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UNCLAS SECTION 01 OF 10 TOKYO 001749 
 
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 04/03/06 
 
 
Index: 
 
1)   Top headlines 
2)   Editorials 
Prime Minister's weekend, daily schedule: None 
 
Opinion poll: 
3)   Koizumi cabinet's support rate levels off at 48%, DPJ at 
  12%, lowest ever, in Mainichi poll 
4)   Mainichi poll shows Abe tops at 36%, Fukuda at 18% in post- 
Koizumi race 
5)   DPJ President Maehara criticized for belated decision to 
quit over email fiasco: Yomiuri poll 
6)   Ozawa, Kan rank top for DPJ presidency in Kyodo poll 
7)   Ozawa tops at 25% for DPJ head, Kan at 17% in Mainichi poll 
 
Political issues & foreign relations: 
8)   Ozawa willing to run in DPJ presidential election 
9)   Abe, Aso rap China leader for remarks over Prime Minister 
Koizumi's Yasukuni visit 
 
Defense issues: 
10)  Japan mulls rescheduling GSDF pullout for this fall or later 
11)  Tokyo considers bilateral ties with US 
12)  US, Japan to resume talks tomorrow over US Marine relocation 
to Guam 
13)  Local coordination over Futenma relocation likely to be 
protracted 
 
Trade issues: 
14)  Japan to pay 130 billion yen for ITER project 
15)  Japan, China enter into customs agreement to bust fake brand- 
name products 
16)  Toyota plans to sell over 10 million cars around world, 
targeting US, China markets 
 
Articles: 
 
1) TOP HEADLINES 
 
Asahi: 
Starting in June, commissioned private firms to take photos of 
automobiles left on street even for short period of time to 
reduce illegal parking 
 
Mainichi: 
Focusing on growing disparity behind uniform social system (Part 
3 - Section 1): Miyauchi of Administrative Reform Council 
Deregulation Panel eager to implement deregulation 
 
Yomiuri: 
1,078 corporations provided jobs to retired bureaucrats in fiscal 
2004, costing the country 6 trillion yen 
 
Nihon Keizai: 
KDDI, Tokyo Electric Power Co. reach agreement to merge their 
optical communication businesses to become claim fourth largest 
share 
 
Sankei 
Minshuto presidential race: Ozawa eager to run for presidency 
with eye on Kan 
 
TOKYO 00001749  002 OF 010 
 
 
 
Tokyo Shimbun: 
Kyodo poll on Minshuto's new leader: Ozawa, Kan neck and neck; 
75% think Maehara's resignation too late 
 
2) EDITORIALS 
 
Asahi: 
(1)  Killing of 9-year-old at condo in Kawasaki: Security cameras 
not enough 
(2)  "One Seg" digital TV broadcasting for cell phones: Growth of 
industry requires tough orders 
 
Mainichi: 
(1)  Chinese President Hu's statement: How will prime ministerial 
candidates respond to it? 
(2)  Bid-rigging-oriented corporate Japan contributing to growing 
social disparity 
 
Yomiuri: 
(1)  Splitting the bill for reorganizing US forces 
(2)  "One Seg" services should become national 
 
Nihon Keizai: 
(1)  Transparency essential in nuclear cycle 
 
Sankei: 
(1)  Territorial descriptions in high school textbooks 
commendable 
(2)  Organ Transplant Law must be revised quickly 
 
Tokyo Shimbun: 
(1)  Basic Environment Law: Give thought to ways to maintain 
prosperity 
(2)  High school textbooks: Insight essential 
 
3) Poll: Minshuto support rate drops 8 points to record low of 
12%; Cabinet approval rating remains unchanged at 48% 
 
MAINICHI (Page 2) (Full) 
April 3, 2006 
 
Public support for the Koizumi cabinet remained unchanged from 
the previous survey in February at 48%, according to a nationwide 
poll conducted by the Mainichi Shimbun on April 1-2. Those who 
said they disapprove of the cabinet decreased 4 points to 36%. 
 
Broken down by party, 33% said they supported the Liberal 
Democratic Party (LDP), up 2 points, while only 12% supported the 
Democratic Party of Japan. This figure is down 8 points and is 
the lowest ever level since it was merged with Jiyuto (Liberal 
Party) in September 2003. The poll underscored the seriousness of 
the email fiasco involving the largest opposition party. 
 
Of those who rated the Koizumi cabinet favorably, 41%, down 5 
points, offered the reason for their support that "the nature of 
politics may change." Other reasons included: "The prime minister 
is from the LDP," up 6 points. Meanwhile, 46% said they 
disapproved of the cabinet because "economic recovery has been 
delayed," up 17 points from the previous poll. Those who 
supported no specific party increased 7 points to 43%. 
 
 
TOKYO 00001749  003 OF 010 
 
 
4) Poll: Abe top public choice for next prime minister at 36%, 
followed by Fukuda with 18% 
 
MAINICHI (Page 1) (Excerpts) 
April 3, 2006 
 
Chief Cabinet Secretary Shinzo Abe came in first with 36% in a 
nationwide (telephone) survey by the Mainichi Shimbun on April 1- 
2 on who should be the next prime minister from among six Liberal 
Democratic Party members, followed by former Chief Cabinet 
Secretary Yasuo Fukuda with 18%. Compared with the previous 
 
SIPDIS 
survey in January, the difference in support for the two top 
candidates significantly narrowed from 28 points to 18 points. 
Foreign Minister Taro Aso and Finance Minister Sadakazu Tanigaki 
came in a distance third and fourth with 3% and 1%, respectively. 
 
In the previous survey, which included Democratic Party of Japan 
lawmakers as potential candidates, 38 favored Abe, while 10% 
picked Fukuda. 
 
5) Poll: 69% say announcement of resignation by Minshuto head 
Maehara too late; Ozawa most favored to succeed Maehara, followed 
by Kan 
 
YOMIURI (Page 1) (Full) 
April 2006 
 
Following the announcement by Minshuto (Democratic Party of 
Japan) President Seiji Maehara that he would resign from his 
post, Yomiuri Shimbun conducted a nationwide opinion poll on 
April 1-2. According to the results of the poll, 38% of the 
respondents said Maehara's resignation was only natural, while 
41% said he had no choice but to quit his post. As a result, 
nearly 80% of the respondents said that they accepted his 
resignation as reasonable. Of the 80%, 69% said that Maehara's 
decision came too late. Only 15% said that he did not need to 
step down. 
 
The survey showed that 24% said that Ichiro Ozawa, former vice 
president of the party, was the best choice among nine 
heavyweight Minshuto members to succeed Maehara, followed by 
Naoto Kan, former president, with 19%, Secretary General Yukio 
Hatoyama with 10%, and Diet Affairs Committee Chairman Kozo 
Watanabe with 6%. Among Minshuto supporters, 32% supported Ozawa, 
while 27% favored Kan. 
 
According to the poll, 66% said that it was only natural for 
House of Representatives member Hisayasu Nagata to resign, and 
25% said that he had no choice but to do so. More than 90% said 
that his resignation was acceptable. Only 6% said he did not need 
to give up his Diet seat. Nagata brought up the fake e-mail in 
the Diet. 
 
Forty-nine% said that the way Minshuto handled the scandal was 
unacceptable, compared to 40% who approved of the party's 
handling of the matter. The figures indicate that most people do 
not believe Minshuto has sufficiently explained who made the 
fabricated e-mail and why it was produced. Fifty-four percent of 
Minshuto supporters said that they could not accept the party's 
handling of the fiasco. 
 
Asked whether Minshuto had the capability of assuming the 
 
TOKYO 00001749  004 OF 010 
 
 
political reins, 67% said it did not, compared with 22% who 
deemed it capable. 
 
The approval rate for the cabinet of Prime Minister Junichiro 
Koizumi gained two percentage points from the previous month's 
survey to 56.8%, while its disapproval rate was 34.3%. 
 
6) Kyodo poll: Ozawa, Kan have almost equal public support to be 
Minshuto president; 75% say resignations came too late 
 
TOKYO SHIMBUN (Top Play) (Excerpts) 
April 3, 2006 
 
Minshuto (Democratic Party of Japan) President Seiji Maehara and 
other top party executives have announced they will resign en 
masse over the fake email fiasco that suggested that the son of 
Liberal Democratic Party (LDP) Secretary General Tsutomu Takebe 
received money illicitly from Takafumi Horie, the founder of 
Internet firm Livedoor Co., who is now under arrest. Following 
the announcement of the mass resignation, Kyodo conducted a 
nationwide telephone survey on April 1-2 to seek public opinion 
about who should assume the main opposition party Minshuto 
(Democratic Party of Japan) presidency. The results of the poll 
showed that Ichiro Ozawa, former vice president of the party, and 
Naoto Kan, former party head, had almost equal public support as 
next party president, Ozawa with support from 22.1% from the 
respondents and Kan with 21.1%. As to the timing of the 
resignation of the current executives, 75.8% said it came too 
late, compared to 16.8% who felt the timing was appropriate, 
while 58.9% said it was natural for the party leadership to step 
down. Those who responded to the poll expressed their harsh 
perspectives on Maehara and other top executives. 
 
Regarding the resignation of House of Representative member 
Hisayasu Nagata, who brought up the false email in the Diet, 
76.6% said it was to be expected, while 7.5% said it was not 
necessary for Nagata to resign. 
 
The approval rate for the Koizumi cabinet rose 4.1 percentage 
points from the survey in late March to 54.5%, while the 
disapproval rate declined 5.4 points to 35.6%. 
 
The poll also found that Yukio Hatoyama came in third place with 
13.5%, followed by Katsuya Okada, former DPJ president, with 6.1% 
and Takashi Kawamura with 4.1%. Ozawa had 34.5% support from 
Minshuto supporters, with Kan at 28.5%. 
 
The results showed the Liberal Democratic Party with 43.3% 
support, up 2.4 points from the previous survey, Minshuto with 
16.9% support, a 2.3-point drop, the New Komeito up 1.4 points to 
4.5%, the Japanese Communist party up 1.1 points to 4.3%, the 
Social Democratic Party down 0.6 point to 2.2%, New Party Nippon 
down 0.1 point to 0.4%, People's New Party up 0.1 point to 0.3%, 
and 26.5%, up 7.0 points, who supported no particular party. 
 
7) Poll: Ozawa favored as new Minshuto head by 25% of public, 
followed by Kan with 17% support 
 
MAINICHI (Page 1) (Excerpts) 
April 3, 2006 
 
Asked who they would prefer to be the next Democratic Party of 
 
TOKYO 00001749  005 OF 010 
 
 
Japan (Minshuto) head among six party members prior to the party 
presidential election on April 7, 25% picked former party Vice 
President Ichiro Ozawa, followed by former President Naoto Kan. 
To a question asking if Minshuto today has the ability to hold 
the reins of government, 69% said "no," while only 21% said 
"yes," highlighting growing public distrust in the opposition 
party in the wake of the falsified email imbroglio, which led to 
the resignation of party President Seiji Maehara. 
 
Besides Ozawa and Kan, Secretary General Yukio Hatoyama was 
picked by 9%, followed by former President Katsuya Okada with 7%, 
Diet Affairs Committee Chairman Kozo Watanabe with 4%, and 
Constitution Committee Chairman Yukio Edano with 2%. The poll, 
however, found that the largest number of respondents, 26%, said, 
"There is no appropriate candidate among the six," thus 
underscoring a shortage of human resources in the party. 
 
8) Ozawa eager to head Minshuto, while watching moves by Kan 
 
SANKEI (Top Play) (Excerpts) 
April 3, 2006 
 
Ichiro Ozawa, former vice president of the Democratic Party of 
Japan (Minshuto), yesterday expressed his eagerness to run for 
the party presidential election. But Ozawa is expected to stop 
short of referring to his candidacy during a press conference 
today, though he will stress the importance of building a unified 
party. He intends to carefully watch moves by former party 
President Naoto Kan, who is also viewed as a likely candidate, 
but some party members offer negative views about selecting the 
party president through talks. In the run-up to the voting on 
April 7, a tug-of-war will intensify starting today. 
 
Appearing on the Fuji TV program Hodo 2001 yesterday (recorded on 
March 31), Ozawa indicated his eagerness to run in the 
presidential race, saying: "I will do my best, regardless of 
whether I am running at the top or at the bottom." He also said: 
"Minshuto is still an incomplete political party, but I would 
like the people to understand that the party may be able to 
dethrone the government. In this sense, I am willing to devote 
myself to changing the party." 
 
9) Abe, Aso criticize Chinese President Hu's recent remark, 
arguing, "It's strange to use the Yasukuni issue as a 
precondition for holding a summit meeting" 
 
ASAHI (Page 1) (Full) 
April 3, 2006 
 
Chief Cabinet Secretary Abe and Foreign Minister Aso yesterday 
appeared on TV talk shows and expressed critical views of Chinese 
President Hu Jintao's recent remark that he would agree to a 
summit when the Japanese leader stops visiting Yasukuni Shrine. 
Hu's remark implies that in his foreign policy toward Japan in 
the years ahead, he will take into account whether the successor 
to Prime Minister Koizumi will visit Yasukuni Shrine. Abe and 
Aso, both viewed as major contenders for the prime minister's 
position, expressed displeasure with the Chinese president's 
remark. 
 
Appearing on a TV Asahi talk show and other programs, Abe 
criticized China's policy: "It's a wrong policy to use the option 
 
TOKYO 00001749  006 OF 010 
 
 
of not holding a summit meeting as a precondition for achieving a 
political goal. . . . Under such a policy, if other issues 
involving the two nations emerged, China could say, 'We can't 
hold a summit meeting.' I wonder if it is a good thing to 
sacrifice our political and economic assertions to hold a summit 
meeting," Abe stressed and added, "Various matters could happen 
in the political area, so I think it is necessary to establish 
rules to prevent them from affecting (economic ties)." 
 
In responding to the question of whether he will visit Yasukuni 
Shrine if he becomes prime minister, Abe went no further than to 
say: "I have no intention to make a Yasukuni visit a political 
slogan. This issue should be eliminated from the diplomatic 
agenda." When asked, "Have you decided not to visit the shrine?" 
Abe replied: "No. Of course not. I think it is wise not to 
declare everything. Talking about Yasukuni Shrine could trigger a 
diplomatic issue and hurt our national interests." 
 
Aso also appeared on TV programs yesterday, such as a Fuji-TV 
talk show. Referring to Hu's remark, Aso said, "If there is need 
for the top leaders to meet, it is important for them to do so," 
indicating that refraining from visiting Yasukuni Shrine should 
not be made a precondition for holding a summit meeting. He went 
on, "Stopping (a shrine visit) would only make the issue even 
more complicated. Given that the prime minister is the 
representative of the nation, a stronger call (for stopping the 
shrine visit from other nations) would simply make the situation 
even more difficult." 
 
Speaking of the question of separate enshrinement of Class-A war 
criminals, Aso pointed out, "As a religious corporation, Yasukuni 
Shrine asserts that separate enshrinement is impossible. The 
government is not constitutionally allowed to intervene in the 
business of a religious corporation." 
 
10) Government reconsidering timetable for SDF withdrawal from 
Iraq, likely to be fall or later due to delay in launching new 
Iraqi administration 
 
NIHON KEIZAI (Page 1) (Excerpts) 
April 3, 2006 
 
The government yesterday began taking a second look at a 
timetable for starting the withdrawal of Ground Self-Defense 
Force (GSDF) personnel helping with Iraq reconstruction in 
Samawah with this fall or later in mind. The government had 
originally planned to pull out GSDF troops in two stages between 
April and June. However, the launching of a permanent Iraqi 
government, the premise for the decision on a pullout, has been 
delayed substantially. Some take the view that it would be 
difficult to pull out GSDF personnel at an early stage when 
Australian troops, which are assigned to guard GSDF troops, and 
US troops, the key component of the multinational forces, are 
still in Iraq. 
 
Commenting on procedures for a GSDF pullout, Foreign Minister 
Taro Aso on a TV Asahi talk show noted that there would be a time 
lag between the decision and the timetable for actually pulling 
out GSDF troops. He said that there would be a possibility of the 
decision being made by September, when Prime Minister Junichiro 
Koizumi's tenure as the president of the Liberal Democratic Party 
(LDP) expires, but that the actual withdrawal of GSDF troops 
 
TOKYO 00001749  007 OF 010 
 
 
might not take place before the fall or later. This was the first 
time for any cabinet minister to mention that a timeline for a 
GSDF withdrawal could be in the fall or later. 
 
11) Option of withdrawing GSDF from Iraq not until fall or later 
surfaces out of consideration for Japan-US relations 
 
NIHON KEIZAI (Page 2) (Full) 
April 3, 2006 
 
Commentary 
 
The government has begun considering postponing the withdrawal of 
Ground Self-Defense troops from Iraq until this fall or later out 
of consideration for the United States, which is still deeply 
committed to Iraq militarily. Japan-US relations have been 
delicate due to Japan's reinstatement of a ban on US beef imports 
in connection with BSE and the realignment of US forces in Japan. 
Tokyo obviously does not want to increase factors that would rock 
relations with the US. 
 
Foreign Minister Taro Aso is scheduled to visit the US later this 
month to discuss the question of withdrawing the GSDF with 
Secretary of State Condoleezza Rice. He is also scheduled to hold 
 
SIPDIS 
talks with British Foreign Secretary Jack Straw during his visit 
to Japan in May. Prime Minister Junichiro Koizumi is also 
expected to visit the US in late June to hold talks with 
President Bush. The view is spreading in the Japanese government 
that a withdrawal from Iraq before the planned Koizumi-Bush talks 
would be difficult. Aso also indicated difficulty in making moves 
in the summer heat. All those views seem to explain why the 
option of postponing the withdrawal until the fall or later has 
surfaced. 
 
12) Japan produces Guam relocation housing plan allowing Japanese 
firms to build and mange housing and US military to lease land 
for 50 years; Coordination to start with senior-working-level 
talks tomorrow 
 
NIHON KEIZAI (Page 2) (Abridged slightly) 
April 3, 2006 
 
The Japanese government outlined yesterday a housing plan for the 
relocation of US Marine Corps from Okinawa to Guam, the focal 
point in the realignment of US forces in Japan. The plan is 
designed to: (1) allow the Japan Bank for International 
Cooperation (JBIC) to finance the project to let Japanese 
corporations construct and manage housing in Guam; (2) let the US 
military lease land to Japanese corporations for 50 years; and 
(3) allow Japanese firms to collect rent from US military 
families occupying the housing. The government envisages 2.55 
billion dollars from the JBIC for the housing project. 
 
The government's Guam housing plan is aimed at constraining its 
outlays from the general-account budget. The United States has 
estimated the Guam relocation cost at 10 billion dollars. Of 
this, Washington has repeatedly asked Tokyo to pay 7.5 billion 
dollars. If Tokyo accepts Washington's request, Japan's direct 
fiscal outlays would swell to 900 billion yen. 
 
At the senior-working-level meeting of Japanese and US diplomatic 
and defense officials to be held in Washington for three days 
 
TOKYO 00001749  008 OF 010 
 
 
from April 4, Japan will present the US with its Guam housing 
plan to seek Washington's understanding. Japan also intends to 
ask for a detailed US explanation of its estimate and tell the US 
that Japan cannot accept the total cost and Japan's share asked 
by the US. 
 
The JBIC is not allowed to invest in or extend loans to Japanese 
corporations, as the JBIC Law is basically applicable to projects 
for aid to developing countries. The government is planning to 
submit a US force realignment promotion bill to the current Diet 
session spelling out legal grounds for revising the JBIC Law. The 
JBIC and Japanese corporations will jointly provide security for 
financing the project and against the event of the US military 
closing its base in Guam. 
 
Japanese corporations are examining Japanese housing makers and 
other firms. They will elicit investment from private financial 
institutions, as well. The envisaged system is designed to allow 
US military personnel and their families to use their housing 
allowances for rent and Japanese firms to use rent paid to 
improve and maintain the housing. Japan intends to utilize the 
JBIC to cover a little over 3 billion dollars for building 
infrastructure, such as housing for the Marines and their 
families, power generation, and water-supply facilities. 
 
13) Futenma relocation: Local coordination likely to be 
protracted 
 
MAINICHI (Page 2) (Abridged) 
April 3, 2006 
 
The government and the city of Nago, Okinawa Prefecture, have now 
foregone a meeting scheduled to take place early this week 
between Defense Agency Director General Fukushiro Nukaga and Nago 
Mayor Yoshikazu Shimabukuro over the pending issue of relocating 
the US Marine Corps' Futenma Air Station to a coastal area of 
Camp Schwab in Nago. Their coordination over the Futenma 
relocation will now likely be protracted. Meanwhile, Japan and 
the United States are to hold an intergovernmental meeting of 
senior officials in Washington on April 4-6 to talk about the 
realignment of US forces in Japan. The government is working on 
Nago City to resume coordination at an early date while being 
poised to release a final report with the US government even 
without Nago's consent to the government's relocation plan. 
 
Nukaga yesterday visited Nago City, where he attended a funeral 
service for the late former Nago Mayor Tateo Kishimoto. Nukaga 
there asked Shimabukuro to resume talks early this week. The 
mayor, however, did not agree. "It's our understanding that we 
will be in touch with each other this week to coordinate," Nukaga 
told reporters at Naha Airport yesterday evening. However, the 
mayor told reporters that he would like to uphold the city's 
standpoint in his talks with the government. There is no knowing 
if the mayor will respond to the defense chief's proposal to meet 
this week. 
 
14) Government-level talks on share of construction, operational 
expenses for ITER; Japan to pay 130 billion yen 
 
ASAHI (Page 2) (Full) 
April 2, 2006 
 
 
TOKYO 00001749  009 OF 010 
 
 
A vice-ministerial meeting of seven countries that will take part 
in the International Thermonuclear Experimental Reactor (ITER) 
project, including Japan, the US, and the EU, took place on April 
1 in Tokyo. The meeting reached an agreement on each country's 
share of construction and operational expenses for the reactor. 
The agreement will go into effect possibly before the end of the 
current fiscal year after being ratified by the participating 
countries. Construction will then start. 
 
It was agreed on at the meeting that Japan, the US, the EU, 
Russia, South Korea, China, and India would bear the costs of the 
project as follows: The EU will bear 45.5% of the construction 
expenses (approximately 570 billion yen), and the rest of the 
countries will defray the remaining amount with each absorbing 
9.1%. Operational expenses are expected to total approximately 
600 billion yen over a 20-year period. The share of the EU for 
this spending item is 34%, followed by Japan and the US with 13% 
and the rest of the countries with 10% each. Japan's share will 
total approximately 130 billion yen. 
 
15) Japan signs customs agreement with China: Prevention of 
smuggling of fake brand-name products eyed 
 
TOKYO SHIMBUN (Page 3) (Full) 
April 3, 2006 
 
The Mutual Customs Assistance Agreement to enable Japanese and 
Chinese customs officials to exchange information for the 
prevention of smuggling went into effect yesterday. The aim of 
the accord is to prevent the rapidly increasing smuggling of fake 
brand-name products, illegal drugs, and firearms. The governments 
of the two countries yesterday concluded the accord yesterday in 
Beijing. 
 
Under the accord, Tokyo and Beijing will mutually provide 
information on smugglers and methods they employ so as to 
strengthen border controls. They will also cooperate to simplify 
customs procedures for smoother trade. 
 
In 2004, Japanese customs halted imports of 9,143 items that 
infringed on intellectual property rights, up 23% from the 
preceding year. 
 
16) Toyota Motors plans to sell 10.4 million vehicles in 2010, 
increase of 3 million units mainly in US, China 
 
TOKYO SHIMBUN (Page 1) (Full) 
April 3, 2006 
 
It was learned yesterday that Toyota Motors plans annual sales of 
10.4 million vehicles on the global market in 2010. Toyota would 
be the first company among automakers in the world to break the 
10 million level. Backed by its upbeat overseas business, the 
company will aim to boost sales by approximately 3 million units 
over the next five years with a focus on North America, its main 
market, and China, whose robust economy is growing rapidly. 
 
If the plan is realized, Toyota's share in the global market will 
rise from the current 11% or so to around 15% over the next five 
years. The Toyota Group, including Hino Motors and Daihatsu 
Motors, aims to obtain a share of 15% by 2010. The plan takes 
that into account. 
 
TOKYO 00001749  010 OF 010 
 
 
 
By region, Toyota aims to sell around 3.3 million units in North 
America, up about 800,000 units. With this, its sales will top 
the 3 million level for the first time as a foreign automaker, 
excluding the US Big Three. Chances are that it might overtake 
Ford Motors, which now ranks second in the North American market. 
 
Toyota's plan for the Chinese market is to sell 1 million units, 
about five times the present level. It will also aim to boost 
sales in Europe and Asia, excluding Asia, by around 200,000 - 
500,000 units. 
 
As growth in sales in the Japanese market are projected to remain 
low, Toyota intends to accelerate overseas operations in such 
countries as the US and China. 
 
Toyota has estimated that its sales in 2010 would reach around 73 
million, based on the projection that the auto market as a whole 
would grow 2% a year over the next five years. Anticipating that 
demand for hybrid vehicles and fuel-efficient compact cars will 
increase, the company, which sold 7.26 million vehicles in the 
world in 2005, expects that growth in its sales will outdo growth 
of the auto market. 
 
DONOVAN