30 (Yomiuri) 7) Japan to sign pact with Djibouti in order to carry out anti-piracy operations from that county (Nikkei) 8) Democratic Party of Japan in own report on anti-piracy bill wants government to use the Japan Coast Guard and not the SDF for overseas operations (Yomiuri) 9) Debate again starts in the UN over expansion of the Security Council (Yomiuri) 10) IMF gives Japan one of its lowest estimates ever, minus 5.8 PERCENT economic growth in 2009 (Yomiuri) 11) Ruling camp ready to spend 300 billion yen for job creation in regions of Japan (Yomiuri) 12) Questioning of DPJ head Ozawa by prosecutors in connection with his secretary's arrest will be postponed (Nikkei) 13) Popular weekly reaches conciliation with protesting former U.S. embassy employee over phony charges appearing in the magazine (Asahi) Articles: 1) Fuel tank lorries moving around missile site; N. Korea in final phase of readiness to launch missile SANKEI (Top play) (Abridged) March 20, 2009 North Korea has been preparing to launch an advanced type of the Taepodong-2, a long-range ballistic missile, as a "satellite." Tank lorries carrying fuel needed to launch a missile began moving earlier this month to the east side of a launch pad at Musudanri in that country's northeastern North Hamkyong Province, the Sankei Shimbun learned yesterday from sources familiar with Japan-U.S. diplomatic relations. When North Korea launched missiles in 1998 and 2006 as well, tank lorries began to move around about 20 days before missile launches. The recent busy moves of those fuel-carrying vehicles prove that North Korea is now in the final phase of its readiness to launch a "satellite" between April 4 and 8 as it has announced. According to the sources, U.S. reconnaissance satellites, which are TOKYO 00000624 002 OF 009 watching developments in North Korea, have closely captured tank lorries carrying rocket engine propellant. The new Taepodong-2 missile with a longer range was carried out of a factory near Pyongyang, North Korea, around Feb. 8, and it was loaded into a freight train and was moved to Musudanri. At that time, it was also confirmed that a nearby road was under construction for expansion. Around mid-February, a missile tracking and controlling radar facility was located in an area north of the launch pad and a fueling facility was also set up on the east side of it. In late February, several fueling-carrying tank lorries were confirmed as they were moving around the launch pad. The fuel was carried to the fueling facility. "They have now only to pipe fuel into the missile from the fueling facility before launching it," a source said. It also seems that the launch pad was stretched and the missile's fuel tank was enlarged for a longer range at the same time. Furthermore, tank lorries began earlier this month to show busy moves near Musudanri, according to the sources. 2) N. Korea deploying new intermediate-range missile: U.S. commander SANKEI (Page 1) (Full) March 20, 2009 Hideya Yamamoto, Washington U.S. Forces Korea Commander Sharp, testifying before the U.S. Senate Armed Services Committee on March 19, revealed that North Korea is now in deploying a new intermediate-range ballistic missile covering Okinawa, Guam, and Alaska. The new missile is believed to be different from the long-range ballistic missile that North Korea is currently preparing to launch. U.S. forces will hurry up their forward deployment of weapons to intercept missiles in their post-boost phase and will also deploy a missile defense (MD) system to Guam on a priority basis. However, the testimony indicates that the threat of North Korea's ballistic missiles is mounting. USFK Commander Sharp avoided referring to the current STATE of this intermediate-range ballistic missile's deployment. However, he warned of the long-range ballistic missile, saying: "They are continuing their development and familiarization of systems including longer-range strike capabilities." In addition, he criticized North Korea for its missile exports to Syria and Iran. As the U.S. military's readiness to intercept missiles, Sharp cited land- and sea-launched intercept missiles. In addition, he also cited the effectiveness of laser weapons as "light-speed weapons aiming at ballistic missiles in their initial phase." Pacific Command (PACOM) Commander Keating, also in his testimony before the committee, stated that the U.S. military would reinforce its MD system in Guam. He showed strong confidence in intercepting ballistic missiles with the U.S. military's current capabilities. TOKYO 00000624 003 OF 009 3) North Korean missile can reach Okinawa, Alaska NIKKEI (Page 6) (Full) March 20, 2009 Hiroshi Maruya, Washington General Walter Sharp, commander of U.S. Forces in Korea, yesterday presented a written statement to the Senate Armed Services Committee, in which he revealed that North Korea currently has deployed a new model intermediate ballistic missile with a range that can reach Okinawa, Guam, and Alaska. The statement also indicated that the DPRK is also continuing to develop a long-range intercontinental ballistic missile. Sharp pointed out that the purpose of Pyongyang's missile program is to expand its influence in the region, as well as to secure foreign currency. He expressed a strong sense of alarm, calling the missiles a "threat that cannot be overlooked." It was the first time for a top U.S. military brass to specifically state the range of a North Korean missile on an official occasion. North Korea has announced that it will conduct a long-range ballistic missile test between Aril 4 and 8. 4) Most of municipalities where North Korean "satellite" may fly over not equipped with J-ALERT system NIKKEI (Page 2) (Abridged) March 20, 2009 Most of local areas where a North Korean "satellite" may fly over are not equipped with the J-ALERT instantaneous alarm system involving the wireless anti-disaster system and satellites, it became clear yesterday. The ill-preparedness of the central and local governments might pose a problem in responding to an emergency situation. The J-ALERT is an alarm system designed to provide instantaneous notification of natural disasters, terrorist attacks and the like through loud speakers at various parts of Japan via the Fire and Disaster Management Agency and satellites. The system became operational in February 2007. It has become clear that municipalities in Akita Prefecture where a North Korean "satellite" may fly over are not equipped with this system. In Iwate Prefecture, only five out of 35 municipalities have this system. The prefectural side said: "Upon receiving information, we will send fax messages to the municipalities and make accouchements via the anti-disaster wireless system." But such a step might delay evacuation. As of March 1, 43 prefectures or 183 municipalities -- about 10 PERCENT of the total -- were equipped with the J-ALERT. Of them, only 102 municipalities have the facilities linked to outdoors speakers that can automatically make announcements. 5) North Korean missile: Call for additional sanctions gaining ground in government; Limited effect expected ASAHI (Page 3) (Full) March 20, 2009 TOKYO 00000624 004 OF 009 Prime Minister Aso on March 19 referred to the possibility of the Japanese government toughening its own sanctions against North Korea in the event the nation launches a ballistic missile. Since many sanctions have already been imposed on the nation, the effect of additional functions will presumably be limited. Even so, many government officials take the position that Japan should impose additional sanctions in order to express its protest. Concerning the government's possible response to such a launch, Prime Minister Aso at a meeting of the Upper House Budget Committee the same day said, "I would like to make a decision from an overall perspective, including further strengthening Japan's own sanctions." Following the launch of missiles and the implementation of a nuclear test by North Korea in 2006, the government is now imposing its own sanctions and sanctions based on a UN resolution. Among sanctions Japan is imposing independently, six-month terms for a ban on port calls by North Korean vessels and a ban on imports of goods from North Korea have already been extended four times. The fifth due date for those sanctions will come on April 13. It will likely be unavoidable to extend the due date for the fifth time. The term of the Liberal Democratic Party's (LDP) Special Committee on Measure to Address the Abduction Issue will be extended from the current six months to over one year. The panel has also compiled a set of additional sanctions, which include a total ban on exports to that nation, as well as the existing ban on imports, and submitted it to Chief Cabinet Secretary Kawamura on March 18. Assuming that deliberations on the legislation could encounter complications due to the divided Diet, it does not include sanctions that require amendments to related laws or new legal preparations. It only incorporates realistic proposals that can be handled under the existing legal system. In the event the government imposes additional sanctions, it will most likely do so, based on the panel proposals. However, a senior Foreign Ministry official said, "Additional sanctions will not give any new pains to the nation." Exports to North Korea stood at 5.1 billion yen in 2006. However, the amount dropped to 800 million yen in 2008. Such an amount this year is less than 30 million yen as of January. Exports of used bicycles and refrigerators, which were once main export items, have been stalled since June last year. The LDP plan includes a de facto ban on crewmembers of foreign vessels that violated the financial sanctions and the export and import sanctions financial sanctions from disembarking. However, those subject to such bans are in fact extremely limited. Even so, one panel member said, "If Japan takes the lead in toughening a stance to that nation, it would become able to face North Korea, displaying leadership in the international community." There is concern that North Korea could stiffen its approach to such issues as the abductions of Japanese nationals by its agents. However, Japan-North Korean relations have already cooled off. A government official said, "Additional functions will have no major impact." The government sees that since the launch of a missile by TOKYO 00000624 005 OF 009 North Korea will affect Japan most, neither the U.S., South Korea nor China will come up with a negative stance toward Japan intensifying its sanctions. 6) MSDF convoy to start operating around March 30 off Somalia YOMIURI (Page 2) (Full) March 20, 2009 The Maritime Self-Defense Force will start its antipiracy mission in waters off the eastern coast of Somalia in African around March 30 to escort Japanese merchant ships with two destroyers, Takashi Saito, chief of the Self-Defense Forces' Joint Staff Office, told a news conference yesterday at the Defense Ministry. The two MSDF destroyers, Sazanami and Samidare, are now heading south in the South China Sea. Their arrival in waters off Oman, initially expected to be around April 5, will likely be about a week earlier if they continue to proceed smoothly, the top brass officer said. 7) Government to conclude SOFA with Djibouti for SDF personnel on anti-piracy mission; P-3Cs also to be dispatched NIKKEI (Page 2) (Full) March 20, 2009 The government has decided to conclude as early as later this month a status of forces agreement (SOFA) with Djibouti where the Maritime Self-Defense Force (MSDF) will be based on an anti-piracy mission in waters off Somalia. The step is for the planned deployment of P-3C patrol planes in April or later, in addition to the destroyers that are already on their way to waters off Somalia. It will be the SDF's second SOFA for an overseas mission, following one with Kuwait on reconstruction assistance in that country. The government dispatched two MSDF destroyers on March 14 by invoking the maritime policing provision under existing legislation. The government also plans to dispatch P-3Cs in April or later to protect Japanese vessels from pirates by having them keep watch from the air in collaboration with the destroyers. The P-3Cs are scheduled to use a Djibouti airport. This entails SDF personnel responsible for repairing and related work to station in Djibouti. The SDF personnel assigned to the destroyers will also stay in Djibouti. Given the situation, the government has recognized the need to conclude a SOFA to guarantee the legal status of the SDF personnel in Djibouti. 8) DPJ interim report calls for JCG's main role in anti-piracy measures and prior Diet approval YOMIURI (Page 4) (Full) March 20, 2009 The Democratic Party of Japan (DPJ) foreign affairs and defense division begun discussing the anti-piracy legislation presented by the government, and produced an interim report yesterday noting that the Japan Coast Guard (JCG),rather than the Self-Defense Forces, should play a main role in addressing piracy. The party plans to determine whether to support or oppose the legislation after monitoring deliberations at the House of Representatives anti-piracy special committee. TOKYO 00000624 006 OF 009 The legislation specifies a report to the Diet after invoking the maritime policing provision. Meanwhile, the DPJ report mentions the need of prior Diet approval. In the meeting, many members expressed negative views about the SDF dispatch. But Deputy President Seiji Maehara took this view: "We should study the JCG's actual situation a little more and discuss the matter in line with the actual circumstances." Secretary General Yukio Hatoyama said: "We have no intention of rejecting (the legislation) outright. Adopting the legislation after amending it is one option." The DPJ intends to consider measures, including revising the government-presented bill and making a counter proposal. 9) Argument to expand UNSC membership; Japan hopes U.S. will change stance ASAHI (Page 6) (Abridged slightly) March 20, 2009 Kayo Matsushita, New York Discussion of reform of the United Nations Security Council, which has been moribund since 2005, has now resumed. Government-to-government talks started in February in an informal full session of the UN General Assembly. Substantial consultations were launched this month over the contents of UNSC reform. The second round of consultations on the UNSC reform was held on March 4-5. About 80 countries presented their own views on how many UNSC seats should be added. Japan, Germany, India and Brazil -- the so-called Group of 4 (G-4) - are all aiming at securing permanent UNSC seats and are insisting that the number of permanent and non-permanent members should be expanded. Italy, a member of the "Uniting for Consensus" or an anti-G4 group calling for an expansion of only the two-year term UNSC non-permanent seats, proposed expanding the tenure of non-permanent seats to more than three years or establishing a new UNSC membership, which would allow some to be reelected. Some concessions were seen in Italy's proposal. The government-to-government talks launched in February is a fresh start to come up with a realistic reform plan by upgrading reform discussion to the General Assembly-level. Previously, talks had gone round and round in circles for more than 15 years at the working level, and decisions required a unanimous vote. In the wake of growing dissatisfaction with the long time standoff, Macedonia, currently chairing UNGA, decided on holding the government-to-government talks at the end of the preview session, in the face of resistance by the Uniting for Consensus. There is no major change in the basic positions of each group, compared with 2005. However, there are moves seeking compromises. Among the G4 countries, Germany has taken a positive stance toward a compromise plan. In Japan, which has insisted that its aim is to become a permanent UNSC member, many politicians and experts support a compromise plan. TOKYO 00000624 007 OF 009 With the inauguration of the administration of U.S. President Barack Obama, who has a strong interest in UNSC reform, some observers predict that there will be a change in the situation. During his election campaign, President Obama said that he would seriously consider a proposal renewing the composition of the UNSC members. Japanese Ambassador to the UN Yukio Takasu has expressed his hopes for change in stance of the U.S. administration. He said: "The UNSC members probably think that there is no need to change the present composition. However, they, including the U.S., can no longer ignore views expressing dissatisfaction." The General Assembly will hold concentrated discussion on such subjects as the contents of reform, including the scale of an expansion, as well as the veto right. 10) IMF projects 5.8 PERCENT dip in Japan's growth YOMIURI (Page 1) (Full) March 20, 2009 The International Monetary Fund (IMF) on March 19 released the data it had submitted to the meeting of finance ministers and central bank governors from the Group of Twenty Nations (G-20),held in Horsham in a suburb of London last weekend. The IMF in the report projected the growth of the global economy to be between minus 0.5 PERCENT and minus 1.0 PERCENT . In its global economic outlook as of January, the IMF exstimated 0.5 PERCENT growth, the lowest in the postwar period. However, it has revised the figure downward, based on the slowdown in leading countries. It also substantially revised downward its projection for the growth of the Japanese economy in 2009 from minus 2.6 PERCENT as estimated in January to minus 5.8 PERCENT . Its projection for the growth of the Japanese economy in 2010 is minus 0.2 PERCENT -- negative projection for three consecutive years starting in 2008. It also downgraded its projection for the growth of the U.S. economy in 2009 from minus 1.6 PERCENT projected in January to minus 2.6 PERCENT . Likewise, its projection for the growth of eurozone economies in the same year has been revised downward from minus 2.0 PERCENT to minus 3.2 PERCENT . In the meantime, the data estimate slightly positive growth in 2010 -- 0.2 PERCENT for the U.S. economy and 0.1 PERCENT for eurozone economies. 11) Additional 300 billion yen for job creation in local regions: Ruling parties' additional measure to be included in extra budget YOMIURI (Top Play) (Excerpts) March 20, 2009 The ruling parties' New Employment Measures Project Team, chaired by Jiro Kawasaki, a former labor minister, compiled on March 19 additional emergency employment measures featuring a 300 billion dollar increase to fund creation of a livelihood support benefit system. The program would target job seekers now receiving vocational training and assist emergency job creation projects being implemented by local governments. The package will likely cover the next three years. The envisaged project scale is roughly 1.6 trillion yen. The government plans to include the package in the fiscal 2009 supplementary budget. TOKYO 00000624 008 OF 009 A livelihood support benefit worth between 100,000 yen and 120,000 yen will target jobless persons who are receiving vocational training. The aim is to help them find jobs. Those who are not covered by employment insurance and those whose eligibility for an unemployment benefit has expired will be eligible. Approximately one million people are expected to benefit from the system. The government will set up a fund worth several hundred billion yen to finance the system. A 900 billion yen budgetary framework has thus far been established in the previous job creation package for state-funded job creation projects to be implemented by each local government, including the cleaning of parks and the reforestation. The government has decided to provide 300 billion yen as an additional measure. 12) Prosecutors forgo questioning Ozawa over Nishimatsu scandal NIKKEI (Page 1) (Full) March 20, 2009 It was revealed yesterday by investigative sources that the special investigation squad of the Tokyo Public Prosecutors Office would likely forgo summoning Democratic Party of Japan (DPJ) President Ichiro Ozawa for questioning over the allegation that his political fund management organization received illegal donations from Nishimatsu Construction Co. Reportedly Ozawa's involvement in the scandal was not proved in the process of investigations into Ozawa's first state-paid secretary Takanori Okubo, who has been arrested on suspicion of violating the Political Funds Control Law. The special investigation squad had looked into the possibility of summoning Ozawa for questioning while watching the progress of the investigations. Since Okubo has denied the allegation, investigation authorities appear to have inclined to the judgment that there was no need for hearing him, since there was no evidence that showed Ozawa's involvement in the case. The Political Funds Control Law states that if the representative of a political group ignores due responsibility for selecting and supervising a chief accountant, the representative will be fined 500,000 yen or less. Although Ozawa is the representative of his political management organization "Rikuzankai," the prosecutors appear to have judged it difficult to call on Ozawa to assume criminal responsibility. Ozawa explained in a press conference: "The donations from political groups have been properly handled." He then said that if he was requested to be summoned for questioning, "I will discuss anytime with anybody as much as possible." 13) Shukan Shincho reaches money-payment reconciliation with male who protested articles about attack on Asahi Shimbun, a de facto admission that the stories were false ASAHI (Page 39) (Excerpts) March 20, 2009 Regarding the issue of the popular weekly Shukan Shincho having published the handwritten notes of on Masanori Shimamura (65),who claimed to have carried out the attack on the Hanshin bureau of Asahi Shimbun (May, 1987),the publisher Shinchosha on March 19 reached reconciliation with a former employee of the U.S. Embassy in TOKYO 00000624 009 OF 009 Japan who had protested that the charge in the articles that he masterminded the crime was "baseless." The male, interviewed by Asahi Shimbun, said, "We reached an out of court settlement because (Shinchosha) took seriously my protest that I was never involved in that incident, and responded with a sincere stance that I found convincing." The contents of the out of court settlement were not released, but reportedly the male was paid an amount of money. According to the series of four articles that ran in Shukan Shincho starting in early January, Shimamura testified that he had been ordered by this male to attack Asahi Shimbun and that he carried out a series of incidents, including the attack on the Hanshin bureau. In response to the man's protest that he had had no connection with these incidents, Shinchosha undertook to resolve the issue with money, admitting in effect that the articles were false. When asked by Asahi Shimbun whether the out of court settlement was an admission (the reports were false),the editorial staff of Shukan Shincho replied in writing that it had no comment and would not at all reply to the inquiry. ZUMWALT