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Viewing cable 08TOKYO135, JAPANESE MORNING PRESS HIGHLIGHTS 01/18/08

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Reference ID Created Released Classification Origin
08TOKYO135 2008-01-18 01:36 2011-08-26 00:00 UNCLASSIFIED Embassy Tokyo
VZCZCXRO5538
PP RUEHFK RUEHKSO RUEHNAG RUEHNH
DE RUEHKO #0135/01 0180136
ZNR UUUUU ZZH
P 180136Z JAN 08
FM AMEMBASSY TOKYO
TO RUEHC/SECSTATE WASHDC PRIORITY 1058
INFO RUEKJCS/SECDEF WASHDC PRIORITY
RHEHAAA/THE WHITE HOUSE WASHINGTON DC PRIORITY
RUEAWJA/USDOJ WASHDC PRIORITY
RULSDMK/USDOT WASHDC PRIORITY
RUCPDOC/USDOC WASHDC PRIORITY
RUEAIIA/CIA WASHDC PRIORITY
RUEKJCS/JOINT STAFF WASHDC//J5//
RHHMUNA/HQ USPACOM HONOLULU HI
RHHMHBA/COMPACFLT PEARL HARBOR HI
RHMFIUU/HQ PACAF HICKAM AFB HI//CC/PA//
RHMFIUU/USFJ //J5/JO21//
RUYNAAC/COMNAVFORJAPAN YOKOSUKA JA
RUAYJAA/CTF 72
RUEHNH/AMCONSUL NAHA 7951
RUEHFK/AMCONSUL FUKUOKA 5557
RUEHOK/AMCONSUL OSAKA KOBE 9222
RUEHNAG/AMCONSUL NAGOYA 4230
RUEHKSO/AMCONSUL SAPPORO 6163
RUEHBJ/AMEMBASSY BEIJING 1164
RUEHUL/AMEMBASSY SEOUL 7231
RUCNDT/USMISSION USUN NEW YORK 7885
UNCLAS SECTION 01 OF 10 TOKYO 000135 
 
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 01/18/08 
 
 
Index: 
 
1) Top headlines 
2) Editorials 
3) Prime Minister's daily schedule (Nikkei) 
 
Foreign policy agenda: 
4) Vice Foreign Minister Yabunaka lists priorities: Resolution of 
gas-field dispute with China before Hu visit; Cooperation with U.S. 
to resolve the abduction issue  (Nikkei) 
5) Interview with ROK President-elect Lee: Stresses future-oriented 
ties with Japan, will not seek apologies for colonial past 
(Mainichi) 
 
Political agenda: 
6) Prime Minister Fukuda at LDP convention calls out for 
prioritizing policies for the "people" 36 times but his speech 
lacked specificity  (Tokyo Shimbun) 
7) LDP warns that if budget-related bills, including provisional gas 
tax rate, not passed, it could spell turmoil for the daily lives of 
the public  (Yomiuri) 
8) Democratic Party of Japan Secretary General Hatoyama frustrated 
by party head Ozawa's willfulness: "He is not one to easily 
apologize"  (Tokyo Shimbun) 
9) Regular Diet session opens today with all minds focused on the 
fate of the gasoline tax  (Sankei) 
 
Defense and security affairs: 
10) Japan to announce partial ban on cluster bombs  (Mainichi) 
 
Economic agenda: 
11) Government's economic advisory body to present new economic 
growth strategy this summer in structural reform report  (Mainichi) 
 
12) DPJ's Okada is against picking Muto as next Bank of Japan head 
(Mainichi) 
 
Whaling blues: 
13) Japanese whaling ship turns over two trespassers to Australian 
authorities  (Sankei) 
14) Labor party government's anti-whaling pledge spells trouble for 
future of Japanese research whaling and bilateral ties with 
Australia  (Sankei) 
 
15) Prime Minister Fukuda decides to announce concept of numeral 
targets for greenhouse gas reduction that would be based on type of 
industry  (Yomiuri) 
 
Articles: 
 
1) TOP HEADLINES 
 
Asahi, Mainichi, Yomiuri & Sankei: 
Three NHK employees investigated for suspected insider trading 
 
Nikkei: 
Major Japanese firms, such as Bridgestone, Asahi Glass, to obtain 
emissions credits through their overseas factories 
 
Tokyo Shimbun: 
24 dentists and others investigated by prosecutors of Saitama for 
hiding income in form of donations 
 
TOKYO 00000135  002 OF 010 
 
 
 
Akahata: 
Leading beauty parlor chain Ash pays overtime to all employees after 
negotiations with beauticians' union 
 
2) EDITORIALS 
 
Asahi: 
(1) Need to discuss not only "gasoline tax bill" but other important 
bills in ordinary Diet session 
(2) Don't force manual-like revised course of study on teachers 
 
Mainichi: 
(1) NHK employees: Outrageous if they had made money via scoop 
(2) LDP, DPJ both excessively inward-looking 
 
Yomiuri: 
(1) Drastic policies expected from LDP in power 
(2) Mitsubishi's top leader found guilty of negligence of duty 
 
Nikkei: 
(1) Both ruling and opposition parties should take action to deal 
with staggering economy 
(2) Outrageous if journalists implicated in insider trading 
 
Sankei: 
(1) LDP convention: The party failed to project its vision 
(2) Court ruling over Mitsubishi defect vehicle: Top leader 
responsible for safety 
 
Tokyo Shimbun: 
(1) No grand vision shown in LDP convention 
(2) Violence in special express: Staying on sidelines regarded as 
accomplice 
 
Akahata: 
(1) Iwakuni mayoral election: Important battle in terms of 
realignment of U.S. forces in Japan 
 
3) Prime Minister's Official Residence (Kantei) 
 
Prime Minister's schedule, January 17 
 
NIKKEI (Page 2) (Full) 
January 18, 2008 
 
07:46 
Attended a cabinet meeting at the Kantei. 
 
09:26 
Met LDP Secretary General Ibuki and others at the Grand Prince Hotel 
Shin-takanawa. Afterward attended an LDP international politics, 
foreign policy essay contest award ceremony. 
 
10:05 
Attended the LDP convention, followed by a reception. 
 
14:35 
Met at the Kantei Vice METI Minister Kitahata. Afterward had 
informal discussions with news company editorial writers and Cabinet 
Press Club member company heads. 
 
 
TOKYO 00000135  003 OF 010 
 
 
17:05 
Met LDP lawmakers representing Kyushu, including Election Committee 
Chairman Koga, at the Toranomon Pastoral. 
 
17:40 
Returned to his official residence. 
 
17:50 
Met at the Kantei incoming and outgoing vice foreign ministers 
Yabunaka and Yachi. 
 
18:01 
Attended a Council on Economic and Fiscal Policy meeting. 
 
19:36 
Returned to his official residence. 
 
4) Japan to settle gas field talks with China before Hu's visit to 
Japan 
 
NIKKEI (Page 2) (Full) 
January 18, 2008 
 
In a press interview after he became administrative vice foreign 
minister yesterday, Mitoji Yabunaka revealed his plan to settle the 
pending issue with China of developing gas fields in the East China 
Sea before President Hu Jintao's Japan visit scheduled for this 
spring. Regarding the deadlocked talks between Japan and North Korea 
over diplomatic normalization, Yabunaka revealed a policy line of 
seeking progress in its talks with North Korea while linking up with 
the United States in its talks with North Korea over that country's 
nuclear programs. 
 
On the gas field issue, Yabunaka said, "We'd like to settle this 
issue if we can, without waiting for President Hu to visit Japan." 
He continued: "We've been negotiating quite hard, and our mutual 
understanding has been deepening. We're now talking with each other 
in a sincere manner." He indicated that Japan and China are about to 
bridge the rift. 
 
On North Korea normalization talks, Yabunaka pointed out, "Of 
course, our talks with North Korea are linked (with progress in the 
U.S.-North Korea talks on the nuclear issue). He indicated that 
Japan would step up its cooperation with the United States and other 
six-party talks members in order to settle pending issues between 
Japan and North Korea, including North Korea's abduction of Japanese 
nationals. 
 
Earlier in the day, Yabunaka, in meeting the press, stressed the 
need for Japan to talk with North Korea in order to resolve the 
abduction issue and other pending issues. At the same time, he 
suggested the need for Japan to show a resolute attitude. He also 
took the position that the international community should pressure 
North Korea for dialogue. 
 
5) South Korean president-elect expresses readiness to pursue 
future-oriented relations with Japan 
 
MAINICHI (Page 3) (Full) 
January 18, 2008 
 
Akiko Horiyama, Seoul 
 
TOKYO 00000135  004 OF 010 
 
 
 
South Korean President-elect Lee Myung Bak yesterday expressed his 
readiness to develop future-oriented relations with Japan. Referring 
to both countries' historical views, Lee said at a press conference 
for foreign correspondents: "To build a mature relationship between 
South Korea and Japan, I do not want to demand that Japan apologize 
and reflect." He also expressed his desire to swiftly resume 
reciprocal visits between the top leaders of the two countries, 
which were suspended due to a row in 2005 over their historical 
views. 
 
Lee apparently is aiming to reveal his willingness to improve 
relations with Japan, switching from the Japan policy taken by 
current President Roh Moo-hyun, who defined the issue of historical 
views as a diplomatic war. 
 
Lee, however, also said in the press conference: "It is true that 
Japan's apology was just for pro-forma sake, and there was no 
emotional impact on the South Korean people." He added: "Even if we 
do not demand (that Japan apologize), I believe Japan will take a 
mature diplomatic approach." 
 
6) Prime minister uses the words "the people" 36 times in speech at 
LDP convention; What are the specific measures? 
 
TOKYO SHIMBUN (Page 2) (Abridged slightly) 
January 18, 2008 
 
The Liberal Democratic Party (LDP) held its annual convention 
yesterday, at which Prime Minister Yasuo Fukuda (also LDP president) 
played up "the people's viewpoint" with the aim of winning the next 
House of Representatives election, defining the environment 
surrounding the party since its crushing defeat in the previous 
House of Councilors election as the most critical situation since 
the party's foundation. But lacking specific policies, his speech 
also drew grumbles from some attendees. 
 
In his 11-minute speech at the party convention, the prime minister 
used the words "the people" 36 times, including, "We will build 
people-oriented politics," "The LDP stands on the side of the 
people," and "We will reflect the viewpoint and voice of the people 
in politics." He also said: "With politics and the administration 
standing on the side of the people, we will make this year a turning 
point so that consumers and working people can play a central 
role." 
 
In last year's party convention, then Prime Minister Shinzo Abe used 
the words "the people" only seven times, focusing on constitutional 
revision, educational reform, and foreign policy with the aim of 
making Japan a "beautiful country." Fukuda's speech emphasizing "the 
people" reflected the prime minister's strong determination to erase 
public mistrust in the LDP by returning to the viewpoint of working 
people and consumers. 
 
In addition, female representatives of the 47 prefectural chapters 
reported on their challenges and resolutions for this year, while 
playing up their determination to give consideration to the areas 
that were overwhelmed by the major opposition Democratic Party of 
Japan (DPJ or Minshuto) in the previous Upper House election. 
 
General Council Chairman Toshihiro Nikai praised the convention, 
saying, "Making everyone aware of the severe environment, it was a 
 
TOKYO 00000135  005 OF 010 
 
 
good convention in order to make a fresh start." Reform Headquarters 
chief Tsutomu Takebe also lauded it, commenting, "It was very good 
in that we can now understand the prime minister's people-oriented 
thinking." Questions remain however, whether it can revitalize the 
party. 
 
One attendee: "The prime minister's speech was too vague, so I 
couldn't understand it." 
 
In the convention, the party also adopted the 2008 action program 
featuring people-oriented policies, such as redressing socioeconomic 
disparities, measures for small businesses, and the promotion of 
agriculture, forestry, and fisheries. But the prime minister failed 
to discuss specifics. At the same time, stopping short of mentioning 
the battle with the DPJ over the provisional tax rate on gasoline 
and strategies for the next Lower House election, the prime minister 
failed to drive his point home to some extent. 
 
After the convention, Niigata chapter General Council Chairman 
Mihashi said to reporters: "The prime minister got a strong sense of 
crisis across to us, but what to do with the exhausted local regions 
is not clear. Because concrete measures were not discussed, I cannot 
explain to local residents and party members what Mr. Fukuda said." 
About the maintenance of the provisional tax rates, he also 
expressed concern, saying, "A solid explanation is necessary in 
order to persuade people so that they can think the construction of 
roads can wait if gasoline prices go down." 
 
An attendee from Nagano said: "The prime minister's speech was too 
vague, so I couldn't understand it." An assemblyman from Gifu also 
said disapprovingly: "The prime minister was remorseful. I wanted 
him to discuss what do to in the future and exhibit strong 
leadership." 
 
7) LDP warns that if key bills are not passed, people's lives could 
be seriously affected 
 
YOMIURI (Page 2) (Excerpts) 
January 18, 2008 
 
In its annual convention yesterday, the Liberal Democratic Party 
distributed copies of material intended for the public to read. The 
material stressed that if bills that must be passed by the end of 
March do not clear the Diet by the deadline, the people's lives and 
the nation's economy could be seriously affected. The bills include 
one amending the special tax measures law, which proposes 
maintaining the current provisional high gasoline tax rate. This 
move is aimed to counter the Democratic Party of Japan's (DPJ) call 
that an abolishment of the provisional tax rate will bring down 
gasoline prices by about 25 yen per liter. The government and the 
ruling camp are now gearing up a public relations strategy to win 
opinion over to their side. 
 
The material notes that if the provisional rate loses effect: (1) 
the central and local governments will see their tax revenues drop 
by approximately 2.6 trillion yen, making it difficult for them to 
maintain and construct roads, to remove snow, as well as to take 
safety measures for school-commuting roads; and (2) the total amount 
of decreased local governments' revenues, including the portion of 
special grants for road maintenance and improvement, will reach 
approximately 1.6 trillion yen, and financially troubled local 
governments will fall into bankruptcy. The material further says 
 
TOKYO 00000135  006 OF 010 
 
 
that should the bill amending the special tax measures law is not 
passed into law, other tax incentives will also lose effect, 
resulting in increasing the people's tax burden, for instance, on 
real property registration. 
 
In reference to a bill amending the tariff law, the material notes 
that if the bill expires, the prices of daily necessities like 
clothes and food will shoot up. Regarding a bill that sets the 
amount of government bond issuance for fiscal 2008, it emphasizes 
that (if the bill is scrapped,) the government will have to hike 
taxes and cut expenditures, which is impossible to implement, 
further confusing the financial markets. 
 
8) Hatoyama: Ozawa is slow to apologize 
 
TOKYO SHIMBUN (Page 2) (Full) 
January 18, 2008 
 
Democratic Party of Japan Secretary General Yukio Hatoyama gave a 
speech at a Rengo (Japanese Trade Union Confederation) Political 
Center meeting yesterday. In it, he reiterated an apology for 
President Ichiro Ozawa's exit from the House of Representatives 
plenary session (on Jan. 11) before taking a vote on the 
government-sponsored new antiterrorism special measures legislation, 
saying, "Because Mr. Ozawa is slow to apologize for it, I would like 
to offer an apology as the secretary general." 
 
On Jan. 15, Hatoyama had mentioned the need for Ozawa to apologize, 
but Ozawa in a press conference yesterday stood by what he did. 
 
Hatoyama said: "Although a leader needs adamancy, he also needs the 
flexibility to correct the course when the wrong step was taken." 
 
9) Ordinary Diet session to open today; Tensions to rise over debate 
on gasoline tax 
 
SANKEI (Page 5) (Full) 
January 18, 2008 
 
The 169th regular session of the Diet, which is to be convened 
today, will run 150 days until June 15. The ruling and opposition 
camps will now start heated debate, focusing on the annual 
revenue-related bills (fixed-deadline bills), which incorporate 
measures to extend the provisional tax rates such as the tax imposed 
on gasoline, which will expire at the end of March. Although the 
government and ruling parties aim to enact them within this fiscal 
year (end of March), the main opposition Democratic Party of Japan 
(DPJ or Minshuto) and some other opposition parties are determined 
to oppose such an extension. As it stands, a situation can be 
expected to develop in which the DPJ and other parties will not 
budge in their stances, intent of forcing a dissolution of the Diet 
and a snap election. 
 
 The opening ceremony with the presence of the Emperor will be held 
at the plenary hall of the House of Councillors starting at 1:00 
p.m. After that, Prime Minister Yasuo Fukuda will deliver a policy 
speech at a plenary meeting of the Lower House, followed by speeches 
by the justice, foreign, and international economy and trade 
ministers. 
 
The government and ruling coalition will start deliberations on Jan. 
24 on the supplementary budget bill for fiscal 2007 which includes 
 
TOKYO 00000135  007 OF 010 
 
 
allocations for disaster relief, aid to Afghanistan, and measures to 
deal with the costs created by a one-year-suspension of an increase 
in medical co-payments for the elderly. The government aims to pass 
the supplementary budget before the end of January. After that, the 
government and ruling camp intend to start debate on the fiscal 2008 
budget bill and revenue-related bills earlier than usual. 
 
10) Japan offers to ban some cluster bombs 
 
MAINICHI (Page 1) (Full) 
January 18, 2008 
 
GENEVA-The Japanese government announced its decision on Jan. 17 to 
prohibit cluster bombs, with some exceptions. Duds from cluster 
bombs can harm civilians. The government clarified the decision in 
an expert meeting of the Convention on Certain Weapons (CCW) in 
Geneva. The government has withheld its commitment over cluster 
bombs. However, some countries are now working together in the "Oslo 
process" to create a multilateral convention against cluster bombs. 
Japan was apparently urged to change course. 
 
The government clarified its decision to prohibit "unreliable 
cluster bombs," and Japan will prohibit developing and producing new 
cluster bombs. In addition, the government will offer to limit the 
use of such cluster bombs during a certain period of time and will 
prohibit using such bombs after that period of time. Japan also 
suggested the need for CCW signatories to reach an accord on a 
treaty. Japan will tolerate newly developed bombs whose dud rate is 
low. 
 
11) CEFP to propose new growth strategy; Structural reform report to 
be submitted this summer 
 
MAINICHI (Page 2) (Full) 
January 18, 2008 
 
The government's Council on Economic and Fiscal Policy (CEFP chaired 
by Prime Minister Yasuo Fukuda) held a meeting yesterday. Private 
sector members, such as Fujio Mitarai, chairman of the Japan 
Business Federation (Nippon Keidanren), proposed establishing a new 
study panel consisting of experts to discuss structural reforms for 
the continuous growth of the Japanese economy. The proposal was 
adopted. The envisaged panel will this summer compile a report that 
will serve as guidelines for a growth strategy to be taken by the 
Fukuda cabinet. It will aim at coming up with a 21st century 
equivalent of the Maehara Report, released in 1986. 
 
The expert panel will first probe into the rapid growth of newly 
emerging economies, the soaring prices of crude oil and other 
natural resources, and changes in the environment surrounding the 
global economy, including in the global flow of funds. It will then 
propose making the structure of the Japanese economy more flexible 
and risk-resistant through such means as building an open economic 
system. The aim is to enable the Japanese economy to continue to 
grow on its own. The panel will compile a report by the Lake Toya 
Summit (G-8 summit) to be held in Hokkaido in July. The Fukuda 
cabinet will thus demonstrate to the public its stance of attaching 
importance to growth. 
 
The CEFP also adopted a "Course and Strategy of the Japanese 
Economy," mid-term guidelines for economic and fiscal management for 
fiscal 2008 through fiscal 2011. Regarding the primary balance of 
 
TOKYO 00000135  008 OF 010 
 
 
the central and local governments, the panel adopted the Cabinet 
Office's projection that it will be impossible to move the primary 
balance into the black by fiscal 2011. 
 
According to the projection, even in the event that nominal GDP 
growth for fiscal 2011 reaches 3.3 PERCENT  and the government 
carries out spending cuts to the maximum extent (14.3 trillion yen), 
the goal it has set to attain by fiscal 2011, a 0.1 PERCENT  deficit 
in ratio to the GDP or 70 billion yen, would remain. The government 
has made a commitment to moving the primary balance into the black 
by fiscal 2011. In order for it to deliver on the pledge, it would 
need to further cut spending and increase taxes. 
 
12) DPJ's Okada opposes promotion of Muto to BOJ governor; Party 
leaders to meet today 
 
MAINICHI (Page 2) (Full) 
January 18, 2008 
 
Katsuya Okada, vice president of the Democratic Party of Japan 
(DPJ), yesterday held a press conference at the Japan National Press 
Club. Commenting on Bank of Japan (BOJ) Vice Governor Toshiro Muto, 
who is considered the most promising candidate to succeed incumbent 
Governor Toshihiko Fukui, whose tenure expires on March 19, Okada 
indicated his view that he is not appropriate for the position 
because he once served as administrative vice finance minister. He 
noted, "It is disagreeable that a person who served in the top 
position responsible for the administrative side of the Finance 
Ministry to assume the supreme post responsible for monetary 
matters. It goes against the principle of separation of financial 
affairs from monetary affairs. 
 
DPJ executives, including Secretary General Yukio Hatoyama, will 
today discuss for the first time what approach the party will take 
on this issue. 
 
Appointing a BOJ governor requires Diet approval. If the DPJ, which 
controls the Upper House, opposes the appointment of Muto, his 
selection for the post would fall apart. The DPJ opposed Muto when 
he took office as vice governor. 
 
Hatoyama during a press conference held in August last year noted, 
"There has been nothing that would cause the DPJ to change its 
stance from the time it opposed Mr. Muto assuming the vice 
presidency." However, he had been vague about his stance, saying, at 
a press conference on Jan. 11, "We do not intend to say that it is 
absolutely unacceptable for him to assume the post, just because he 
is a former bureaucrat." 
 
13) Japan hands two anti-whaling activists obstructing research 
whaling over to Australia 
 
SANKEI (Page 3) (Full) 
January 18, 2008 
 
The Fisheries Agency (FA) late yesterday announced that the Japanese 
side handed two anti-whaling activists of the U.S.-based 
environmental protection group Sea Shepherd, who had been seized 
after they had leapt aboard Japan's research whaling ship No. 2 
Yushinmaru in the Antarctic waters, over to an Australian Customs 
patrol boat around 10:30 p.m. that day, Japan time. Japan will now 
resume research whaling, which was suspended by this incident, after 
 
TOKYO 00000135  009 OF 010 
 
 
confirming the safety of research whaling. 
 
One of the two activists is British, and the other Australian. They 
climbed aboard No. 2 Yushimaru to hand over a letter of protest 
against whaling to the Japanese side. The Japanese side detained the 
two because they took dangerous actions by winding rope around the 
screw and sprinkling some kind of chemicals on the deck. 
 
14) Source for controversy still remains between Japan, Australia 
because Australian Labor Party-led government committed to 
anti-whaling 
 
SANKEI (Page 3) (Full) 
January 18, 2008 
 
Kinya Fujimoto, Singapore 
 
The Labor Party-led Rudd administration of Australia acted as an 
intermediary for the release of two activists of the U.S.-based 
environmental protection organization who had been seized by the 
Japanese crew because they had boarded a Japanese research whaling 
ship in the Antarctic Ocean. Australia's Labor Party is essentially 
a strong opponent to whaling, and its position is close to that 
environmental protection group. In Australia, opposition to whaling 
is deep-seated among the public. Prime Minister Rudd, who took 
office under the banner of attaching importance to environmental 
policy, apparently has found himself in a fix. Relations between 
Japan and Australia will inevitably be strained over the whaling 
issue. 
 
The Japanese side handed the two activists over to Australian 
Customs patrol boat, which was patrolling the seas nearby to monitor 
Japan's research whaling. The patrolling was aimed at collecting 
evidence, such as photos and videos. 
 
This kind of patrolling was inconceivable under the former Howard 
administration. In Australia, whale watching is popular, and many 
Australians are opposed to whaling, but former Prime Minister 
Howard, who emphasized the importance of good relations with Japan, 
contained the voices of anti-whaling groups and strived not to 
create a source for controversy between the two countries. 
 
However, in the general election in last November, the Labor Party 
won a landslide victory, emphasizing the importance of environmental 
protection. "Watch Japan's research whaling" is among the Labor 
Party's campaign pledges. So it was forecast that the whaling issue 
sooner or later would have a harmful effect on Japan-Australia 
relations. 
 
Given the news reports that Prime Minister Rudd's popularity already 
is beginning to decline owing to inflation and high interest rates, 
his administration may be forced to compensate by assuming a tough 
position against Japan's research whaling. 
 
15) Fukuda to announce policy of setting numerical targets for 
greenhouse gas emissions cuts in Davos Conference 
 
YOMIURI (Page 1) (Excerpts) 
January 18, 2008 
 
Prime Minister Fukuda decided yesterday to announce at the World 
Economy Forum (Davos Conference) in Switzerland later this month 
 
TOKYO 00000135  010 OF 010 
 
 
that Japan will set its industry-specific and sector-specific 
targets for reducing greenhouse gas emissions. Specific targeted 
figures will be worked out in future discussions. The decision stems 
from a desire to demonstrate Japan's willingness to take the 
initiative in discussion on a new international framework to fight 
global warming beyond the 2012 timeframe set under the Kyoto 
Protocol. There is also the aim of achieving reduction goals 
classified by industry, such as steel and electricity, effectively 
and without pushing too hard. 
 
The prime minister will also emphasize the importance of introducing 
a mid-term target for the entire world to attain over the next 10 to 
20 years. 
 
A mid-term target will be a key element in forming a post-Kyoto 
protocol. The prime minister intends to reiterate in his speech in 
the Davos Conference his determination to display leadership to form 
a mid-term target." 
 
At the 13th session of the Conference of the Parties to the United 
Nations Framework Convention on Climate Change (COP13) last 
December, participants discussed a plan for industrialized countries 
to reduce gas emissions by 25 PERCENT  to 40 PERCENT  from 1990 
levels by 2020 as a mid-term target, but no agreement was reached. 
 
Deputy Foreign Minister Masaharu Kono, who will serve as a Sherpa 
for the prime minister at the Lake Toya Summit to be held in 
Hokkaido in July, revealed in an interview with Yomiuri Shimbun 
yesterday that he will look into setting a mid-term target, with an 
eye on the Summit. Vice Foreign Minister Yabunaka also clarified in 
an interview with newspaper companies the same day his view that 
Japan should come up with its own numerical targets for reducing 
greenhouse gas emissions, prior to the Lake Toya Summit. 
 
DONOVAN