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UNCLAS SECTION 01 OF 09 TOKYO 004806 
 
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 08/23/06 
 
 
Index: 
 
1) Top headlines 
2) Editorials 
Prime Minister's daily schedule: On vacation. 
 
Political season: 
3) Asahi poll: Abe favored by 53% to be next premier; income 
disparity picked as top campaign issue by 32%, but 47% want him to 
forego Yasukuni visits 
4) Survey of LDP shows Abe has garnered over 70% of votes for next 
month's LDP presidential election 
5) Political contender Shinzo Abe to propose Japan-style NSC if he 
is elected prime minister 
6) Abe to establish study group in government to look into use of 
right of collective self-defense, his pet project 
7) Abe campaign pledged centering on constitutional revision, 
education reform 
8) All five potential candidates for LDP president finally meet in 
regional bloc campaign rally 
9) New Komeito's executive election on 9/30 but already Ota and 
Kitagawa picked informally as representative and secretary general, 
respectively 
10) Minshuto President Ozawa plays (political) golf with key former 
LDP postal rebels, with an apparent eye on cooperation in next Upper 
House election 
 
Defense and security issues: 
11) JDA seeking 22.7 billion yen earmarked for anti-North 
Korea-missile measures in next fiscal year's budget 
12) JDA's missile defense budget request totals 220 billion yen 
13) US senior official expects to see USFJ realignment-related bill 
submitted to next regular Diet session 
 
14) LDP Secretary General Takebe journeys to Russia to discuss 
recent fishing boat shooting and capturing incident 
 
Iraq assistance: 
15) Foreign Minister Aso in meeting with Iraq's national security 
adviser Rubaie, promises continued reconstruction assistance 
16) Interviewed by Mainichi, Iraq's national security adviser sees 
first stage of pullout of multinational forces next spring 
 
Articles: 
 
1) TOP HEADLINES 
 
Asahi: 
Financial Services Agency to inspect Acom again over suspected 
improper leading practices 
 
Mainichi: 
Iran rejects calls to freeze uranium enrichment 
 
Yomiuri: 
Health ministry to set up a third party organ to look into 
suspicious medical-related deaths as early as FY2008 
 
Nihon Keizai: 
Labor ministry mulling unemployment insurance premiums that can 
change with economy 
 
 
TOKYO 00004806  002 OF 009 
 
 
Sankei: 
Mizuho to file suit against TSE for 40.4 billion in compensation for 
debacle 
 
Tokyo Shimbun: 
Poll: Abe may garner more than 70% of votes in LDP presidential 
race 
 
Akahata: 
(Not delivered yet) 
 
2) EDITORIALS 
 
Asahi: 
(1) Increase in number of births: Ordinary life is important 
(2) Shortage of physicians: There are many ways to increase medical 
doctors 
 
Mainichi: 
(1) Increase in number of births: Steady efforts needed rather than 
relieved 
(2) Koizumi displayed political identity but he is like a dangerous 
Maverick (Yoshinori Nakai, editorial committee member) 
 
Yomiuri: 
(1) LDP presidency: Candidates must spell out policies 
(2) Return of Yokota airspace: Coordination between military and 
private-sector necessary 
 
Nihon Keizai: 
In order to heighten the continuity of social security programs, 
drastic countermeasures for the falling birthrate is needed 
 
Sankei: 
(1) One week after shooting on fishing boat: Japan should not be 
swayed by Russia's assertion to return only two of the four northern 
islands 
(2) Increase in number of births: Let's encourage women to give 
birth 
 
Tokyo Shimbun: 
(1) Postal management plan: Top priority should be on fair 
competition 
(2) Tourist-attracting country: Expansion of exchanges in Asia is a 
boost for Japan 
 
Akahata: 
(Not delivered yet) 
 
3) Poll: 53% favor Abe as next premier 
 
ASAHI (Page 4) (Abridged) 
August 23, 2006 
 
With Foreign Minister Aso having announced his candidacy for the 
ruling Liberal Democratic Party's presidential election, there are 
now three candidates ready to run in the race, including Chief 
Cabinet Secretary Abe and Finance Minister Tanigaki. Meanwhile, the 
Asahi Shimbun conducted a telephone-based spot nationwide public 
opinion survey from the evening of Aug. 21 through Aug. 22. In the 
survey, 53% of respondents favored Abe as the next prime minister, 
with 14% preferring Aso and 10% choosing Tanigaki. Prime Minister 
 
TOKYO 00004806  003 OF 009 
 
 
Koizumi visited Yasukuni Shrine on Aug. 15. Respondents were asked 
if they thought his successor should visit the shrine, with 47% 
saying "no" and 31% saying "yes." 
 
Respondents were asked to pick one from among four given 
choices-Aso, Abe, Tanigaki, and "others" for the next prime 
minister. Among LDP and Koizumi cabinet supporters, a total of 70% 
supported Abe. 
 
Asked about Koizumi's Aug. 15 visit to Yasukuni Shrine, affirmative 
opinions outnumbered negative ones, with 49% saying it was good and 
37% saying he should not have visited the shrine. When it comes to 
the advisability of his successor visiting Yasukuni Shrine, however, 
negative opinions outnumbered affirmative ones. 
 
In a previous survey conducted in July, 60% answered that the next 
prime minister should not visit Yasukuni Shrine. In the latest 
survey, the proportion of negative opinions was lower than that of 
July. However, those opposed to the next prime minister's shrine 
visits continued to form a majority. Even among those who said 
Koizumi's shrine visit was good, nearly 20% said they were opposed 
to the next prime minister doing so. Among those who picked Abe as 
the next prime minister, affirmative answers (43% ) outnumbered 
negative ones (37% ). Among those who preferred Aso, negative 
answers accounted for 49%. Among those who picked Tanigaki, negative 
opinions accounted for 75%. 
 
Abe has kept mum about whether he will visit Yasukuni Shrine. Asked 
about his stance, affirmative answers accounted for 32%, with 
negative answers at 54%. Respondents were further asked if they felt 
something wrong with the fact that Class-A war criminals are 
enshrined at Yasukuni Shrine. In response to this question, 47% 
answered "no," with 41% saying "yes." 
 
4) Poll: Abe may garner over 70% of votes in party election 
 
TOKYO SHIMBUN (Top play) (Abridged) 
August 23, 2006 
 
With the ruling Liberal Democratic Party's presidential election 
slated for Sept. 20, the Tokyo Shimbun yesterday probed into the 
support trends of 403 LDP Dietmembers. As a result, the survey found 
that about 290 persons or more than 70% of the LDP lawmakers have 
now made up their minds to vote for Chief Cabinet Secretary Shinzo 
Abe. In addition, the Tokyo Shimbun has also found from its recent 
survey of political monitors on the Internet that more than 70% of 
the party's 300 votes allotted to its nonparliamentary local bloc 
members are also expected to be cast for Abe. The LDP's 
parliamentary and bloc votes total 703, and the surveys shows that 
Abe will likely garner more than 500 votes, far over a majority or 
352 votes. 
 
The trends of LDP lawmakers were analyzed on the basis of individual 
interviews with them and findings from LDP executives. The Tokyo 
Shimbun conducted similar surveys on July 21 and Aug. 5. 
 
When the most recent survey was conducted, Finance Minister Sadakazu 
Tanigaki and Foreign Minister Taro Aso had respectively secured 
about 20 LDP lawmakers' recommendations they need to run in the 
race. However, both Tanigaki and Aso have since been hanging low in 
support from LDP lawmakers. 
 
 
TOKYO 00004806  004 OF 009 
 
 
In the meantime, the Tokyo Shimbun chose 500 monitors for Internet 
polling on Aug. 16-21 and obtained answers from 429 persons or 
85.8%. 
 
In this Net survey, respondents were asked which political party 
they support. Among those who answered they support the LDP, 73.2% 
recommended Abe, with 14.3% preferring Aso and 8.9 choosing 
Tanigaki. 
 
Given that the LDP's local bloc members at large also tend to vote 
like LDP lawmakers, Abe would garner about 220 votes from his 
party's local members, adding up to about 510 votes. 
 
If no candidates garner more than half of the votes in the first 
ballot, the top two will run off. However, Abe will likely win the 
race in the first ballot. 
 
5) Abe to propose Japan-style national security council 
 
TOKYO SHIMBUN (Page 1) (Full) 
August 23, 2006 
 
Chief Cabinet Secretary Abe, appearing in yesterday's joint 
convention of the ruling Liberal Democratic Party's southern and 
northern Kanto blocs, stated that if he comes into office as prime 
minister, he would set up a body, which would be like the National 
Security Council (NSC) of the US government, in order to consolidate 
under one body Japan's foreign and security policies. This is aimed 
at strengthening the independent diplomatic and security functions 
of the prime minister's office (Kantei). 
 
The new security body, according to Abe's plan, will be made up of 
the prime minister, the chief cabinet secretary, the foreign 
minister, the defense secretary general, the Self-Defense Forces' 
Joint Staff Office chief, and certain other members, and it will 
collect and analyze diplomatic and security information. In 
addition, it will also have flexible policy planning functions, as 
well as readiness for emergencies. The Security Council of Japan 
(SCJ), currently set up in the government, has been criticized as a 
mere facade, so Abe's advocacy appears to be based on such 
criticism. 
 
"The foundation of Japan's foreign and security policies is based on 
the Japan-US alliance, so we will need to make it possible for us to 
talk not only between the Foreign Ministry and the State Department 
but also between the prime minister's office and the White House," 
Abe stressed in the convention. With this, Abe clarified that he 
would like to facilitate direct talks between the prime minister's 
office and the White House through the newly planned security 
entity. 
 
In addition, Abe also said Japan would also have a security 
assistant to the prime minister like the national security adviser 
to the US president. 
 
6) Abe plans to establish an experts panel in government to study 
collective self-defense cases 
 
YOMIURI (Page 1) (Full) 
August 23, 2006 
 
Ahead of his victory in the upcoming LDP presidential election, 
 
TOKYO 00004806  005 OF 009 
 
 
Chief Cabinet Secretary Shinzo Abe decided yesterday to establish an 
experts' panel in the government to determine in advance 
specifically what cases constitute exercising the right of 
collective self-defense with the aim of facilitating the 
Self-Defense Forces' overseas missions. 
 
According to the government's interpretation of the Constitution, 
Japan is not allowed to exercise the right of collective 
self-defense. The Cabinet Legislation Bureau and the New Komeito are 
reluctant to change the government's interpretation. Given the 
situation, Abe intends to specific determine cases in which Japan 
can exercise the individual self-defense right instead of the 
collective self-defense right, while keeping the government's 
interpretation intact. 
 
Suppose an enemy missile attacked a US vessel during joint action 
with the Maritime Self-Defense Force and the MSDF vessel 1 kilometer 
away from the attacked US vessel was also within the missile's 
range. Under the current interpretation, the MSDF's counterattack in 
this case on the enemy country constitutes an exercise of the 
collective self-defense. A person close to Abe thinks that in this 
case, the MSDF should be allowed to counterattack the enemy by using 
the individual self-defense right because the MSDF vessel is within 
the range of the enemy missile. 
 
Further, even if a foreign force taking joint action with the SDF on 
an overseas mission was attacked, the SDF's counterattack is 
regarded as the use of force, which is prohibited under the 
Constitution. The panel will study if such a case can constitute the 
use of weapons, which is permitted for self-defense. 
 
7) In campaign for LDP presidency, Abe to give priority to 
constitutional revision, educational reform 
 
ASAHI (Page 1) (Full) 
August 23, 2006 
 
Chief Cabinet Secretary Abe has decided to give priority to a 
constitutional revision and educational reform in his policy 
platform for the Liberal Democratic Party presidential election in 
September. He will stress the need to completely rewrite the 
Constitution, as well as to introduce an education voucher system 
designed to encourage competition among schools and foster a mind 
that respect communities. In an effort to strengthen diplomacy led 
by Kantei, Abe will pledge to set up a Japanese version of the 
National Security Council in the United States under the prime 
minister. He will outline these vision policies he will pursue if he 
becomes prime minister when he announces his candidacy on Sept. 1. 
 
Delivering a speech in Yokohama yesterday, Abe regarded a 
constitutional revision as the next administration's top priority 
task, saying: 
 
"To present the picture of a new Japan, I am determined to launch 
the process of forming a new constitution. The next leader must 
demonstrate leadership and place the task of drafting a new 
constitution on the political schedule." 
 
It is a common practice that the Diet proposes revising the 
Constitution, but Abe believes that the party leader should take the 
initiative. Based on the view that it will take at least five years 
or so before the Constitution is rewritten, though, he will not 
 
TOKYO 00004806  006 OF 009 
 
 
present a specific timeframe. 
 
Abe has proposed allowing the Self-Defense Force to exercise the 
right to collective self-defense by changing the government's 
interpretation of the Constitution, but the campaign platform will 
not contain this proposal. He intends to put it forth during policy 
debates. 
 
In the speech in Yokohama, Abe also stressed the importance of 
educational reform, saying: "What we must tackle now is to 
revitalize education." He will play up eagerness to enact at an 
early date a bill to amend the Fundamental Law of Education, on 
which no conclusion was reached in the latest regular Diet session, 
and to pursue "education that will contribute to fostering a mind 
that loves the family, the homeland, and the nation." 
 
Under the education voucher system, vouchers are distributed to 
families with children, and parents choose a school for their child. 
Schools that can attract many students will strengthen their 
financial strength. The system is aimed to bolster competition among 
public schools and improve the quality of education. Abe also has in 
mind plans to set up an expert consultative body and to make public 
service activities compulsory. 
 
8) LDP presidential candidates take part in convention of the 
party's southern and northern Kanto chapters 
 
ASAHI (Page 4) (Full) 
August 23, 2006 
 
Chief Cabinet Secretary Shinzo Abe, Foreign Minister Taro Aso, and 
Finance Minister Sadakazu Tanigaki, who will run in the Sept. 20 
Liberal Democratic Party presidential election, got together 
yesterday for the first time at a convention of members of the LDP's 
southern and northern Kanto chapters held in Yokohama. The three 
candidates spoke of their own policies for about 10 minutes 
individually. There were no clear differences in their social 
security policy, including the pension programs, in which the public 
has great interest. All their answers were premised on maintaining 
the current system. 
 
Regarding the pension issue, Abe said: "We must create as early as 
possible a system to let the public know how much subscribers should 
pay, how long, and how much they will receive." He stated, "The 
rumor that the pension system will soon disappear is mistaken." 
Tanigaki underscored: "Burdens and returns should be made clear. In 
order to prevent a moral hazard, priority should be given to 
maintaining the social security system rather than the tax system." 
 
9) New Komeito has internally picked new party line, with formal 
decision on Sept. 30: Ota to be party representative, Kitagawa will 
be secretary general 
 
SANKEI (Page 1) (Excerpt) 
August 23, 2006 
 
With New Komeito Representative Takenori Kanzaki (63) resigning in 
Sept., the party yesterday set its new lineup of executives, with 
Akihiro Ota (60) slated to be Kanzaki's successor. The final 
confirmation was reached last weekend at an informal meeting between 
party officials and the Soka Gakkai, the party's parent support 
body. Tetsuzo Fuyushiba (70) will also resign as party secretary 
 
TOKYO 00004806  007 OF 009 
 
 
general, with his place to be taken by Kazuo Kitagawa (53), 
currently national land and transportation minister. The New Komeito 
has timed its executive reshuffle to match the Liberal Democratic 
Party's presidential election in September. 
 
10) Minshuto President Ozawa enjoys some social golf with former LDP 
postal rebels: Is he making an appeal for cooperation in next year's 
Upper House election? 
 
YOMIURI (Page 4) (Except) 
August 23, 2006 
 
Minshuto (Democratic Party of Japan) yesterday played golf at course 
in Hakone in Kanagawa Prefecture with a group of former LDP postal 
rebels, including People's New Party Watanaku, who bolted the 
Liberal Democratic Party in opposition to legislation to privatize 
the postal services, former minister of economy, trade and industry 
Takeo Hiranuma, now an independent, and former LDP General Council 
Chairman Mitsuo Horiuchi, also an independent. The golf session was 
called together by Ozawa's close friend, former justice minister 
Nakai, under the pretext of a friendly gathering of Keio University 
alumni. 
 
It would appear that the real reason for the golfing event was to 
allow Ozawa to make an appeal to the assembly for cooperation in 
next summer's Upper House election. It was also a chance for Ozawa 
to ask Watanuki for cooperation in such elections as the one in 
Ishikawa district. 
 
11) Defense Agency to request 22.7 billion yen in fiscal 2007 to 
deal with North Korean ballistic missiles 
 
NIHON KEIZAI (Page 2) (Full) 
August 23, 2006 
 
In the wake of Pyongyang's ballistic missile launches, the Defense 
Agency decided yesterday to incorporate 22.7 billion yen in its 
fiscal 2007 budgetary request to deal with North Korean missiles. 
The request is mostly for purchasing PAC-3 ground-to-air interceptor 
missiles. The agency will also earmark funds for upgrading the 
performance of electronic surveillance aircraft. The budgetary 
request will be made public on August 31. 
 
The agency will increase its capability to detect signs of launching 
ballistic missiles in advance. To that end, it will earmark costs 
for upgrading the Maritime Self-Defense Force's EP-3 surveillance 
aircraft and for research and development of infrared sensors that 
can fit onto drones in the future. 
 
The agency plans to deploy PAC-3 missiles by fiscal 2010 at four 
places, beginning with the Air Self-Defense Force's Iruma base in 
Saitama Prefecture later this fiscal year. 
 
12) Defense Agency to request 220 billion yen for frontloading MD 
system 
 
SANKEI (Page 5) (Abridged slightly) 
August 23, 2006 
 
The Defense Agency decided yesterday to request a total of 220 
billion yen in fiscal 2007 for an early introduction of a missile 
defense (MD) system. The agency originally intended to request 196 
 
TOKYO 00004806  008 OF 009 
 
 
billion yen. But North Korea's missile launches on July 5 prompted 
the agency to request additional 23 billion yen for purchasing PAC-3 
ground-to-air guided missiles and conducing research on an infrared 
sensor to detect ballistic missiles. The agency will purchase 
missiles from the United States to increase its number to enhance 
the MD system. 
 
Also included in the budgetary request are 170 billion yen for the 
introduction of an Aegis vessel carrying sea-based SM-3 interceptor 
missiles and 25 billion yen for Japan-US joint research on the MD 
system. 
 
The agency plans to deploy in the current fiscal year the PAC-3 as 
the first case at the Iruma base in Saitama Prefecture, which houses 
the Air Self-Defense Force's 1st Air Defense Missile Group. 
 
The agency has asked the United States to deliver Patriot missiles 
to Japan on a priority basis for an early introduction of the MD 
system. The US has basically responded positively to Japan. 
 
13) USFJ realignment legislation to be submitted to regular Diet 
session next year 
 
ASAHI (Page 4) (Full) 
August 23, 2006 
 
A government official said yesterday that a set of bills related to 
the realignment of US forces in Japan would be submitted to a 
regular Diet session next year. The reason is that a bill revising 
the law to allow the government to use the International Cooperation 
Bank to finance the relocation of US Marines from Okinawa to Guam 
will become one of bills related to a budget for next fiscal year, 
which will be presented at the next regular Diet session. 
 
14) LDP Secretary General Takebe to leave for Moscow tomorrow to 
protest seizure of Japanese fishermen 
 
ASAHI (Page 4) (Full) 
August 23, 2005 
 
Liberal Democratic Party (LDP) Secretary General Tsutomu Takebe 
revealed yesterday in an executive meeting that he would leave for 
Russia on Aug. 24 to lodge a protest with the Russian government on 
the seizure of the Japanese fishing boat Kisshin-maru, seeking an 
apology and compensations. He will also ask Moscow to release the 
crewmembers who have been detained by Russian authorities. Takebe is 
expected to meet with Agriculture Minister Aleksey Gordeyev on Aug. 
¶24. He will then hold talks on Aug. 25 with the director of the 
Fisheries Agency. 
 
15) Foreign Minister Aso reveals Japan's continued support for Iraq 
 
TOKYO SHIMBUN (Page 2) (Full) 
August 23, 2006 
 
Foreign Minister Taro Aso met with Iraqi National Security Adviser 
al-Rubaie at the Foreign Ministry yesterday. In reference to his 
visit to Baghdad on Aug. 3, Aso said: "The visit provided an 
important opportunity as the first step for the two countries to 
deepen political dialogue and economic relations." He then confirmed 
Japan's continued assistance to Iraq. Al-Rubaie expressed his 
appreciation for the Ground Self-Defense Force troops that withdrew 
 
TOKYO 00004806  009 OF 009 
 
 
from Iraq after completing their humanitarian and reconstruction 
mission in Samawah, saying: "They were like angels, not soldiers." 
 
Later, al-Rubaie met Defense Agency Director General Fukushiro 
Nukaga and stated: "I am grateful for continued operations by the 
Air Self-Defense Force." 
 
16) Iraq gov't security adviser Rubaie indicates possibility of 
coalition forces' withdrawal from Iraq early next year 
 
MAINICHI (Page 2) (Full) 
August 23, 2006 
 
In an exclusive interview with the Mainichi Shimbun in Tokyo 
yesterday, visiting National Security Adviser al-Rubaie said that 
Iraqi security forces would be able to independently take over 
security operations almost across the nation by the end of this 
year. He also indicated the possibility that the environment would 
be arranged early next year for the coalition forces to pull out of 
Iraq, saying: "I hope that the stationing of (the US-led) coalition 
forces in Iraq will become unnecessary in the near future." 
 
As the precondition for withdrawing the coalition forces, al-Rubaie 
cited the strengthening of Iraqi security forces, remarking: "If the 
number of Iraqi security troops who completed training increases, it 
will become possible to phase out coalition troops." At present, 
Iraqi forces take charge of about 60% of the security operations in 
the nation, but al-Rubaie hinted at the possibility of Iraqi forces 
being able to be responsible for national security duties almost 
100% by the end of the year. He added that once this situation is 
brought about, "The coalition forces will begin preparations to pull 
out of Iraq in stages." Asked about the timing for the withdrawal, 
al-Rubaie replied, "Disclosing it will only benefit armed 
insurgents." 
 
DONOVAN