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UNCLAS SECTION 01 OF 12 TOKYO 003171 
 
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 07/12/07 
 
 
Index: 
 
1) Top headlines 
2) Editorials 
3) Prime Minister's daily schedule 
 
Defense affairs: 
4) Defense Minister Koike meets with Ambassador Schieffer, seeks 
early meeting with Secretary Gates 
5) Koike announces extension of MSDF duty in the Indian Ocean under 
the anti-terror law 
6) Koike to seek local understanding for the agreement on Futenma 
relocation 
 
North Korea problem: 
7) Assistant Secretary Hill in interview to Japanese press corps 
sees four-party talks with North Korea later this year 
8) Hill sees new security affairs mechanism emerging in Northeast 
Asia from the six-party talks 
9) Japan accepts reality of six-party talks moving ahead first on 
nuclear issue with North Korea, but still concerned about progress 
on abduction issue 
 
Historical issue: 
10) Senator Inouye weighs in against the House resolution on the 
comfort-women issue 
11) Mike Green, speaking at Jiji symposium, expresses concern that 
historical issues could damage US-Japan relations 
12) Chief Cabinet Secretary Shiozaki: Government will not respond to 
Okinawa's protests by restoring textbook cuts in description of 
wartime mass suicides 
 
Election campaign season: 
13) Survey by civic group of Upper House candidates finds 88 % 
against changing Article 9 of the Constitution 
14) Prime Minister Abe tones down campaign rhetoric on 
constitutional revision 
15) Heads of seven parties debate the issues at start of Upper House 
election campaign 
16) Minshuto head Ozawa sends secret emissary to Rengo labor 
federation to talk election strategy 
 
Articles: 
 
1) TOP HEADLINES 
 
Asahi, Mainichi, Yomiuri, Nikkei, & Tokyo Shimbun: 
Leaders of seven main parties debate pension issue ahead of Upper 
House race 
 
Sankei: 
Chinese government bans 11 companies from exporting food to Japan 
 
Akahata: 
Stop poverty and protect Article 9 of the Constitution 
 
2) EDITORIALS 
 
Asahi: 
(1) Voters will give verdict on "Abe politics" through Upper House 
election 
(2) Pakistan: Taking mosque by force dangerous 
 
TOKYO 00003171  002 OF 012 
 
 
 
Mainichi: 
(1) Voters have right to decide Japan's course for the future 
(2) Concern about instability in nuclear Pakistan 
 
Yomiuri: 
(1) Party-head debate: Serious talk on pension reform long overdue 
(2) Revised Domestic Violence Law: Detailed measures needed 
 
Nikkei: 
Voters to judge Abe administration in Upper House race 
 
Sankei: 
Voters must pay attention to revitalization of nation, not just 
focus on pension 
 
Tokyo Shimbun: 
Official announcement of Upper House election today 
 
Akahata: 
JCP urges voters to help it prevent LDP and New Komeito from running 
amok 
 
3) Prime Minister's Official Residence (Kantei) 
 
Prime Minister's schedule, July 11 
 
NIKKEI (Page 2) (Full) 
July 12, 2007 
 
09:27 
Met with incoming and outgoing Japan Coast Guard directors-general 
Iwasaki and Ishikawa. 
 
10:10 
Inspected the pension information desk set up at the Tokyo Chamber 
of Commerce and Industry (TCCI) in Marunouchi, joined by TCCI Chair 
Nobuo Yamaguchi and others. 
 
10:36 
Met with incoming and outgoing vice finance ministers for 
international affairs Tsuda and Fujii. 
 
12:09 
Arrived at LDP headquarters. 
 
13:01 
Attended a debate among the chiefs of seven political parties hosted 
by the Japan National Press Club. 
 
15:49 
Met with LDP Deputy Secretary-General Motegi at LDP headquarters. 
 
16:59 
Met with LDP Secretary General Nakagawa. 
 
17:55 
Again met with Nakagawa. 
 
20:03 Arrived at Kantei residence. 
 
4) Koike tells US envoy of her wishes to meet with Gates early 
 
TOKYO 00003171  003 OF 012 
 
 
 
MAINICHI (Page 2) (Full) 
July 12, 2007 
 
Defense Minister Yuriko Koike held talks with US Ambassador to Japan 
Thomas Schieffer at the ministry yesterday. In the session, Koike 
conveyed to the US envoy her wishes to meet with US Defense 
Secretary Robert Gates at an early date after the House of 
 
SIPDIS 
Councillors election. In response, Schieffer indicated that he would 
make arrangements with pleasure. 
 
Koike, touching on the selection of the Air Self-Defense Force's 
next-generation mainstay combat aircraft, also asked for the United 
States' cooperation in the form of provision of information, 
apparently with the state-of-the-art F-22A Raptor stealth fighter in 
mind. In response, Schieffer simply said: "You should think about it 
from a viewpoint of what is essential for the security and peace of 
Japan rather than of what aircraft is necessary at the micro 
level." 
 
5) Koike announces another extension of anti-terror law 
 
NIKKEI (Page 2) (Full) 
July 12, 2007 
 
Defense Minister Yuriko Koike yesterday told the press, including 
the Nihon Keizai Shimbun, that she would reextend the Antiterrorism 
Special Measures Law, which is to expire Nov. 1 this year. "Japan 
needs to continue its appropriate activities, and that's what the 
international community wants," Koike said. The Maritime 
Self-Defense Force is currently tasked with refueling multinational 
forces' vessels in the Indian Ocean, and the government intends to 
continue the MSDF's fuel supply there. The law is expected to be 
reextended for one year. 
 
Meanwhile, the United States has informally asked Japan to dispatch 
Ground Self-Defense Force helicopters to Afghanistan. In this 
regard, Koike ruled out the possibility of dispatching GSDF 
helicopters to that country, saying the government has no plans to 
do so. In Afghanistan, a provisional reconstruction team (PRT) of 
the North Atlantic Treaty Organization (NATO) is now operating. 
Asked about this, she took a cautious stance, saying, "There are 
many legal problems, so it's difficult at this point of time." 
 
Concerning the recently exposed leakage of data about MSDF Aegis 
vessels, Koike stressed: "Information security is a tool to defend 
the nation-that is more important than procuring equipment." With 
this, she stressed her resolve to grapple with information security 
and prevent data leakage as a top-priority issue. 
 
6) Koike to seek local understanding of Japan-US agreement on 
Futenma 
 
MAINICHI (Page 2) (Full) 
July 12, 2007 
 
Defense Minister Yuriko Koike gave an interview yesterday to the 
Mainichi Shimbun and other news companies. The following is a gist 
of the interview: 
 
-- Okinawa is calling for making changes to the Japan-US agreement 
on the relocation of Futenma Air Station. Is it possible to comply 
 
TOKYO 00003171  004 OF 012 
 
 
with their request? 
 
Koike: I would earnestly like to lend an ear to the local voices. I 
believe the (government's) plan is ideal because it has analyzed 
factors from various viewpoints. I will work hard to deepen their 
understanding of (the bilateral agreement). 
 
-- What kind of security measures are you going to take against the 
North Korean threat? 
 
Koike: I will push ahead with ballistic missile defense (BMD) based 
on the Japan-US alliance. 
 
-- What is your view on establishing a permanent law allowing the 
government to dispatch Self-Defense Forces troops overseas as 
necessary? 
 
Koike: Legal challenges are being analyzed and studied by the 
Cabinet Secretariat. It's too early to comment on it. 
 
-- The Antiterrorism Special Measures Law will expire in November. 
 
Koike: Discontinuing (the Maritime Self-Defense Force's refueling 
activities) at this point is not an option. 
 
-- Do you plan to seek the Liberal Democratic Party presidency in 
the future? 
 
Koike: No, I will not. I must fulfill my duties and 
responsibilities, and that's what I am going to do for now. 
 
7) A/S Hill mentions possibility of holding four-way talks among US, 
China, DPRK, ROK within the year 
 
NIKKEI (Page 8) (Full) 
July 12, 2007 
 
Hiroshi Maruya, Washington 
 
US Assistant Secretary of State Christopher Hill met with the 
Japanese press corps yesterday and referred to the possibility of 
holding by the end of the year four-party talks among the United 
States, China, North Korea, and South Korea to discuss how to build 
a peace mechanism for the Korean Peninsula, separate from a new 
security framework for Northeast Asia. This move reflects 
Washington's judgment that something that can keep North Korea 
committed to the six-party talks to discuss the North Korean nuclear 
issue is essential in order to have the North abandon its nuclear 
programs by the end of 2008, given the Bush administration's 
remaining one-and-a-half-year term of office. 
 
A security framework for Northeast Asia and a peace mechanism for 
the Korean Peninsula were the focus of discussions between Hill and 
North Korean officials during his visit to Pyongyang last month. The 
creation of a peace mechanism for the Korean Peninsula, where there 
is currently only a cease-fire, is the top priority issue for the 
North Koreans seeking to normalize relations with the US. 
 
Given this, Hill has linked talks on a peace mechanism to the "next 
steps," which are likely to urge the North to disable its nuclear 
facilities following the "first steps" of shutting down and sealing 
them. "Practically, it would be possible for us to start such talks 
 
TOKYO 00003171  005 OF 012 
 
 
by the end of this year in parallel with the work of disabling the 
nuclear facilities," Hill said and indicated that unless the North 
moves on to the stage of disabling its nuclear facilities, no talks 
on a peace mechanism would be held. 
 
Also, speaking of who will participate in the talks on a peace 
mechanism, Hill pronounced that they would be the US, China, North 
Korea, and South Korea, telling reporters: "The February six-party 
agreement says 'direct parties concerned,' which, however, is not a 
clear definition. The talks would be meaningless without South 
Korea's participation." Hill thus made clear that he would use his 
plan to hold by the end of the year four-party talks that will 
exclude Japan to facilitate progress on the nuclear issue. 
 
He intends to set a timetable for the next steps at a session of the 
chief delegates to the six-party talks, which will be held on July 
18 if final coordination for that session goes smoothly, and to 
discuss details of the next steps at a working group session. The 
question of security in Northeast Asia would be discussed at the 
six-party foreign ministerial expected to take place ahead of the 
Asia-Economic Cooperation (APEC) forum, and with the North's nuclear 
facilities being disabled, four-way talks would be held by the end 
of the year. By the end of 2008, the North would abandon its nuclear 
weapons. 
 
This is the blueprint charted by the US, but there is no guarantee 
that things will go as the US expects. Washington attaches 
importance to multilateral talks, such as talks on security for 
Northeast Asia and four-party talks, but there is a strong 
possibility that North Korea will emphasize bilateral talks with the 
US. 
 
The US also needs to consider its relations with Japan, given that 
the US expects Japan to play a leading part in energy assistance to 
North Korea, which would be included in the next steps. Hill 
therefore stressed he would work to get the working group on 
Japan-DPRK relations to make progress in order to resolve the 
abduction issue. 
 
In the Japanese government, however, some are beginning to question 
America's North Korea policy, as Washington has come out with one 
reconciliatory measure after another and is moving toward holding 
dialogue with North Korea. What will happen to the nuclear issue 
next year remains to be seen. 
 
8) A/S Hill stresses need for a new framework to discuss security 
for Northeast Asia 
 
NIKKEI (Page 1) (Full) 
July 12, 2007 
 
Hiroshi Maruya, Washington 
 
US Assistant Secretary of State Christopher Hill, America's chief 
delegate to the six-party talks on the North Korean nuclear issue, 
yesterday met with the Japanese press. When asked about a dialogue 
on security for East Asia as included in the February six-party 
agreement, Hill noted, "I think a multilateral and open forum will 
be desirable," and stated it would be necessary to create a new 
framework without being shackled by the six-party framework. Hill 
also predicted that a six-party foreign ministerial would be held 
prior to the Asia-Pacific Economic Cooperation (APEC) forum slated 
 
TOKYO 00003171  006 OF 012 
 
 
for early September, and that the foreign ministerial would discuss 
a new framework to discuss security. 
 
Final coordination is underway to hold a session of the chief 
delegates to the six-party talks on July 18. Referring to this 
planned session, Hill said, "It will last for a couple of days, with 
the focus of talks being on a future timetable," and stressed that 
he would prioritize setting a timetable covering the rest of the 
year to realize nuclear abandonment. He also mentioned that the 
session would deal with how a dialogue on security for Northeast 
Asia should be held and gave this account: "There is a view that a 
security dialogue should include only the members of the six-party 
talks, and some are suggesting the need to let other countries join 
it." 
 
Hill said that a new framework "should be on the agenda for the 
forthcoming six-party foreign ministerial" and indicated that he 
would in advance coordinate views via a session of the chief 
delegates or on other occasions. 
 
As to when to hold a (six-party) foreign ministerial, which was 
expected in early August, Hill said, "We want to hold it before the 
APEC forum" and indicated an intention to aim to get it to occur 
before the (APEC) ministerial session slated for September in 
Sydney. 
 
9) Six-party talks: View allowing discussion of nuclear issue first 
gaining ground: Government officials worried about progress on 
abduction issue 
 
ASAHI (Page 4) (Slightly abridged) 
July 12, 2007 
 
In connection with Japan's North Korea policy, the argument gaining 
favor in the government is to give priority to discussing the 
nuclear development program issue instead of the abduction issue at 
the six-party talks. The idea is to bring about progress to 
Japan-North Korea dialogue by falling in step with related countries 
regarding the initial steps to be taken by North Korea toward the 
scrapping of its nuclear arms. With the official announcement of the 
Upper House election just ahead, Prime Minister has emphasized in 
election campaigning that he would tackle the abduction issue with 
ab iron will. Foreign ministry officials, however, are distressed to 
find themselves in between such rhetoric and the reality. 
 
Following the US' sudden approach to North Korea, a change was 
observed in the statement of a foreign ministry official, who said, 
"We will proceed with the North Korea issue with a three-stage 
approach of South-North talks, US-North Korea talks and Japan-North 
Korea talks." The idea is that now that Japan-North Korea dialogue 
has failed, the option of cashing in on the South-North and US-North 
Korea talks might bring momentum to Japan's own talks with the 
North. 
 
Six abductees returned home during the previous Koizumi 
administration, but the abduction issue has made little progress 
under the Abe administration. According to a government source, 
Abe's way of doing things is to stick to his previous logic, no 
matter what the situation is. However, foreign ministry officials 
take the view that the prime minister must think in terms of 
national interests amid the current reality, instead of just arguing 
the pros and cons of the issues, as one senior official put it. 
 
TOKYO 00003171  007 OF 012 
 
 
 
Facing such a policy stalemate, government officials since the 
beginning of the year have begun to use the word "progress" to 
denote a halfway stage in the process of settling the abduction 
issue,. The government earlier decided to open the way to 
participate in the energy aid program, even if the abduction issue 
was not yet completely settled. It has now come up with the argument 
that progress toward denuclearization would lead progress in the 
abduction issue. 
 
Assistant Secretary of State Hill, when he visited Japan in June, 
chimed in: "Progress toward denuclearization will become a base for 
talks to bring progress to the abduction issue." According to an 
informed source, when Hill visited North Korea, he told Vice Foreign 
Minister Kim Gye Gwan, "Improving relations with Japan would be 
beneficial to North Korea, as well." 
 
However, the government is steering clear of making any clear 
comment on the specific meaning of progress, with Chief Cabinet 
Secretary Shiozaki simply saying, "It means that North Korea admits 
 
SIPDIS 
that the abduction issue has not yet been settled and backs up this 
stance with action." Kim reportedly indicated a similar view to 
Hill, noting, "It is not yet time for Japan to hold talks with North 
Korea," according to a certain senior foreign ministry official. 
 
One government source said, "We must make a decision regarding 
whether we should take part in the aid program or not in the fall." 
He made this comment because of the prospect that the six-party 
talks will cover 950,000 tons of crude oil in aid, as progress in 
talks on post-initial-steps is likely. 
 
10) Senator Inoue submits statement against comfort-women 
resolution" adopted by House 
 
SANKEI (Page 2) (Full) 
July 12, 2007 
 
Takashi Arimoto, Washington 
 
Senator Daniel Inouye (Hawaii), a Democratic Party member, submitted 
to the Senate on July 10 a statement opposing the resolution adopted 
by the House of Representatives criticizing Japan on the wartime 
comfort-women issue. The resolution is expected to be approved by 
the full House soon. Observers see the statement is intended to 
prompt House members to reconsider the resolution and prevent its 
effect from leaping to the Senate. 
 
The statement, dated July 9, noted: "I wonder it would be 
appropriate for Americans, who are friends and allies of Japanese, 
to take such an action." Although Inouye did not read the statement 
himself in a plenary session of the Senate, it was entered on the 
minutes. 
 
Although Inouye denounced the acts committed by the Japanese 
Imperial Armed Force toward comfort women as, "They can never be 
justified," he stressed the fact that six Japanese prime ministers 
had issued statements of apology. Inouye also cited the following 
remark Prime Minister Shinzo Abe made when he visited the US in 
April: "I as prime minister feel deeply sorry that they were forced 
to be placed in such extremely painful situations." The resolution 
calls for an official apology by the Japanese prime minister, but 
Senator Inouye said: "These statements should be enough as official 
 
TOKYO 00003171  008 OF 012 
 
 
statements in the diplomatic world." 
 
Inouye had also sent a letter in March to Foreign Affairs Committee 
Chairman Tom Lantos (Democrat) asking the committee not to adopt the 
resolution, stressing: "It (the resolution) is not only unnecessary 
but might adversely affect relations between the US and Japan." 
 
The committee overwhelmingly passed the resolution on June 26 by 
39-2 after wording in the original was changed. House Speaker Nancy 
Pelosi has indicated her support of the resolution. It is likely to 
be adopted by later July. But the resolution has not been presented 
to the Senate. 
 
11) Former NSC senior Asia director Green indicates possible fissure 
between Japan, US over history issues 
 
AKAHATA (Page 2) (Full) 
July 12, 2007 
 
Jiji, New York 
 
In a speech at a Jiji seminar yesterday, Mike Green, former senior 
director for Asian affairs at the National Security Council (NSC), 
said that some leftist Democrats in the United States, keeping in 
mind Prime Minister Shinzo Abe's denial of the wartime military's 
coercive recruitment of comfort women by military personnel, have 
expressed concern that since the Abe administration is nationalist, 
a further strengthening of the Japan-US security arrangements would 
drive the US into isolation in Asia. He went on to say that if a 
Democrat is elected president next year, there might be some changes 
in Washington's foreign policy. 
 
Green also said that the full House is likely to approve before the 
summer holiday the comfort-women resolution adopted by the US House 
Committee on Foreign Affairs calling for Japan's official apology. 
He then emphasized: "Japan's wartime history could undermine the 
relationship between Japan and the US. We should not take the 
Japan-US security arrangements for granted. The governments of the 
two countries must display leadership and strengthen the bilateral 
security arrangements." 
 
12) Shiozaki rejects Okinawa's request for reinserting mass suicides 
in textbooks 
 
TOKYO SHIMBUN (Page 2) (Full) 
July 12, 2007 
 
The Okinawa prefectural assembly yesterday adopted a second 
statement urging the central government to retract its instruction 
to history textbook publishers to eliminate descriptions of the 
military's role in mass suicides in the island prefecture in the 
closing days of the Battle of Okinawa. In this connection, Chief 
Cabinet Secretary Yasuhisa Shiozaki in a press conference yesterday 
afternoon indicated that the government has no intention of 
complying with Okinawa's request. Shiozaki emphasized the 
government's intention to uphold its view on history textbooks, 
saying: "It has nothing to do with government-designated textbooks. 
The matter occurred in the process of screening textbooks." 
 
13) 88 % of candidates who respond to survey oppose amending Article 
9 
 
 
TOKYO 00003171  009 OF 012 
 
 
TOKYO (Page 30) (Full) 
July 12, 2007 
 
In campaigning for the forthcoming House of Councillors election to 
be announced today, the issue of constitutional revision will be a 
major point of contention. A group of citizens to protect the 
Constitution conducted a questionnaire survey of prospective 
candidates across the nation on whether they are for or against 
amending Constitution Article 9 and exercising the right of 
collective self-defense. The group released its results yesterday. 
 
The group, named the "Executive Committee to Survey on Article 9 of 
the Constitution of Japan for the 2007 House of Councillors 
Election," sent a questionnaire form to 354 persons who have 
announced their candidacies by the end of June for electoral 
districts or proportional representation blocs. There were answers 
from 154 persons (43.5 % ). The question was: "Do you support 
amending Article 9 of the Constitution of Japan to acknowledge the 
Self-Defense Forces as Japan's armed forces and allow Japan to 
exercise the right of collective self-defense?" To this question, 
respondents were asked to answer "yes," "no," or "can't say which." 
 
There were answers from 6 persons from the Liberal Democratic Party, 
2 from New Komeito, 32 from the Democratic Party of Japan 
(Minshuto), 49 from the Japanese Communist Party, 20 from the Social 
Democratic Party (Shaminto), 7 from the People's New Party (Kokumin 
Shinto), 2 from the New Party Nippon (Shinto Nippon), and 36 from 
minor parties or independents. As a result, "no" came from 136 
persons (88.3 % ), with "yes" from 9 persons (5.8 % ) and "can't say 
which" from 7 persons (4.5 % ). There were other answers from two 
persons. 
 
In the case of those expected to run from the JCP and the SDP, which 
are both opposed to constitutional revision, all of their 
respondents answered "no." 
 
There were answers from only six persons among those with the LDP, 
which is focusing on its advocacy of revising the Constitution as 
one of its campaign issues. "Yes" came from four of these six 
persons. "They probably think they will lose votes if they make 
clear their attitude on the issue of revising the Constitution," one 
of the executive committee's members says. There were answers from 
32 persons with the DPJ, and 28 of them answered "no." 
 
The Executive Committee consists of groups and individuals, 
including a Tokyo-based group opposing Japan's dispatch of the 
Self-Defense Forces to Iraq and a group seeking to establish the 
right to live in peace. Yozo Ouchi, one of the committee's members, 
said: "The survey results show that many politicians are aware of 
public opinion that seeks to protect Article 9. There were no 
answers from the LDP, but I think that's the kind of answer in 
itself." 
 
14) Prime minister tones down "constitutional revision," probably 
out of consideration to New Komeito 
 
YOMIURI (Page 4) (Full) 
July 12, 2007 
 
In an open debate sponsored by the Japan Press Club yesterday, Prime 
Minister Abe spoke of constitutional revision: "I do not think all 
proposals of the Liberal Democratic Party will be adopted. It is 
 
TOKYO 00003171  010 OF 012 
 
 
necessary to conduct full discussion with the public first." He 
apparently toned down his assertion that constitutional revision 
should be at the center of the House of Councillors election 
campaign. 
 
The prime minister had emphasized: "The LDP's policy platform also 
proposes amending the Constitutional. It is natural for us to focus 
on the issue in the election campaign;" and "It is a sincere posture 
to spell out to the people our draft (of amendments to the 
Constitution) and suggest that the issue be on the table." 
 
In the party-heads debate yesterday, however, the prime minister 
made cautious remarks about the constitutional issue, for instance, 
"Under the National Referendum Law, the full text will not be 
changed at one time. In determining which parts (in the 
Constitution) should be prioritized, we must keep in mind the 
importance of forming a political consensus." 
 
The New Komeito has indicated a negative view about taking up 
constitutional revision as a major campaign issue. The prime 
minister's toned down remarks about the issue might have come in 
giving consideration to its coalition partner, at a time when the 
LDP is suffering setbacks due to the pension and other issues. 
 
15) Leaders of seven parties discuss pension issue ahead of Upper 
House election 
 
ASAHI (Top Play) (Excerpts) 
July 12, 2007 
 
The Japan National Press Club hosted yesterday a panel discussion 
attended by the leaders of seven major political parties ahead of 
the official announcement of the July 29 House of Councillors 
election. The major topic of discussion was the pension issue. The 
seven leaders debated not only measures to cope with the 
pension-record mess, but pension systems themselves. Minshuto 
(Democratic Party of Japan) Ichiro Ozawa criticized the present 
pension system, revealing his party's plan to lower the minimum 
benefit amount to the annual salary of about six million yen. Debate 
on the pension system will likely intensify during the campaign. 
 
In reference to the pension-record fiasco, Prime Minister Shinzo 
Abe, president of the ruling Liberal Democratic Party (LDP), proudly 
stated: 
 
"We have taken every possible policy measures in dealing with the 
issue. The ruling and opposition camps should cooperate rather than 
face off against each other and make an all-out effort (to resolve 
the issue). So we have accepted good plans proposed by Minshuto and 
the Japanese Communist Party." 
 
Akihiro Ota, leader of the New Komeito, the LDP's coalition partner, 
stressed: "We will do our best so that all policyholders will get 
the full amount of benefits." 
 
The government and ruling parties plan to complete the verification 
of "unidentified pension records" by next March and inform all the 
insured of their pension records until October. The main opposition 
party Minshuto, however, has criticized them, saying, "It would take 
a lot of time before the government will pay due amounts to all 
policyholders." During the panel discussion, Ozawa urged Abe: "Since 
the public is now concerned about it, the government should 
 
TOKYO 00003171  011 OF 012 
 
 
immediately notify them." 
 
The ruling camp has advocated the maintaining of the present pension 
programs. In the debate, Ozawa, however, criticized this, saying, "I 
think the government's calculation is far from reality." In 
response, Abe rebutted: "During the nine months since I assumed 
office, we are operating 4 trillion yen in the plus. That will lead 
to benefits. According to the current calculation, we can promise 
that the income replacement ratio will become 51 % ." 
 
Minshuto has, meantime, proposed unifying pension systems, 
allocating five % of the consumption tax revenues to the guaranteed 
minimum benefits of the basic part. According to Munshuto's plan, 
there would be nobody deprived of benefits, and people in the low 
income bracket would be guaranteed to get the certain amount of 
benefit. Asked by Ota about the ceiling of income amount, Ozawa 
responded: "An annual income of more than 12 million." He then 
explained that the full benefits would be paid to those whose annual 
income is around six million yen and some benefits would be paid to 
those who get an annual salary of up to 12 million. 
 
16) DPJ head Ozawa dispatches secretaries to Rengo branch offices: 
Friendly appearance, bit is keeping watch the real aim? 
 
SANKEI (Page 4) (Full) 
July 12, 2007 
 
The friendly relations between Democratic Party of Japan (DPJ or 
Minshuto) head Ozawa and the Japanese Trade Union Confederation 
(Rengo, chaired by Tsuyoshi Takagi), the DPJ's power base, is about 
to reach a peak with the Upper House election just ahead. Ozawa is 
receiving reports on election information from the DPJ's prefectural 
chapters. He has also dispatched his own secretaries to Rengo branch 
offices, mainly to single-seat constituencies, which will likely 
determine the Upper House election. He has also built his own 
election information network. He is thus increasingly strengthening 
relations with Rengo. 
 
Ozawa during a policy agreement signing ceremony held at DPJ 
headquarters on July 9 told Takagi: "Thank you for signing the 
agreement. I appreciate your cooperation greatly." Takagi responded, 
"We will do everything we can." The agreement mentioned that the DPJ 
and Rengo will make all-out efforts to gain control in the Upper 
House for the opposition in the upcoming Upper House election in 
order to reform the pension system and correct income disparities. 
 
The DPJ has signed a policy agreement with Rengo each time national 
elections took place. Last October, they signed their first joint 
statement, which included a policy concept titled, "Sharing the same 
ideals." Commenting on the signing of the agreement this time, one 
senior Rengo official noted: "We have exchanged opinions with the 
DPJ in a detailed manner. We feel we are one to such a degree that 
it is not necessary for us to purposely sign a policy agreement for 
the Upper House election." The relations between the DPJ and Rengo 
have significantly improved, compared with the time when Seiji 
Maehara, who kept Rengo at arm's length, was party head. 
 
According to an informed source, Ozawa has visited almost all 
single-seat constituencies along with senior Rengo officials, 
including Takagi, since this spring and met senior officials of 
Rengo branches. He dined with them and even enjoyed karaoke. 
 
 
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Since then, Ozawa has dispatched his own aides, such as secretaries, 
to constituencies, mainly single-seat constituencies, and had them 
analyze the election situation, collect information, and ask for 
support through the networks he has created. 
 
One senior trade union official said: "This is the first time for 
any DPJ head to dispatch his secretaries so frequently. We feel 
Ozawa's firm determination." However, given the fact that candidates 
fielded by Rengo in the 2004 Upper House election garnered only 1.73 
million votes for proportional representation, which is less than 30 
% of the number of labor union members at the time, Ozawa's moves 
appear to be aimed at keeping watch on Rengo's moves as well. 
 
SCHIEFFER