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UNCLAS SECTION 01 OF 12 TOKYO 002958 
 
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 06/29/07 
 
 
Index: 
1) Top headlines 
 
2) Editorials 
 
3) Prime Minister's daily schedule 
 
4) Yomiuri election-series poll: Abe support rate up slightly to 34 
percent, but non-support rate remains high at 51.8 percent; Voters 
also prefer DPJ (24 percent) over LDP (22 percent) 
 
5) Upper House committee rams through pension bills in raucous 
atmosphere; civil service reform bill sent directly to floor 
 
6) Eager to prepare for upcoming Upper House election, lawmakers in 
Diet clash over remaining bills, with opposition readying 
no-confidence motion 
 
7) Ex-Peruvian president Fujimori's decision to run for an Upper 
House seat creates headache for the Foreign Ministry 
 
8) Foreign Minister Aso refuses to be pessimistic about upcoming 
Upper House election 
 
9) LDP rates its 2005 political manifesto (campaign pledges) as 34 
percent achieved 
 
10) Former intel chief arrested for fraudulent real estate scheme 
involving pro-Pyongyang Chosen Soren 
 
11) Survey shows over half of social dropouts (NEETs) were bullied 
in the past 
 
12) Defense Minister's advisory panel proposes revision of rank and 
pay scheme in SDF 
 
13) Japan in sub-cabinet talks asks Iran to stop uranium enrichment 
program 
 
14) China blasts Japan on historical responsibility issue 
 
15) JCP lawmaker in Diet committee presses Abe government to 
"clearly apologize" for comfort-women issue, in wake of House 
committee passing resolution 
 
16) Japan, Russian delegates to six-party talks emphasize important 
of North Korea quickly implementing first stage of its nuclear 
promise 
 
17) Japan seeks additional documents and date from US in ongoing 
beef talks 
 
18) METI prepares new strategy for FTAs, plans to simplify export 
procedures 
 
Articles: 
1) TOP HEADLINES 
Asahi: Mainichi: Yomiuri: Sankei: Tokyo Shimbun: 
Former Public Security Intelligence Agency director general under 
arrest on suspicion of fraud involving sale of Chongryon head 
office: Tokyo District Public Prosecutors Office decides investment 
offer was fake 
 
TOKYO 00002958  002 OF 012 
 
 
 
Nikkei: 
Sale of state-owned land: Finance Ministry to introduce new system 
of examining land utilization plans, when selecting buyers, to 
prevent reselling 
 
Akahata: 
Missing pension premium payment records: "We will send payment 
records to all contributors," says MEXT minister 
 
2) EDITORIALS 
Asahi: 
(1) Adoption of SIA reform bill by Upper House committee is a snap 
decision 
(2) Sale of Chongryon head office: It is flabbergasting that former 
Public Security Intelligence Agency (PSIA) director general 
arresting on suspicion of fraud 
 
Mainichi: 
(1) Former PSIA director general under arrest: Truth behind the sale 
of Chongryon headquarters should be unraveled 
(2)Former Prime Minister Miyazawa passes away: Symbol of a dovish 
politician till the end 
 
Yomiuri: 
(1) Former PSIA director general Ogata under arrest: Thorough 
investigation into Chongryon case urged 
(2) Former Prime Minister Miyazawa dies: Living witness to post-war 
politics 
 
Nikkei: 
(1) Tokyo District Court respects wishes of Bull Dog Sauce 
stockholders regarding takeover bids 
(2) Shed light on full picture of fraud involving former PSIA 
director general 
 
Sankei: 
(1) Former PSIA director general arrested: Shed light on relations 
with Chongryon as well 
(2) TBS shareholders meeting: It is time for Rakuten to lay down its 
arms 
 
Tokyo Shimbun: 
(1) Former PSIA director general under arrest: What happened in the 
backdrop? 
(2) Death of former Prime Minister Miyazawa: Another politician with 
good sense gone 
 
Akahata: 
(1) SIA reform bill: It is not possible to dissolve pension 
anxieties with forced adoption of the bill 
 
3) Prime Minister's Official Residence (Kantei) 
 
Prime Minister's schedule, June 28 
 
NIHON KEIZAI (Page 2) (Full) 
June 29, 2007 
 
10:18: 
Met at Kantei with Finance Minister Omi. 
13:04: 
 
TOKYO 00002958  003 OF 012 
 
 
Met with Chief Cabinet Secretary Shiozaki. 
13:45: 
Met at LDP headquarters with Policy Research Council Chairman 
Nakagawa. 
15:34: 
Met with LDP Election Bureau chief Yatsu. 
15:57: 
Met at Kantei with Land, Infrastructure and Transport Minister 
Fuyushiba. 
17:21: 
Visited the residence of late Miyazawa to pay his respects to the 
ex-premier. 
18:02: 
Met at Kantei with Deputy Chief Cabinet Secretary Matoba. 
18:51: 
Returned to his official residence. 
 
4) Poll: Cabinet support up slightly to 34 percent; 24 percent to 
vote for DPJ, 22 percent for LDP 
 
YOMIURI (Page 2) (Full) 
June 29, 2007 
 
The Yomiuri Shimbun conducted its second telephone-based serial 
public opinion survey on June 26-28. The rate of public support for 
Prime Minister Abe and his cabinet was 34.4 percent, with the 
nonsupport rate at 51.8 percent. The support rate marked a slight 
increase of 1.5 percentage points from the last survey conducted 
June 5-7, and the nonsupport rate showed a slight decrease of 1.9 
points. 
 
In the breakdown of support for the Abe cabinet, male support 
accounted for 37 percent, with female support at 33 percent. In the 
last survey, female support was higher than male support. This time 
around, however, male support topped female support. Support 
decreased in the brackets of those in their 20s to 40s but increased 
among those over the age of 50. Among those in their 60s, support 
was up 8 points. In the breakdown of supporters for political 
parties as well, the Abe cabinet's support rate posted a slight 
increase among those who support the ruling Liberal Democratic 
Party. Among those who support New Komeito, the LDP's coalition 
partner, the support rate rose nearly 20 points. As seen from these 
findings, the Abe cabinet's support rate seems to have stopped 
falling. 
 
Respondents were also asked which political party they would like to 
vote for in the July 29 election for the House of Councillors. In 
response to this question, 24 percent picked the leading opposition 
Democratic Party of Japan (Minshuto), with 22 percent choosing the 
LDP. In the last survey, the LDP was slightly above the DPJ. In the 
breakdown of public support for political parties, however, the LDP 
stood at 31.5 percent, down 1.6 points, and the DPJ at 19.9 percent, 
also down 2.6 percent. The proportion of those with no particular 
party affiliation reached 34.8 percent, up 4.2 points. 
 
In the survey this time, respondents were further asked to pick one 
or more policies or issues they would like to view as important. To 
this question, "pensions" scored 67 percent, topping all other 
issues as in the last survey. Among other answers, "education," 
third in the last survey, was in second place with 41 percent. 
"Politics and money" was in third place with 40 percent. 
 
 
TOKYO 00002958  004 OF 012 
 
 
Abe has now put off the House of Councillors election for a week and 
extended the current Diet session. Asked about this, a total of 61 
percent gave negative answers, with a total of 27 percent 
affirmative. Meanwhile, a total of 65 percent were negative about 
the government's response to its pension record-keeping flaws, with 
a total of 27 percent affirmative. Respondents were further asked if 
they thought the government's plan would resolve the pension 
problem. In response, 67 percent answered "no," with 26 percent 
saying "yes." The figures denote the public's deep-rooted distrust. 
 
5) Upper House committee forces through vote on SIA reform and 
pension bills; National civil service revision bill to be sent 
plenary session skipping committee vote 
 
ASAHI (Page 1) (Full) 
June 29, 2007 
 
A set of bills related to reform of the Social Insurance Agency and 
a bill to remove the five-year statute of limitations on pension 
claims (to cover unpaid pension benefits in full) were adopted 
yesterday by a majority of the ruling parties at the House of 
Councillors Committee on the Health, Labor and Welfare. Despite 
resistance from opposition parties, including Minshuto (Democratic 
Party of Japan), the ruling coalition rammed the vote through 
committee. Strongly reacting against the ruling camp's tactics, the 
opposition bloc intends to submit a no-confidence motion against the 
cabinet. The ruling coalition, meanwhile, plans to send a bill 
amending the National Civil Service Law to a plenary session, 
bypassing a committee vote. A fierce battle between the ruling and 
opposition camps will reach a climax at the final stage of the 
regular session of the Diet. 
 
The Upper House committee ended the question-and-answer session 
regarding the SIA reform related bills before 7:00 p.m. yesterday. 
Committee Chairman Yosuke Tsuruho, a member of the ruling Liberal 
Democratic Party (LDP), then proposed putting the legislation to a 
vote. He took a vote then, while surrounded by opposition lawmakers 
vocally opposing the vote-taking. 
 
A bill amending the Political Funds Control Law to require 
lawmakers' political fund management organizations to attach 
receipts to their funding reports for every item costing 50,000 yen 
or more was approved by a majority of the ruling parties in a 
session yesterday of the Upper House Special Committee on 
Establishment of Political Ethics and Election System. The ruling 
parties plan to adopt the measure at a plenary session today along 
with the bills related to reform of the SIA. 
 
The Upper House Committee on the Cabinet yesterday spent six hours 
for deliberations on the bill amending the National Civil Service 
Law. After the session, the ruling camp proposed taking a vote on 
the bill, but Committee Chairman Seiji Fujiwara, a Minshuto member, 
did not accept the ruling camp's proposal.  The session, therefore, 
was dismissed. The committee has now spent 29 hours for the 
deliberations on the measure, an hour short of the ruling 
coalition's goal of 30-hour-debate. LDP Upper House Diet Affairs 
Committee Chairman Tetsuro Yano conveyed to his Minshuto counterpart 
Akira Gunji his intention to put the legislation to a vote at a 
plenary session today, skipping a committee vote. 
 
The opposition intends to do their best to prevent the bill from 
being passed, even sitting up all night. They plan to submit 
 
TOKYO 00002958  005 OF 012 
 
 
no-confidence motions against Health, Labor and Welfare Minister 
Hakuo Yanagisawa and against Tsuruho to the Upper House and a 
no-confidence motion against the cabinet to the Lower House. Chances 
are that the fierce battle will continue until the early morning of 
June 30. 
 
6) Extended Diet session seems likely to end late this week, before 
July 5, amid calls for early start of preparations for Upper House 
election 
 
TOKYO SHIMBUN (Page 2) (Abridged) 
June 29, 2007 
 
Shoichi Takayama, Katsumi Sekiguchi 
 
The current Diet session, which was extended until July 5, is 
unlikely to last until that day, as the ruling coalition appears to 
be rushing all key bills through the Diet by the end of this week, 
despite protests from the opposition parties. Because of the 
extension of the Diet session, the Upper House election was delayed 
for one week, but the Diet session seems likely to come to an end in 
effect before July 5. Why? 
 
The ruling coalition's initial plan was to pass the bills related to 
reform of the Social Insurance Agency (SIA) and a bill lifting the 
statute of limitations on pension claims into law on June 29 and a 
bill revising the National Civil Service Law into law on July 4. 
 
However, the ruling bloc turned around this line to "boldly" 
introduce the bill revising the National Civil Service Law in a full 
session of the Lower House without taking a vote on the bill at a 
committee in a bid to get the bill enacted into law today. In spite 
of objections from the ruling bloc, these bills are expected to be 
passed into law possibly early tomorrow. 
 
Behind this move is the mood of lawmakers wanting to devote all 
their energies to election campaigning for the Upper House as 
quickly as possible. For those lawmakers, "It's better to rush the 
key bills through the Diet," a senior Upper House member of the 
ruling Liberal Democratic Party (LDP) said. 
 
If the bills were to be put to the vote the day before the Diet 
session ended, the opposition parties would think they would be able 
to drive the ruling bloc into killing the bills. The ruling parties 
apparently do not want to see this sort of situation arise. 
 
In addition, the ruling coalition is concerned about the opposition 
parties' strategy of shedding light on the ruling bloc's 
"highhandedness relying on the strength of numbers." It is thus no 
wonder that the ruling bloc would think it is wise to take a vote on 
particularly the bill amending the National Civil Service Law, which 
is critically called "a bill promoting amakudari (practice of 
retired bureaucrats getting jobs in the private sector)," together 
with other bills, including the bill intended to reform the SIA. 
 
The opposition parties are fiercely protesting against the way the 
ruling coalition is running the Diet session, but they, too, want to 
end deliberations on the bills by the end of the week. 
 
Lawmakers of the opposition bloc also want to devote their energies 
to election campaign as quickly as possible. 
 
 
TOKYO 00002958  006 OF 012 
 
 
The opposition parties intend to focus on the missing pension 
records in their election campaign with a senior member in charge of 
Diet policy of the opposition Democratic Party of Japan (Minshuto) 
saying: "Using the pension issue as our grounds, we want to submit a 
no-confidence motion against the cabinet at the end of the Diet 
session and appeal to the public about our stance against the 
government in the Upper House election." In short, the opposition 
bloc has calculated that it will be able to successfully make a 
strong appeal to the public if the Diet session ended after 
deliberations on the pension reform bill ended, instead of 
continuing deliberations on the bill revising the National Civil 
Service Law after a no-confidence motion is rejected. 
 
7) Fujimori announces his candidacy for Upper House election 
 
SANKEI (Page 2) (Excerpts) 
June 29, 2007 
 
Michiya (?) Matsuo, Los Angeles 
 
Former Peruvian President Alberto Fujimori, currently under house 
arrest in Chile, formally announced on June 27 that he would run in 
Japan's House of Councillors election on the People's New Party 
ticket. Fujimori's decision, coming at a time when the Chilean 
Supreme Court is examining whether he should be extradited to Peru, 
came as a surprise. 
 
In announcing his candidacy, Fujimori said: "I'd like to use my 
experience for the benefit of Japan, where my parents are from. I 
will tackle Asian affairs and the North Korean issue." 
 
Fujimori also indicated that he would stay in Chile until the court 
examination is over without considering going back to Japan for the 
time being. 
 
In November 2005, the former Peruvian president entered Chile after 
spending years in exile in Japan. The Peruvian government is seeking 
his extradition, on the grounds that he was involved in murder and 
corruption during his 10-year tenure as president from 1990. 
 
Under Japan's Public Offices Election Law, it is possible for a 
person to run in a Japanese election while under house arrest in a 
foreign country. Fujimori, a citizen of both Japan and Peru, has 
Japanese suffrage. 
 
It would be unprecedented for a former foreign head of state to run 
in a Japanese national election. Being under house arrest, it would 
be effectively impossible for Fujimori to conduct election campaign 
in Japan, and even if he were elected, he would not be able to 
attend Diet sessions or carry out political activities in Japan. 
Some Japanese lawmakers have begun speculating about his motive. 
 
PNP deputy head Shizuka Kamei, in a press conference at party 
headquarters yesterday, made a telephone call to Fujimori which went 
as follows: 
 
Kamei: "Hello, please tell everybody about your resolve." 
 
Fujimori: "I am going to run in the race to tackle Asian affairs and 
for the security of Japan. I am going to work hard for the people of 
Japan." 
 
 
TOKYO 00002958  007 OF 012 
 
 
Fujimori's candidacy can said to be the last resort for the PNP, 
which is struggling to win national recognition. Kamei, who had sent 
his secretary to Chile to live in Fujimori's home for two weeks to 
convince him to run in the race, said smilingly: "I would like to 
see him inject vitality into Japanese society as the last samurai." 
 
There has been talk since this spring that Fujimori would run in the 
race. Some say that the PNP asked Fujimori to run and others say 
that he sold himself. Minshuto (Democratic Party of Japan) Secretary 
General Yukio Hatoyama said: "Mr. Fujimori asked us to back him, but 
we declined it." 
 
The PNP planned to field Fujimori for the Tokyo electoral district, 
but the former president, who was secretly studying Japan's 
situation, insisted on running in the proportional representation 
segment, according to sources. 
 
Under the Citizenship Law, anyone with a parent born in Japan can 
have Japanese nationality. Fujimori's family register is in Kumamoto 
City, and he has a Japanese passport. So he has no legal problem in 
entering Japan. But chances are slim for the Chilean government to 
remove Fujimori from house arrest to allow him to conduct election 
campaign in Japan. Given the situation, his campaign would be 
confined to roadside speeches and disseminating flyers by PNP 
members on his behalf. 
 
Kamei said: "When Mr. Fujimori applies the Chilean government for 
his departure from the country, I would like to see the Japanese 
government assist him." In the meantime, Chief Cabinet Secretary 
Yasuhisa Shiozaki simply said: "We will watch the Chilean court 
examination." Fujimori's candidacy might escalate into a diplomatic 
issue. Because Fujimori has Japanese suffrage, the government is 
required to protect it. "I hope Fujimori's candidacy will not make 
things complicated," a government source noted. 
 
8) Aso, LDP factions reject pessimistic views about fate of Upper 
House election 
 
YOMIURI (Page 4) (Full) 
June 29, 2007 
 
In meetings of factions in the Liberal Democratic Party yesterday, 
participants presented one view after another denying pessimistic 
views coming from inside and outside the party about the fate of the 
upcoming House of Councillors election. 
 
Foreign Minister Aso stressed in a meeting of the Aso faction: 
"Predicting the outcome of the election is what is done by prophets. 
We will support our candidates based on the circumstance of each 
constituency. This is the proper way." 
 
Election Bureau Director General Yoshio Tanizu said in a meeting of 
the Ibuki faction: "The harsh situation for the LDP has begun to 
improve. In the poll the LDP has conducted every weekend, as well, 
(support rates for LDP-endorsed candidates in the Upper House 
election) have been on the rise after hitting a record low in the 
survey on June 9-10." 
 
It is unprecedented for an official responsible for the party's 
election campaign to disclose even part of the results of its own 
poll. Observers see Tanizu's reference stemmed from a desire to 
dispel the depressed mood sweeping across the party now waging an 
 
TOKYO 00002958  008 OF 012 
 
 
uphill campaign. 
 
Nobutaka Machimura, chairman of the Machimura faction, also said: 
"It is utter nonsense to already predict the outcome of the 
election." 
 
9) LDP attains 34 percent of campaign pledges for Lower House 
election in 2005 
 
YOMIURI (Page 4) (Full) 
June 29, 2007 
 
The Liberal Democratic Party released a report evaluating progress 
in attainment of its campaign pledges (manifesto) for the House of 
Representatives election in 2005. The manifesto included 120 policy 
measures. According to the report, the party has already carried out 
41 (34.2 percent) of all items, including the privatization of 
postal services. In the run-up to the Upper House election, the LDP 
aims to underscore its achievements by releasing the report. 
 
The report classified the 120 policy items into 41 already 
implemented, 78 under way, and one kept intact. 
 
Among the items already implemented, the party included "the 
full-fledged start of preparation for a new constitution," with the 
enactment in the current Diet session of the Referendum Law 
providing for procedures for revising the Constitution. "Decisive 
action for reforming the Social Insurance Agency" was included among 
the items under way. 
 
The one item categorized as kept intact is "promotion of sound 
growth of children." The LDP intends to expedite discussion, with 
the aim of swiftly enacting legislation for sound growth of 
children. 
 
10) Ogata arrested on suspicion of fraud in connection with 
Chongryon sale deal; To be questioned over accepting 130 million yen 
as well 
 
TOKYO SHIMBUN (Top play) (Excerpts) 
June 29, 2007 
 
The Tokyo District Public Prosecutors Office's special investigation 
squad arrested yesterday three individuals, including former Public 
Security Intelligence Agency Director-General Shigetake Ogata, 73, 
and former real estate company president Tadao Mitsui 73, on 
suspicion of fraud in connection with an aborted purchase of the 
head office of the pro-Pyongyang General Association of Korean 
Residents in Japan (Chongryon). It has also become clear that Ogata 
had received 130 million yen from Mitsui. Prosecutors are also 
expected to grill Ogata and Mitsui on suspicion of swindling 
Chongryon of a large sum of money. 
 
In addition to the post of PSIA director-general, Ogata served as 
head of the high public prosecutors offices in Sendai and Hiroshima. 
The Chongryon case has escalated into the arrest of a former PSIA 
director-general. 
 
Also arrested is Koji Kawase, 42, a former trust bank employee and 
Mitsui's acquaintance. 
 
According to the investigation, Mitsui, who was asked by Chongryon 
 
TOKYO 00002958  009 OF 012 
 
 
to look for a prospective buyer of its head office, asked in early 
April for the cooperation of Ogata, who was on friendly terms with 
Mitsui. 
 
Mitsui later introduced Ogata to Chongryon Vice Chairman Ho Jong 
Man, 76, and Koken Tsuchiya, 84, a lawyer for Chongryon and a former 
president of the Japan Federation of Bar Associations. Ogata and 
others consequently established the investment fund Harvest in 
Meguro Ward and explained Chongryon that the company would purchase 
the property for 3.5 billion yen by soliciting funds from an 
aviation venture company president and others. 
 
11) More than half of NEETs were bullied at school, according to 
survey 
 
YOMIURI (Page 37) (Full) 
June 29, 2007 
 
One out of three young people who are not currently engaged in 
employment, education or training, the so-called NEETs, was a truant 
or a dropout, and more than half of them had faced bullying at 
school, according to survey results released yesterday by the 
Ministry of Health, Labor and Welfare. This was the first survey on 
NEETs by the ministry. It was also revealed that they tend to quit 
jobs in a short period time due to an awareness of having difficulty 
in associating with others. 
 
The survey was conducted from January last year through this March, 
targeting about 830 young people who visited job-assistance agencies 
intended for NEETs. 
 
According to the survey, those who left senior high school, 
university, or technical school before graduating accounted for 31.7 
percent, and those who experienced truancy came to 37.1 percent. In 
addition, 55 percent of respondents said they had been bullied at 
school. The survey result shows that they had suffered a reversal in 
school life. To questions to find out why they began to be reluctant 
to be employed, 64.6 percent picked "difficulty in making a friend;" 
and 64.4 percent selected "difficulty in speaking with others." 
Those who once worked for more than one month accounted for 79 
percent, but more than 60 percent of them engaged in part-time 
jobs. 
 
12) SDF payroll review eyed 
 
SANKEI (Page 5) (Full) 
June 29, 2007 
 
The Defense Ministry yesterday held a meeting of its in-house panel 
to reform Japan's defense capabilities on the side of manpower, with 
Defense Minister Fumio Kyuma presiding. In the meeting, the panel 
worked out a report for a review of the Self-Defense Forces' 
personnel and payroll systems. The report, factoring in the nation's 
declining birth rate and the SDF's diversified and international 
activities, is aimed at securing and nurturing human resources. It 
features creating new ranks, such as sergeant major, and rescaling 
pay for SDF personnel. The Defense Ministry plans to translate these 
plans into action, starting in fiscal 2010. The SDF currently has 
only one pay scale for its personnel. They rise in rank, but their 
pay increase is said to be low. The SDF's pay will be rescaled for 
three categories-top brass (in the ranks of general and admiral), 
cadre, and the rank and file. Each pay scale will have widened wage 
 
TOKYO 00002958  010 OF 012 
 
 
differentials between ranks. This is intended to encourage SDF 
personnel to rise in rank and heighten their morale. 
 
13) Japan urges Iran to stop uranium-enrichment program 
 
ASAHI (Page 4) (Full) 
June 29, 2009 
 
Japan and Iran held yesterday in Tokyo a meeting of their deputy 
foreign ministers. In the session, Japan's Deputy Foreign Minister 
Mitoji Yabunaka called on his Iranian counterpart Mehdi Safari to 
suspend his country's uranium-enrichment program, saying, "Depending 
on your country's response to the nuclear issue, there is a 
possibility that it would be difficult for Japan to offer economic 
cooperation to your country." 
 
According to Japanese Foreign Ministry source, Iranian Deputy 
Foreign Minister Safari told Yabunaka: 
 
"We have no choice but think about the use of nuclear power 
development to deal with a rapid increase in our population. Japan's 
applying pressure is a double standard. The international community 
does not treat Iran fairly." 
 
Safari also said: "Iran has not supported North Korea's missile 
development." 
 
14) China criticizes Japan in connection with US "comfort women" 
resolution 
 
ASAHI (Page 4) (Full) 
June 29, 2007 
 
Kenji Minemura, Beijing 
 
Referring to the passage of a resolution on the wartime "comfort 
women" resolution by the US House Committee on Foreign Affairs at a 
press briefing yesterday, the Chinese Foreign Ministry's Deputy 
Spokesperson Qin Gang noted: "The Japanese government should assume 
a responsible attitude for history." 
 
Qin stressed that the issue of comfort women is a serious crime 
committed by Japan during World War II, and stated: "The Japanese 
government should listen to the fair views of the international 
community." The state-run news agency, Xinhua News Agency in its 
commentary dated June 27 said: "International criticism of Japan's 
response is building. As a result, (Japan) has met with protests 
even from legislators of the United States, an ally of Japan." 
 
15) Lawmaker Ogata in Diet special committee asks government to 
clearly apologize for the "comfort women" issue 
 
AKAHATA (Page 4) (Excerpt) 
June 29, 2007 
 
Lawmake Yasuo Ogata of the Japanese Communist Party in the Upper 
House special committee on the abduction issue yesterday brought up 
the US House of Representatives resolution on the comfort-women 
issue which has just passed committee. He called on the Japanese 
government to apologize clearly. The resolution seeks a formal 
apology from the Japanese government, but the Japanese government 
takes the position that "we have received the understanding of the 
 
TOKYO 00002958  011 OF 012 
 
 
US government," by the fact that Prime Minister Shinzo Abe during 
his April visit to the US stated, "I am sorry." However, after the 
prime minister returned from the US, he stated, "I never apologized 
while in the US." 
 
Ogata pursued the prime minister about whether he had or had not 
"apologized." Chief Cabinet Secretary Shiozaki clearly stated that 
no apology had been made, saying, "How the words are taken will vary 
from person to person. The prime minister's words were neither one 
nor the other." 
 
16) Japan, Russia share the perception about importance of early 
implementation of initial-phase action by DPRK 
 
ASAHI (Page 4) (Full) 
June 29, 2007 
 
Russian Vice Foreign Minister Losykov, the chief representative to 
the six-party talks on North Korea's nuclear issue, arrived in Japan 
yesterday, and met with Kenichiro Sasae, director-general of the 
Asian and Oceanian Affairs Bureau of the Foreign Ministry. The two 
officials shared the same view that North Korea must implement the 
initial-phase steps as quickly as possible. 
 
After the session, Losykov, referring to US Assistant Secretary of 
State Christopher Hill's recent indication that he wanted to pursue 
four-way talks of the six-party member countries, excluding Japan 
and Russia, to create a permanent peace mechanism on the Korean 
Peninsula, noted: "We should not be jealous about that. If the talks 
were started among the four, the results would be shared by the six. 
It's no big deal." 
 
17) US beef: Japan asks US to provide additional data 
 
NIKKEI (Page 5) (Full) 
June 29, 2007 
 
The governments of Japan and the US held on June 27 and 28 the first 
round of working-level talks to discuss a possible easing of import 
conditions set on US beef. The US side explained its feed 
regulations and the state of BSE infection inspections. The Japanese 
side asked the US to provide additional data, including the number 
of cattle that underwent sample inspections. 
 
18) Procedures for exports to FTA partners to be simplified, METI to 
enable companies to issue certificates of origin for reduced 
administrative burden with aim of promoting use of FTAs 
 
NIKKEI (Page 5) (Excerpts) 
June 29, 2007 
 
The Ministry of Economy, Trade and Industry (METI) has decided to 
make procedures for the application of preferential tariffs on goods 
Japan exports to its free trade agreement (FTA) partners easier, 
possibly starting in 2008. As part of such a policy, it will empower 
exporting companies as well as the chamber of commerce and industry 
located in each prefecture to issue documents that certify that 
goods to be exported were domestically produced or manufactured. The 
aim is to encourage companies to use FTAs through reduced 
administrative burden on exporting companies. 
 
METI intends to set up a government-private sector consultative 
 
TOKYO 00002958  012 OF 012 
 
 
council to work out the details of a revision of the system. It 
hopes to introduce, based on discussions by the panel, a bill 
amending the certificate of origin law to a regular Diet session 
next year at the earliest. 
 
This certificate is called a special certificate of origin to 
certify that goods in question were produced or manufactured in 
Japan. It is used when companies apply for preferential tariff rates 
as stipulated under FTAs. 
 
Under an envisaged system, a self-certification system, under which 
companies certify the country of origin, in addition to the 
third-party certification system, under which chambers of commerce 
and industry issues certificates, will be established. 
 
The self-certification system will not require procedures of going 
through chambers of commerce and industry. Basic fees of 2,000 yen 
paid for each application will also become unnecessary. 
 
Companies that use the self-certification system will be obligated 
to keep papers related to the certificates for a certain set period 
and promptly answer inquiries made by overseas importers. 
 
SCHIEFFER