UNCLAS TOKYO 000207

SIPDIS

STATE FOR I/RF, PA/PR/FPC/W, IIP/G/EA, EAP/PD, R/MR,
EAP/J, EAP/P, PM;
USTR FOR PUBLIC AFFAIRS OFFICE;
TREASURY FOR OASIA/IMI;
SECDEF FOR OASD/PA;
CP BUTLER OKINAWA FOR AREA FIELD OFFICE;
PACOM HONOLULU FOR PUBLIC DIPLOMACY ADVISOR

E.O. 12958: N/A
TAGS: OIIP KMDR KPAO JA
SUBJECT: TOKYO MEDIA REACTION - U.S.-CHINA RELATIONS
AND START TALKS


1. LEAD STORIES: Most Tuesday morning papers led with
the disclosure by DPJ Secretary General Ozawa on Monday
that he was questioned a second time by prosecutors on
Sunday over a questionable land purchase made in 2004
by his political fund management organization.


2. "Chinese Arms Buildup Becoming New Source of
Concern" On strong Chinese reaction to the Obama
administration's decision to sell weapons to Taiwan,
the business-oriented Nikkei editorialized (2/2): "The
fact that the Chinese stated that [the arms sale] is
bound to affect U.S.-China cooperation on important
global and regional issues is worrisome, given that
there are many outstanding issues that require
coordination between the U.S. and China, such as
nuclear development by Iran and North Korea, the global
financial crisis, and the environment. Speculation is
rife that President Hu may not take part in the Nuclear
Security Summit proposed by President Obama and to be
held in Washington in April. China must not break its
promise to play a constructive role in world stability
and prosperity.... As China's presence continues to
grow, concerns are mounting around the world about
China potentially taking a tough diplomatic line."


3. "'G-2' to Become Obsolete Word" A Washington-based
columnist with the conservative Sankei argued in a
front-page essay (2/2): "The clash of opinions is
becoming more pronounced between the U.S. and China,
with bilateral coordination between the two governments
likely to suffer a setback. However, this transition is
a natural consequence, given that the Obama
administration has been trying to gloss over major
differences in values, policies, and interests in order
to play up common areas of interest. There appears to
be a limit to the extent that disagreements can be
masked."


4. "U.S.-Russia Talks Resumed over Post-START Accord"
(2/2): On Monday's resumption of talks in Geneva
between the U.S. and Russia over a treaty to succeed
START, the liberal Mainichi stated: "While President
Obama, as well as Russian President Medvedev, has
presented an optimistic view on reaching a deal at an
early date, the issue of how to verify flight tests for
Russian ICBMs is likely to remain a source of
contention right up until the last minute. With
conservatives in both countries showing no sign of
compromise, the two leaders will probably be pressed to
make a political decision.... Optimistic statements
made by the two presidents can be regarded as a
reflection of the sense of urgency to reach an early
agreement in order to bring a successful conclusion to
the NPT review conference in May."

ROOS