VZCZCXRO9440
PP RUEHFK RUEHKSO RUEHNAG RUEHNH
DE RUEHKO #4814/01 2880950
ZNR UUUUU ZZH
P 150950Z OCT 07
FM AMEMBASSY TOKYO
TO RUEHC/SECSTATE WASHDC PRIORITY 8572
INFO RUEHJA/AMEMBASSY JAKARTA PRIORITY 4297
RUEHUL/AMEMBASSY SEOUL PRIORITY 5573
RUEHFK/AMCONSUL FUKUOKA PRIORITY 3737
RUEHNAG/AMCONSUL NAGOYA PRIORITY 2646
RUEHNH/AMCONSUL NAHA PRIORITY 6147
RUEHOK/AMCONSUL OSAKA KOBE PRIORITY 7401
RUEHKSO/AMCONSUL SAPPORO PRIORITY 4443
RUEHGV/USMISSION GENEVA PRIORITY 3159

UNCLAS SECTION 01 OF 02 TOKYO 004814 
 
SIPDIS 
 
SENSITIVE 
SIPDIS 
 
STATE FOR EAP/J, EEB/TPP, OES 
STATE PASS USTR FOR WCUTLER AND MBEEMAN 
 
E.O. 12958: N/A 
TAGS: ETRD SENV JA
SUBJECT: JAPANESE THINKING ON CUTTING TARIFFS ON GOODS THAT 
CAN REDUCE GREENHOUSE GASES 
 
 
¶1.  (SBU) Summary:  Japanese Government officials report the 
call in former PM Mori's September 24 speech to the UN High 
Level Event on Climate Change, for countries to reduce 
voluntarily their tariffs on goods that can help cut CO2 
emissions, is a move to get countries to act now against 
climate change.  It is also designed to counter the frequent 
demand from developing countries that Japan and other 
industrialized states transfer technologies to them as part 
of the global effort on climate change.  Cutting tariffs 
voluntarily rather than in the context of the WTO talks 
should enable interested countries, in the GOJ's view, to act 
now.  Regarding Indonesia's suggestion that trade ministers 
meet on the margins of the climate change meeting in December 
on Bali, GOJ officials privately say if there is going to be 
a meeting of trade ministers in the coming months, it should 
focus on successfully completing the Doha Development Agenda. 
 Japan, however, has not yet developed an official position 
on how to respond to the Indonesian invitation and plans to 
consult with other governments.  End Summary. 
 
¶2.  (SBU) Discussions with senior officials at MOFA and METI 
regarding the point in former PM Mori's September 24 speech 
to the UN High Level Event proposing countries voluntarily 
reduce or eliminate tariffs on products that can reduce 
greenhouse gas emissions, "such as hybrid cars, wind power 
generators, and solar batteries," show a GOJ still in the 
early stages of its thinking on the issue.  According to one 
senior METI official, the Foreign Ministry put the idea into 
Mori's speech and the GOJ still needs to do further work 
developing the details.  Officials at MOFA report the GOJ 
believes the reduction or elimination of tariffs on these 
goods should be voluntary, not negotiated, and should in no 
way interfere with work on the WTO's Doha Development Agenda. 
 
 
¶3.  (SBU) Senior MOFA officials describe the proposal as a 
way to get quick action for cutting global greenhouse gas 
emissions -- they specifically note the length of the Doha 
Development Agenda talks as a reason for countries to act on 
their own rather than waiting to finalize negotiations on 
tariff cuts.  One MOFA official called it an initiative that 
countries could move on as soon as they are ready, 
independent of others, and that would eliminate their ability 
to use the WTO as an excuse for inaction. 
 
¶4.  (SBU) They also note the Japanese idea is a way to deal 
with developing countries who repeatedly call on Japan and 
other industrialized countries to transfer technologies to 
middle income and developing countries.  "The tariffs are a 
charge these countries are putting on the technologies and 
goods that they say they want from us," one senior MOFA 
official said.  The voluntary tariff reduction approach is an 
effort, he continued, to be creative about aligning market 
behavior with steps to promote the public good.  Reducing 
tariffs would also be among the steps governments could take 
to reduce costs so that private sector actors buy and use 
environmentally preferable goods and technologies. 
 
¶5.  (U) Officials at MOFA and METI noted the President's 
remarks to the Major Economies Meeting also included a call 
for eliminating tariff and non-tariff barriers on clean 
energy goods and services and asked to be further advised on 
U.S. thinking on the issue.  The MOFA officials also asked 
about the proposal to create a new international clean 
technology fund. 
 
¶6.  (SBU) Regarding the Indonesian Government's invitation to 
trade ministers to meet in December on the margins of the UN 
Climate Change Conference on Bali, both MOFA and METI 
officials noted that if there is to be a meeting of trade 
ministers in the coming months, it should be focused on 
reaching a successful conclusion for the Doha Development 
Agenda.  The GOJ has not yet determined its position on the 
Indonesian idea, but senior officials in both MOFA and METI 
talking separately to emboffs stressed such discussions on 
trade should take place in the WTO.  Officials at METI also 
noted considerable preparatory work -- for example in terms 
of agenda, what will be discussed, and possible results -- 
needs to be done before trade ministers can decide whether to 
meet.  The GOJ plans to consult with other governments, 
 
TOKYO 00004814  002 OF 002 
 
 
including the USG, before reaching a decision on whether to 
attend. 
SCHIEFFER