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UNCLAS SECTION 01 OF 11 TOKYO 000438 
 
SIPDIS 
 
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 01/27/06 
 
 
Index: 
 
1) Top headlines 
 
2) Editorials 
 
3) Prime Minister's daily schedule 
 
4) Ambassador Schieffer would accept joint US-Japan inspection of 
US beef bound for Japan 
 
5) Ambassador Schieffer expects comprehensive US report on beef 
violation in several weeks, sees main task as building consumer 
confidence in Japan 
 
6) Food Safety Commission (FSC) chairman: "It was too early to 
have restarted US beef imports" 
 
7) Government premises resumption of US beef imports on 
concurrence of FSC 
Political agenda: 
 
8) Text of Lower House Budget Committee responses on diplomacy 
and US beef issue 
 
9) Prime Minister Koizumi blows up at media for harping on LDP- 
Livedoor's Horie connection 
 
10) Koizumi denies any connection between his reforms and the 
Livedoor stock scam 
 
11) Chief Cabinet Secretary Abe rebuts charge of association with 
president of company that falsified earthquake data 
 
12) Minshuto (Democratic Party of Japan) attack strategy against 
ruling camp that includes beef issue fizzles in Diet 
 
13) Cautious LDP may postpone action on revising Imperial Family 
law to allow female on throne, but Koizumi wants passage in 
current Diet session 
 
14) Chief Cabinet Secretary Abe, Foreign Minister Aso resume 
criticism of China for rejecting summit meeting 
 
15) Shanghai suicide case spurs Foreign Ministry to tighten 
security rules, change encrypted codes 
 
16) Chinese ambassador returns to Tokyo after long absence 
 
17) Japan, North Korea talks to restart Feb. 4 
 
18) Russia admits its jets violated Japan's airspace while 
chasing cargo plane 
 
19) JDA trying to slim itself down before rise to ministry status 
by absorbing DFAA 
 
Articles: 
 
1) TOP HEADLINES 
 
Asahi: 
 
TOKYO 00000438  002 OF 011 
 
 
Business hotel chain Toyoko Inn removed mandatory facilities for 
the disabled after inspection 
 
Mainichi & Sankei: 
Islamic militant group Hamas wins Palestinian legislative 
election 
 
Yomiuri & Tokyo Shimbun: 
Livedoor sold corporate status of dormant firm to help boost 
Livedoor stock 
 
Nihon Keizai: 
Public nursing-care insurance to cover nighttime services 
 
2) EDITORIALS 
 
Asahi: 
(1) Japan must prepare a market watchdog capable of beating 
crafty schemes 
(2)Latin America turning away from America 
 
Mainichi: 
(1) Ruling parties' plan not actually intended to abolish 
lawmakers' pension system 
(2)NHK should draw up reform plan for viewers' interests 
 
Yomiuri: 
(1)Don't blame media for Livedoor scandal 
(2)Government lays down simulation report of great earthquake in 
northern districts 
 
Nihon Keizai: 
(1)Canadian reformist government has little time left to live 
 
Sankei: 
(1) In ODA reform, effectiveness must be ensured. 
(2)Terminate Amakudari (golden parachute retirements of 
government officials) practice in public corporations! 
 
Tokyo Shimbun: 
(1)Hamas victory in Palestinian election: New chance for peace in 
Middle East 
(2)250th anniversary of birth of Mozart: Let's enjoy western 
music 
 
3) Prime Minister's Official Residence (Kantei) 
 
Prime Minister's schedule, January 26 
 
NIHON KEIZAI (Page 2)  (Full) 
January 27, 2006 
 
08:06 
Met at Kantei with Deputy Chief Cabinet Secretary Nagase. 
09:00 
Attended Lower House Budget Committee session. 
12:06 
Returned to Kantei. 
13:01 
Attended Lower House Budget Committee session. 
17:06 
Returned to Kantei. 
 
TOKYO 00000438  003 OF 011 
 
 
17:34 
Attended Biotechnology Strategy Council meeting. 
18:29 
Met with METI Minister Nikai. 
19:00 
Met at his official residence with Council of Experts on Imperial 
House Law Chairman Yoshikawa, joined by Chief Cabinet Secretary 
Abe. 
 
4) US ambassador: US ready to set up joint system to inspect US 
beef with Japan 
 
NIHON KEIZAI (Page 1) (Full) 
January 27, 2006 
 
In an interview with the Nihon Keizai Shimbun yesterday, US 
Ambassador to Japan Schieffer stated that the US was ready to 
establish a joint inspection system with Japan for Japan-bound US 
beef, for instance, Japanese inspection teams joining US 
inspectors in examining slaughterhouses in the US. He made this 
suggestion as a measure to prevent a recurrence, reflecting on 
the case of parts designated as a specified risk material found 
in a US beef shipment to Japan. The ambassador also indicated 
that the US would swiftly produce a comprehensive report that 
contains the cause of the incident and planned preventive 
measures. 
 
Ambassador Schieffer stated: "I feel it was truly regrettable. I 
deeply apologize for it." He also said: 
 
"It is natural for Japanese consumers to be sensitive about food 
safety. ... What we should do is not to just abide by rules or 
lift the embargo but to restore consumers' confidence in US 
beef." 
 
5) Main points in interview with US Ambassador: First thing to do 
is to work to restore confidence; Comprehensive report to be 
issued within several weeks 
 
NIHON KEIZAI (Page 4) (Full) 
January 27, 2006 
 
The main points of an exclusive interview with US Ambassador to 
Japan Schieffer are as follows: 
 
¶1. The US is taking seriously the inclusion of specified risk 
materials for BSE being found in a US beef shipment to Japan. It 
was a great shock to us. The US Department of Agriculture (USDA) 
has already removed the companies involved from the list of beef 
exporters to Japan. It also has increased the number of 
inspectors who are responsible for a final check on Japan-bound 
shipments from one to two. It is now strengthening training for 
inspectors as a whole. Livestock industry organizations are 
taking what happened seriously and have pledged that whatever 
they can do, they will do. 
 
¶2. The US will complete within several weeks a comprehensive 
report covering why the incident occurred and what measures 
should be taken in the future. Investigators are probing into 
whether the meatpacker in question intended to ignore regulations 
(laid down under the Japan-US agreement). Investigation at an 
early stage has found that the Japanese importers placed the 
 
TOKYO 00000438  004 OF 011 
 
 
order, using an order form called "Hotel Rack," meaning veal and 
lamb with spinal columns, and the US side interpreted it as "veal 
chops." As a matter of fact, that order form is generally called 
"veal chops" in the US. However, it is not known at the present 
stage whether there was some perception gap between the 
exporter's side and the importer's side or whether there was some 
procedural error. 
 
¶3. In any case, it is clear that a condition set under the 
bilateral agreement was not observed. That is because veal chops 
contain bones that are defined as SRM. I wonder if the condition 
was neglected by mistake or ignored intentionally. If it was 
intentional, then, it was a criminal act. 
 
¶4. There were 40 facilities that are authorized to export beef to 
Japan, but now the number has dropped to 38. Japanese experts 
have already inspected some of those facilities. We must have 
Japan take part in the inspection process in a more extensive way 
so that Japanese consumers understand that the US is properly 
complying with the Japan-US agreement. I do not know how that can 
be done ultimately, but we are seriously looking into such a 
possibility, and we believe we will be able to meet Japan's 
requests. 
 
¶5. Japanese consumers are very sensitive to food safety. That is 
only natural. What we should do is not merely comply with the 
regulations or just remove the import ban; we must regain the 
trust of Japanese consumers. That will be very difficult, but I 
believe confidence can be restored without fail if we take 
corrective measures in an open and transparent manner. 
 
6) Food Safety Commission chairman: Resumption of US beef imports 
was premature 
 
TOKYO SHIMBUN (Page 3) (Full) 
January 27, 2006 
 
The Cabinet Office's Food Safety Commission (FSC) held its 
regular meeting yesterday, in which an explanation was given on 
the re-imposition by the Health, Labor and Welfare Ministry and 
the Agriculture, Forestry and Fisheries Ministry (MAFF) of a ban 
on US beef imports in response to the discovery of a part 
designated as a specified risk material in a US beef shipment to 
Japan. Chairman Masaaki Terada told reporters after the meeting: 
"It was premature" for Tokyo to have resumed imports with no full 
explanation offered to the people. 
 
Terada said: "The Japanese government's decision of halting 
imports was proper," adding that if Tokyo decides to reopen its 
market to US beef, it should give a full account to the public 
first. Asked about whether the FSC would assess the risk of US 
beef again, the chairman replied: "We have already conducted 
enough discussion, so a further discussion will be impossible." 
 
A MAFF official stated in the meeting that if the Japanese 
government decides to resume US beef imports again, it should 
judge, based on a final report from the US on the cause of the 
incident and planned preventive measures, if problems lie in 
individual processing plants or in the entire system, as well as 
whether the US has prepared a satisfactory system so that the 
rules would be followed. 
 
 
TOKYO 00000438  005 OF 011 
 
 
7) Government to make FSC approval a condition for resuming US 
beef imports 
 
NIHON KEIZAI (Page 4) (Full) 
January 27, 2006 
 
The government intends to obtain authorization from the Cabinet 
Office's Food Safety Commission before resuming US beef imports. 
When such imports resumed last December, the Ministry of 
Agriculture, Forestry and Fisheries (MAFF) and the Ministry of 
Health, Labor and Welfare (MHLW) made the final decision. But now 
the government plans to obtain approval from panel experts, if it 
decides to resume the imports, by reporting its decision to the 
panel. 
 
The FSC is tasked with looking into the safety of US beef from a 
scientific perspective. The recommendation report, which the 
panel compiled last December, noted that the danger level of US 
beef is equal to that of domestic beef and that it is the 
government that is to judge whether import conditions are 
observed. However, in response to growing anxieties among 
consumers, the government has decided to obtain approval from the 
FSC, including a judgment on whether the US inspection system is 
appropriate or not, when it lifts the current ban. 
 
Explaining the details of the inclusion of specified risk 
materials (SRM) in a US beef shipment to Japan, MAFF and MHLW 
yesterday told the panel: "The greatest problem is that the US 
side failed to comply with the rule." In response, some panel 
members said: "It was grossly negligent that the US inspector who 
checked the products was not aware of the export conditions. We 
could have resumed US beef imports after completing inspections 
by the Japanese side." 
 
8) Diet debate highlights 
 
YOMIURI (Page 11) (Abridged) 
January 27, 2006 
 
Following are the main points from a question-and-answer session 
in yesterday's meeting of the House of Representatives Budget 
Committee: 
 
Japan-China ties 
 
Tokuichiro Tamazawa (LDP): China is clearly a threat. What's your 
view? 
 
Foreign Minister Aso: I don't know how much China's defense 
spending differs between its publicly announced figure and its 
actual figure. It's also opaque. It must be clear, or they will 
cause their neighbors to have unnecessary anxiety. 
 
Toshimitsu Motegi (LDP): What will you do about Japan's foreign 
policy toward China? 
 
Foreign Minister Aso: Just one issue can ruin all other issues. 
No talks, no meetings. That's somewhat abnormal. Only China has 
refused to meet just because of the Yasukuni issue. In other 
areas, there has been a tremendously rapid increase not only in 
economic activities but also in human exchanges, totaling over 4 
million people between Japan and China. We can talk about a lot 
 
TOKYO 00000438  006 OF 011 
 
 
of things now. 
 
Chief Cabinet Secretary Abe: They say they will not meet us in 
order to reach their political goals. It's obviously wrong to use 
such a diplomatic means as leverage. There is a problem, so we 
should keep the door open and continue talks. That's the way a 
mature country should be. Japan remains calm. In Japan, no one 
burns a Chinese flag or tears up a picture of President Hu Jintao 
or commits violence. 
 
US beef 
 
Takeaki Matsumoto (DPJ): Where do you think the responsibility 
lies for the import of US beef with specified risk materials? 
 
Prime Minister Koizumi: Those on the US side did not abide by the 
bilateral agreement and rules, so they are responsible for 
breaking the rules. 
 
Matsumoto: If you could have foreseen this outcome, it's only 
natural that you're responsible. 
 
Prime Minister Koizumi: The government has taken appropriate 
action based on reports from the Food Safety Commission and other 
experts. 
 
Matsumoto: I'm talking about food. It's not something you can 
quit if it's no good. 
 
Prime Minister Koizumi: Aren't you being a little free with the 
blame here. The US side is to blame. I don't know why Japan is 
being blamed. 
 
(Note: LDP = Liberal Democratic Party; DPJ = Democratic Party of 
Japan) 
 
9) Prime Minister explodes: "It is strange that the mass media 
can turn against someone all at once" 
 
TOKYO (Page 2) (Excerpt) 
January 27, 2006 
 
"He was first treated as a hero of the times, and now (the media) 
have turned suddenly against him and are wildly bashing him. It 
is strange." The statement came yesterday from Prime Minister 
Koizumi in a meeting of the House of Representatives Budget 
Committee in rebutting the ruling camp, which was pursuing the 
relationship between former Livedoor president Horie, now under 
arrest for violation of the securities transactions law, and the 
Liberal Democratic Party.  The Prime Minister accepted 
responsibility as party president (for unofficially backing Horie 
in the general election), but he also delivered the above 
indirect slap at the mass media (which also has been bashing 
Horie and pursuing the LDP for supporting Horie). 
 
10) Prime Minister rebuts criticism in Lower House Budget 
Committee, denying that there was any connection between his 
reform agenda and the Livedoor stock scam 
 
TOKYO (Page 2) (Excerpts) 
January 27, 2006 
 
 
TOKYO 00000438  007 OF 011 
 
 
Prime Minister Junichiro Koizumi made this comment in the House 
of Representatives Budget Committee yesterday regarding the 
Liberal Democratic Party's (LDP) support in last year's general 
election of former Livedoor president Horie, now under arrest: "I 
accept blame and responsibility as party president." This was the 
first time for him to admit responsibility in a Diet statement. 
 
However, regarding the charge that the origin of the Livedoor 
case lay in the structural reforms carried out by his 
administration, the Prime Minister rebutted, "Your charge that 
the case was the fault of the Koizumi reforms is unjust." 
 
11) Chief Cabinet Secretary Abe rebuts charge of connection with 
earthquake-proof data falsification scandal 
 
SANKEI (Page 5) (Full) 
January 27, 2006 
 
In a House of Representatives Budget Committee session yesterday, 
Sumio Mabuchi of the main opposition party Minshuto (Democratic 
Party of Japan) questioned Chief Cabinet Secretary Shinzo Abe 
about the allegation that Huser President Susumu Ojima had asked 
Abe's secretary for help to meet with officials of the Land, 
Infrastructure, and Transport in connection with earthquake-proof 
data falsification. Abe showed his temper when he responded, 
"Isn't your question itself a falsification of what Mr. Ojima had 
said." 
 
Since Abe is the strongest candidate to succeed Prime Minister 
Junichiro Koizumi, Mabuchi was persistent about pursuing the 
relationship between Abe's support association called the "Anshin 
Kai" and Huser president. Abe, however, completely denied any 
relationship with Ojima. He then rebutted Mabuchi, saying, "Since 
this session is on the air, you should have researched more about 
the issue. You are trying to use the scandal as a political 
tool." 
 
Abe appeared to be unable to dispel his anger even after the Diet 
session. He told his aides, "I cannot forgive them for acting as 
if my secretary is a criminal." 
 
12) Minshuto (Democratic Party of Japan) attempt of three pronged 
pursuit of Prime Minister in Diet fizzles; Party's argument going 
around in circles 
 
TOKYO (Page 2) (Excerpts) 
January 27, 2006 
 
The Budget Committee hearings of the House of Representatives 
have become the scene for the opposition to sum up the crimes of 
the Koizumi administration during nearly five years of structural 
reforms. The focus at the moment is on a set of three issues: the 
Livedoor and earthquake data-falsification scandals, and the US 
beef import case. However, although the Minshuto tried to 
underscore that these issues were influenced by the reforms, 
there was a strong feeling that party spent the first day of the 
hearings arguing in circles. 
 
For example, on the imported US beef issue, when policy chief 
Matsumoto pursued the  party line, the Prime Minister dodged it 
easily by stressing, "The responsibility lies with the US side." 
On the restarting of imports, Minshuto head Maehara should have 
 
TOKYO 00000438  008 OF 011 
 
 
had a keen awareness of the problem when he said, "The chickens 
have come home to roost in this incident for giving priority to 
Japan-US relations and importing hastily without establishing a 
safety procedure system." However, the argument that in 
restarting beef imports by giving more priority to Japan-US 
relations than to safety never went anywhere. 
 
13) Growing calls in LDP for shelving plan for submitting a bill 
amending the Imperial House Law to the current Diet session; some 
executive officers also cautious about submission 
 
TOKYO SHIMBUN (Page 2) (Full) 
January 27, 2006 
 
The ruling Liberal Democratic Party (LDP) finds a growing call 
within the party for shelving a plan for submitting a bill 
amending the Imperial House Law to allow women or men of 
matrilineal descent to take the throne. 
 
The Japan Council of Diet members, an LDP-led supraparty group of 
conservative lawmakers chaired by former Minister of Economy, 
Trade, and Industry Takeo Hiranuma, yesterday adopted a 
resolution opposing the submission of a bill to amend the 
Imperial House Law, noting: "If such a bill were submitted to the 
Diet despite opposition, public opinion would be split." 
 
Besides this group, a growing number of party members are 
expressing a cautious view or opposition. 
 
The party leadership aims to get the bill amending the Imperial 
House Law adopted in the Diet, but even in the leadership, a 
cautious view is growing. For instance, General Council Chairman 
Fumio Kyuma remarked: "There is no urgent need to handle it in 
the ordinary Diet session." The party's Upper House Caucus 
Secretary General Toranosuke Katayama stated: "The public does 
 
SIPDIS 
not have a good grip on (the difference between) a female emperor 
and a female-line emperor (whose mother is in the emperor's 
line)." On Jan. 24, Diet Affairs Committee Chairperson Hiroyuki 
Hosoda, as well, commented, "There is no knowing what will happen 
next." A mainstay of the Mori faction construes Hosoda's remark 
as "indicating he has already determined (to postpone the 
submission of the bill)." 
 
One reason for the growing view in the party leadership of 
delaying the submission of the bill is because of the possibility 
that if the bill is put to a vote in spite of opposition, the 
Diet would be thrown into turmoil as it was over the postal- 
privatization bills. The leadership will make a final decision 
after carefully observing the moves of the cautious view and 
opposition in the days ahead. 
 
Prime Minister Koizumi: "The bill should be enacted in the 
current Diet session" 
 
Prime Minister Koizumi dined with members of the council of 
advisors on the Imperial House Law, including its chair Hiroyuki 
Yoshikawa, former Tokyo University president, at his official 
residence last night, and referring to a bill to amend the law to 
allow women or men of matrilineal descent to take the throne, he 
stated: "I will get the bill adopted in the current Diet session. 
Don't worry." 
 
 
TOKYO 00000438  009 OF 011 
 
 
14) Abe, Aso again criticize China for refusing summit 
 
SANKEI (Page 5) (Full) 
January 27, 2006 
 
A high US government official revealed in Tokyo on Jan. 23 that 
the US was ready to mediate between Japan and China to help 
improve strained bilateral relations. In a House of 
Representatives Budget Committee session yesterday, however, 
Chief Cabinet Secretary Shinzo Abe and Foreign Minister Aso -- 
both regarded as possible candidates for the next president of 
the Liberal Democratic Party (LDP), succeeding Prime Minister 
Junichiro Koizumi -- again blasted China for refusing to hold a 
summit between Koizumi and its President Hu Jintao due to 
Koizumi's repeated visits to Yasukuni Shrine. Since Japan's China 
policy is linked to US policy toward Asia, communication channels 
from Tokyo to Washington will now be tested. 
 
Abe stated at yesterday's session: "It is clearly wrong that the 
top leader rejects a meeting with his counterpart by using a 
political issue as a diplomatic tool." Aso also sided with Abe, 
saying, "Refusing any meeting because of one single issue is 
abnormal. My Chinese counterpart is the only person who has 
refused to hold talks with me due to the Yasukuni issue." 
 
US Deputy Secretary of State Robert Zoellick asked Abe and Aso 
about their views on relations with China in separate meetings on 
Jan. 23. He also told Administrative Vice Foreign Minister 
Shotaro Yachi: "If there is something that the United States can 
do to improve Japan-China relations, we will be delighted to do 
so." 
 
Abe and Aso seem to have made the critical remarks on China with 
their meetings with Zoellick in mind. The US administration's 
Asia policy is that it is better to have cooperative ties with 
China, whose economy and military strength have grown, calling 
for responsible actions in the international community, than to 
fight against the country. 
 
15) MOFA changes code encrypting system for all overseas posts 
 
SANKEI (Page 5) (Full) 
January 27, 2006 
 
The Ministry of Foreign Affairs (MOFA) has enhanced its 
counterintelligence and information security measures against 
foreign intelligence activities in the wake of the suicide of a 
Japanese consul in Shanghai, Chief Cabinet Secretary Shinzo Abe 
told a news conference yesterday. In addition, MOFA also 
discovered from its investigation conducted after the incident 
was brought to light that there was no leakage of classified 
information, such as cryptographic systems, Abe said. At the same 
time, Abe clarified that MOFA has taken countermeasures, such as 
changing the encoding systems of all overseas diplomatic posts. 
 
Administrative Vide Foreign Minister Shotaro Yachi yesterday 
reported the countermeasures to Abe. MOFA was under fire for not 
reporting the suicide case to Prime Minister Junichiro Koizumi or 
his office until Shukan Bunshun, a weekly magazine, scooped it. 
From now on, MOFA's section chiefs in charge of overseas 
diplomatic posts will consult with the foreign minister and the 
administrative vice minister to judge whether to report future 
 
TOKYO 00000438  010 OF 011 
 
 
cases to the prime minister's office. 
 
In addition, Abe revealed that the government has alerted the 
Japanese embassy in Beijing and all other overseas diplomatic 
establishments to foreign intelligence activities. At the same 
time, Abe indicated that the government would intensify MOFA's 
overseas counterintelligence systems, including various training 
programs. 
 
MOFA's overseas posts used to judge at their own discretion 
whether to report intelligence-related cases like the suicide of 
a consul this time, according to Abe. In this regard, Abe has 
told MOFA to report any problems like the one this time to the 
prime minister's office, he said. 
 
Asked about MOFA's enhanced information security plan reported to 
the prime minister's office, Koizumi told reporters last evening 
at his office, "Diplomats, particularly Foreign Ministry 
personnel, have access to state secrets, so they must remain on 
the alert against various entrapments and (foreign intelligence 
agents') attempts to get information." He also said, "Information 
management must be secure." 
 
16) Chinese Ambassador to Japan Wang returns to Tokyo after six 
weeks 
 
SANKEI (Page 5) (Full) 
January 27, 2006 
 
Chinese Ambassador to Japan Wang Yi, who was on leave since the 
middle of December, returned to Tokyo for the first time in about 
six weeks and initiated his official duties, according to several 
sources connected with Japan-China relations. With the 
ambassador's long absence amid bilateral ties worsening due to 
Prime Minister Junichiro Koizumi's visits to Yasukuni Shrine, the 
prevailing view was that China was fundamentally reviewing its 
Japan policy. 
 
17) Japan-North Korea dialogue set to resume on Feb. 4 
 
NIHON KEIZAI (Page 2) (Full) 
January 27, 2006 
 
Japan and North Korea yesterday agreed on a plan to hold in 
Beijing a government-level dialogue on Feb. 4, which will be the 
first bilateral meeting since last December and last for about 
six days. What will be put on the agenda for discussion for the 
first time are: 1) abductions of Japanese nationals; 2) nuclear 
and missile development; and 3) diplomatic normalization 
including a settlement of the past. A plenary session will occur 
on the first day of the meeting, and subject-by-subject talks 
will follow. 
 
The purpose would be to move the currently stalled bilateral 
negotiations forward by dealing with the matters of interests for 
both the nations simultaneously. 
 
Joining the Japanese negotiating team will be Kunio Umeda, deputy 
director general of the Foreign Ministry's Asian and Oceanian 
Affairs Bureau, for talks on abductions, Tadamichi Yamamoto, 
minister for international terrorism and North Korea nuclear 
issues, for talks on nuclear and missile development, and Koichi 
 
TOKYO 00000438  011 OF 011 
 
 
Haraguchi, ambassador for Japan-North Korea diplomatic 
normalization, for talks on diplomatic normalization. 
 
18) Russia admits to airspace incursion 
 
NIHON KEIZAI (Page 2) (Full) 
January 27, 2006 
 
At a press conference yesterday, Administrative Vice Defense 
Minister Takemasa Moriya revealed that Russia admitted to its 
aircraft's incursion into Japanese airspace, adding that Russia's 
Border Guard Bureau notified the Japanese Consulate General in 
Yuzhno-Sakhalinsk about its large transport aircraft Antonov-72's 
intrusion into Japanese airspace. 
 
19) Defense Facilities Administration Agency to be abolished, 
absorbed into JDA prior to JDA upgrade to ministry 
 
SANKEI (Page 5) 
January 27, 2006 
 
The Japan Defense Agency (JDA) decided on Jan. 26 to abolish and 
absorb the Defense Facilities Administration Agency (DFAA). The 
JDA aims to slim itself prior to being upgraded to ministry 
status in order to placate New Komeito, which has taken a 
cautious stance on the matter, and this step is being positioned 
as an effort to prevent a recurrence of the bid-rigging scandal 
surrounding the DFAA and the construction of electrical 
facilities. There had been plans to submit a bill to upgrade the 
JDA to ministry status in the current session of the Diet, and it 
now appears likely that a bill to integrate the DFAA will be 
submitted as a set to the regular session of the Diet next year. 
 
The DFAA, which builds and maintains the facilities used by the 
SDF and US forces in Japan, as well as taking responsibility for 
the areas surrounding bases, has roughly 3,100 employees. 
 
Regarding the integration of the DFAA, then Defense Agency 
Director-General Ishiba in 2004 called for a review of the setup 
of the agency. Following this, the responsibility for planning 
and coordination regarding the transformation of US forces in 
Japan was removed from the DFAA and transferred to the Defense 
Facilities Section of the JDA. 
 
Komeito President Kanzaki stated on Jan. 25: "If there is a 
change as major as integrating the DFAA into the JDA, (the 
elevation to ministry status also) will be readily understandable 
to the people. 
 
As there is deep-rooted resistance to elevating the JDA to 
ministry status, it is believed that the decision to integrate 
the DFAA can be used as leverage to make the move more palatable. 
LDP General Council Chairman Kyuma said on Jan. 26: 
"(Integration) should be undertaken to provide an opportunity for 
the upgrade to ministry status." 
 
In addition to abolishing the DFAA, the JDA will consider 
creating its own Defense Facilities Administration Bureau. A 
specific plan is expected by the time requests are made ahead of 
the fiscal 2007 budget. 
 
SCHIEFFER