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UNCLAS SECTION 01 OF 08 TOKYO 002264 
 
SIPDIS 
 
DEPT FOR E, P, EB, EAP/J, EAP/P, EAP/PD, PA; 
WHITE HOUSE/NSC/NEC; JUSTICE FOR STU CHEMTOB IN ANTI-TRUST DIVISION; 
TREASURY/OASIA/IMI/JAPAN; DEPT PASS USTR/PUBLIC AFFAIRS OFFICE; 
SECDEF FOR JCS-J-5/JAPAN, 
DASD/ISA/EAPR/JAPAN; DEPT PASS ELECTRONICALLY TO USDA 
FAS/ITP FOR SCHROETER; PACOM HONOLULU FOR PUBLIC DIPLOMACY ADVISOR; 
CINCPAC FLT/PA/ COMNAVFORJAPAN/PA. 
 
E.O. 12958: N/A 
TAGS: OIIP KMDR KPAO PGOV PINR ECON ELAB JA
 
SUBJECT: JAPANESE MORNING PRESS HIGHLIGHTS 08/18/08 
 
Index: 
 
1) Top headlines 
2) Editorials 
3) Prime Minister's weekend, daily schedules  (Nikkei) 
 
Political issues: 
4) Child porn legislation to be in focus  (Mainichi) 
5) Diet expected to open Sept. 12  (Nikkei) 
6) LDP's Yamasaki suggests need to pass war-on-terror legislation 
within November  (Yomiuri) 
7) Fukuda cabinet's support arte up to 23.6 PERCENT  in Jiji press 
poll  (Tokyo Shimbun) 
8) LDP's Aso seen as best choice for post-Fukuda premiership in Jiji 
Press poll  (Tokyo Shimbun) 
9) LDP's Mori backs Aso as next prime minister  (Yomiuri) 
10) GOJ poll shows 34 PERCENT  feel their standard of living has 
worsened  (Nikkei) 
 
Lower House Speaker Kono in action: 
11) Kono to meet with U.S. House Speaker Pelosi in Hiroshima, ask 
her about U.S. nuclear policy  (Asahi) 
12) Kono says NPT should be strengthened  (Nikkei) 
 
Beef: 
13) Japan to send inspectors to U.S. plant  (Asahi) 
 
Int'l cooperation: 
14) Japan, China to boost cooperation on 'gyoza' probe  (Yomiuri) 
15) Japan announces emergency aid to Georgia  (Nikkei) 
16) Japan, Uzbekistan sign investment deal  (Nikkei) 
 
Articles: 
 
1) TOP HEADLINES 
 
Asahi, Mainichi, Yomiuri, Sankei & Tokyo Shimbun: 
Icho wins gold medal in wrestling final, Hamaguchi settles for 
bronze 
 
Nikkei: 
Emerging markets overtake U.S., Europe as profit source for major 
Japanese manufacturers in April-June quarter 
 
2) EDITORIALS 
 
Asahi: 
(1) Bolt sets world record in 100-meter final 
(2) Subprime loans: Aim at attaining economic growth by avoiding 
bubble economy 
 
Mainichi: 
(1) Swiftly reflect school survey results in policies 
(2) Secrecy protection legislation: Principle should be information 
disclosure to the last 
 
Yomiuri: 
(1) Review budgetary allocations among SDF branches 
(2) Graffiti on cultural assets might lead to restricting 
publication 
 
Nikkei: 
 
TOKYO 00002264  002 OF 008 
 
 
(1) Auto industry now faces turning point in terms of growth 
 
Sankei: 
(1) Trial of Karadzic: Clear up truth and bring about reconciliation 
among ethnic groups 
(2) Minimum wage naturally should exceed welfare benefits 
 
Tokyo Shimbun: 
(1) Foreign nurses should be received warmly 
(2) Accelerate review of local agencies with local zeal 
 
3) Prime Minister's Official Residence (Kantei) 
 
Prime Minister's schedule, August 15 
 
NIKKEI (Page 2) (Full) 
August 16, 2008 
 
09:59 
Attended a cabinet meeting at the Kantei. Finance Minister Ibuki 
stayed on. 
 
10:42 
Returned to his official residence. 
 
11:24 
Offered flowers at the Chidorigafuchi National Cemetery for the War 
Dead. Afterward chatted with former Lower House Speaker Doi. 
 
11:51 
Attended the memorial ceremony for the war dead held at the Nippon 
Budokan Hall. 
 
13:19 
Met MAFF Minister Ota and MAFF Vice Minister Shirasu at his official 
residence. 
 
14:44 
Met LDP Secretary General Aso, Diet Affairs Committee Chairman 
Oshima and Chief Cabinet Secretary Machimura. Machimura stayed on. 
 
15:39 
Met advisor Ito. 
 
16:40 
Met Mitsui Global Strategic Studies Institute President Jitsuro 
Terashima. 
 
Prime Minister's schedule, August 16 
 
NIKKEI (Page 2) (Full) 
 
August 17, 2008 
 
Morning 
Spent time at his official residence. 
 
14:56 
Met advisor Ito. 
 
Prime Minister's schedule, August 17 
 
 
TOKYO 00002264  003 OF 008 
 
 
NIKKEI (Page 2) (Full) 
 
August 18, 2008 
 
10:06 
Arrived at his private residence in Nozawa. 
 
14:16 
Arrived at his official residence. 
 
4) Ruling camp, DPJ to start talks on revising child pornography 
law, aiming enactment in November 
 
MAINICHI (Page 2) (Excerpts) 
August 18, 2008 
 
The ruling coalition and the Democratic Party of Japan (DPJ) have 
decided to start talks in the next extraordinary Diet session in the 
fall on revising the Child Prostitution and Child Pornography 
Prevention Law to strengthen restrictions on child pornography, with 
the aim of enacting legislation in November. The focus of attention 
is on the question of to what extent Japan will criminalize the 
individual possession of child pornography. The ruling camp calls 
for banning even simple possession of child pornography currently 
held by individuals, while the DPJ insists on prohibiting the 
possession of materials acquired only after a revision bill is 
enacted into law. The two sides have yet to find common ground. 
 
The 1999 law enacted by House members prohibits the production and 
sale of child pornography but does not ban simple possession. Japan 
and Russia are the only members of the Group of Eight (G-8) that do 
not criminalize possession of child pornography. The ruling camp 
submitted a bill amending the law calling for punishing possessors 
to the last regular Diet session and carried the bill over to the 
next extraordinary Diet session. The DPJ also intends to submit its 
own bill to the fall session. 
 
5) Ruling and opposition blocs considering convening next 
extraordinary Diet session on Sept. 12 for two months 
 
NIKKEI (Page 2) (Excerpts) 
August 18, 2008 
 
The ruling and opposition blocs yesterday came up with the idea of 
convening the next extraordinary Diet session on September 12. There 
is also a plan to set the session's period at two months. The 
Liberal Democratic Party plans to coordinate views with the New 
Komeito early this week, which has been opposing the idea of setting 
the session's period based on the assumption that a bill extending 
the Indian Ocean refueling law would be readopted by the House of 
Representatives. Prime Minister Yasuo Fukuda is scheduled to make a 
final decision on when to convene the session and other matters, and 
the plan will be finalized at a government and ruling bloc liaison 
meeting on August 19. 
 
6) LDP's Yamasaki: Antiterrorism law must be enacted in November 
 
YOMIURI (Page 2) (Full) 
August 18, 2008 
 
Former LDP Vice President Taku Yamasaki delivered a speech in a 
Yamasaki faction workshop held yesterday in Karuizawa Town, Nagano 
 
TOKYO 00002264  004 OF 008 
 
 
Prefecture. Touching on legislation extending the term of the new 
Antiterrorism Special Measures Law, he said: "We cannot afford to 
withdraw from the war on terror. We should convene the next 
extraordinary Diet session early and enact the legislation in 
November." 
 
Regarding the fact that the New Komeito is cautious about having the 
Lower House readopt the legislation, Yamasaki emphatically said: "A 
failure to readopt it would result in a political collapse. That 
would escalate into a question of how the Fukuda administration 
should take responsibility. The ruling parties must band together to 
enact it." 
 
7) Poll: Cabinet support up to 23.6 PERCENT 
 
TOKYO SHIMBUN (Page 2) (Abridged) 
August 16, 2008 
 
The public approval rating for Prime Minister Yasuo Fukuda's cabinet 
was 23.6 PERCENT  in an opinion poll conducted by Jiji Press on Aug. 
8-11. The Fukuda cabinet's support rate rose for the second month in 
a row. However, it rose only 2.5 percentage points. The disapproval 
rating was 54.6 PERCENT , down 2.5 points from last month. Fukuda 
shuffled his cabinet on Aug. 1 to boost his administration. Fukuda 
made an appeal on his reform-oriented policy for the public. 
However, the cabinet shuffle seems to have limited its effect partly 
because of the Japanese government's failure to make public the fact 
that there was food poisoning from frozen Chinese-made 'gyoza' 
dumplings in China as well. 
 
The survey was conducted across the nation on a face-to-face basis 
with a total of 2,000 persons chosen from among men and women aged 
20 and over. The response rate was 65.8 PERCENT . 
 
8) Poll: Aso seen as most suitable for prime minister 
 
TOKYO SHIMBUN (Page 2) (Full) 
August 17, 2008 
 
Taro Aso, secretary general of the ruling Liberal Democratic Party, 
ranked top at 22.9 PERCENT  as the politician most suitable for 
prime minister in a recent poll conducted by Jiji Press on Aug. 
8-11. Former Prime Minister Junichiro Koizumi ranked second at 15.4 
PERCENT . Ichiro Ozawa, president of the leading opposition 
Democratic Party of Japan (Minshuto), ranked third at 8.1 PERCENT , 
with DPJ Vice President Naoto Kan in fourth place at 4.2 PERCENT . 
Prime Minister Yasuo Fukuda was in fifth place at 4.0 PERCENT . 
 
In a similar poll conducted in April, Aso was in second place. In 
the latest poll, however, Aso topped all others. Among LDP 
supporters, 40.3 PERCENT  chose Aso. He made a comeback as LDP 
secretary general with Fukuda's appointment of a new lineup of LDP 
executives, so he seems to be more acknowledged as the LDP's likely 
'post-Fukuda' leader. 
 
Meanwhile, Fukuda was down 3.1 percentage points from 7.1 PERCENT 
in April. Even among LDP supporters, his popularity rating was only 
10.3 PERCENT . The poll was conducted across the nation with a total 
of 2,000 persons chosen from among people age 20 and over. The 
response rate was 65.8 PERCENT . 
 
9) Former Prime Minister Mori: Secretary General Aso would be 
 
TOKYO 00002264  005 OF 008 
 
 
suitable successor to Prime Minister Fukuda 
 
YOMIURI (Page 2) (Excerpts) 
August 18, 2008 
 
Former Prime Minister Yoshiro Mori, appearing on a TV Asahi program 
on Aug. 17, revealed his view that Liberal Democratic Party 
Secretary General Taro Aso would be a suitable successor to Prime 
Minister Yasuo Fukuda. Mori said: 
 
"In consideration of his way of thinking and personality, many LDP 
members want Mr. Aso to be the successor (to Fukuda as LDP president 
and prime minister). Of course, I think so, too." 
 
10) Poll: 34 PERCENT  feel living standard worsens 
 
NIKKEI (Page 3) (Full) 
August 18, 2008 
 
The Cabinet Office on Aug. 15 released the results of its public 
opinion survey regarding living standards. 
 
The proportion of people who feel their standard of living has 
worsened as compared with last year reached 34.1 PERCENT , according 
to a government survey conducted by the Cabinet Office and released 
Aug. 16. The figure is up 9.6 percentage points from the previous 
survey taken in July last year and is the second-highest level 
following the 1974 survey (34.6 PERCENT ). The survey this time also 
posted a sharp increase in the number of people who want the 
government to stabilize prices and boost the economy. It clearly 
shows that economic stagnation and rising prices are impacting on 
people's daily lives. 
 
Asked about daily life as compared with last year, 61.3 PERCENT 
answered that it remained unchanged, down 9 points. Meanwhile, 4.4 
PERCENT  said it had improved, down 0.4 points. When asked about 
their future outlook, 36.9 PERCENT  expected things to worsen, up 
7.8 points. 
 
The survey also found that 70.8 PERCENT  were worried about their 
everyday life, topping the preceding year's figure for the fourth 
year in a row. Respondents were further asked to pick one or more 
things that worry them. In response to this question, "planning for 
old age" accounted for 49 PERCENT , followed by "health" at 49 
PERCENT  and "future earnings and assets" at 42.4 PERCENT . 
 
Respondents were also asked what they want the government to pursue. 
To this question, "social security reform, including healthcare and 
pensions" topped all other answers at 72.8 PERCENT , following the 
preceding year. "Price stabilization" accounted for 56.7 PERCENT , 
up 21.8 points from the preceding year. "Boost the economy" also 
accounted for 56.1 PERCENT , up 6.5 points. Many in big cities 
wanted the government to boost the economy. 
 
The survey was carried out across the nation in mid- and late-June 
of a total of 10,000 persons aged 20 and over on a face-to-face 
basis. The response rate was 61.5 PERCENT . 
 
11) Lower House Speaker Kono plans to ask U.S. House Speaker about 
nuclear policy 
 
ASAHI (Page 4) (Full) 
 
TOKYO 00002264  006 OF 008 
 
 
August 16, 2008 
 
Lower House Speaker Yohei Kono held a press conference on August 15 
in the Diet building regarding the G8 Summit of Lower House Speakers 
to be held in Hiroshima on September 2. Touching on participation in 
the event by U.S. House Speaker Nancy Pelosi, Kono said: "There may 
be discussion on nuclear policy in the ongoing U.S. presidential 
race. I would like to ask her views on such matters as whether the 
United States will continue the current Republican-led nuclear 
policy." 
 
The Lower House speakers meeting will be held at the Hiroshima Peace 
Memorial Museum. The members will discuss nuclear disarmament under 
the theme of the meeting's role in peace and disarmament on the 
morning of September 2, and in the afternoon they will exchange 
views on the decision-making process in a bicameral legislature. 
 
Kono said: "It bothers me a bit that discussion has been centered on 
nonproliferation lately with no debate on nuclear disarmament. I 
hope the event will help the representatives of those countries feel 
various things in Hiroshima." 
 
12) Lower House Speaker Kono to call for enhanced NPT 
 
NIKKEI (Page 2) (Full) 
August 16, 2008 
 
Lower House Speaker Yohei Kono, in a media interview yesterday 
regarding a G8 Lower House chiefs' meeting to be held in Hiroshima 
in September, indicated that he would call for efforts to strengthen 
the Nuclear Nonproliferation Treaty (NPT) regime. He said: "People 
say that the NPT has been relaxed slightly. It bothers me that 
discussion has been focused on nonproliferation rather than on 
nuclear disarmament." He also said about a draft treaty banning 
cluster munitions: "I would like to see the government make efforts 
to get the Diet approve it at the earliest possible time." 
 
13) U.S. report attributes shipment of beef containing SRM in April 
to "human error in packing process" 
 
ASAHI (Page 1) (Abridged) 
August 16, 2008 
 
The Agriculture, Forestry and Fisheries Ministry and the Ministry of 
Health, Labor and Welfare yesterday announced a report presented by 
the U.S. government on the issue of specified risk materials (SRM) 
found in a beef shipment from the U.S. in April. The paper 
attributed the cause of the incident to "human error in the packing 
process."  The two ministries will dispatch officials to the U.S. 
meatpacker that shipped the beef in question tomorrow, with an eye 
on resuming imports. 
 
The beef with SRM was found in a box of beef that Itochu Corporation 
imported for Yoshinoya Holdings, the nation's largest beef bowl 
chain, from the California plant of the National Beef Co., a leading 
U.S. meatpacker. 
 
According to the Agriculture Department's report on investigation 
results, an inspector found damage to a box on the production line 
for meat destined for countries other than Japan. When he repacked 
the product, the inspector mistakenly used a box labeled "bound for 
Japan." 
 
TOKYO 00002264  007 OF 008 
 
 
 
The National Beef has compiled a package of preventive measures, and 
the Agriculture Ministry has concluded the measures are 
satisfactory. In their upcoming investigation in the U.S., the two 
Japanese ministries intend to check whether the company has properly 
implemented the improvement measures. 
 
A spokesman for Yoshinoya Holdings, which has purchased beef from 
another plant of the National Beef since the misshipment was 
discovered, said: "Once the safety of its products is confirmed, we 
would like to resume imports from the California plant." Daiei 
switched suppliers from the California plant to another plant of the 
same company, and Maruetsu changed to another company. These two 
companies have said they have yet to decide on what to do. 
 
14) Japanese, Chinese foreign ministers agree to solve dumpling 
poisoning issue as quickly as possible and boost cooperation on 
probe 
 
YOMIURI (Page 1) (Excerpts) 
August 18, 2008 
 
Jun Kato, Beijing 
 
Foreign Minister Masahiko Koumura met on Aug. 17 in Beijing 
separately with Chinese State Councilor Dai Bingguo and Foreign 
Minister Yang Jiechi. Koumura and senior Chinese officials agreed 
that the two countries' investigative authorities would boost 
cooperation to solve as early as possible poisoning cases involving 
Chinese-made frozen gyoza dumplings. 
 
In the meeting with his Chinese counterpart, Koumura urged Yang to 
further disclose information on the poisoning cases, with an eye on 
the fact that people in China also had been poisoned by 
pesticide-tainted dumplings. Yang promised Koumura that he would 
have the office in charge of the poisonings provide Japan with 
information in order to push forward with cooperation with the 
Japanese government. 
 
Koumura told Yang: 
 
"It is necessary to show the public specific cooperation between the 
two countries to shed light on the truth. It is important to put all 
our efforts into resolving the poisoning cases, including a link 
between the dumpling poisonings in Japan and China." 
 
Yang stated: 
 
"The Chinese government has placed importance on food safety. We 
would like to solve the issue as quickly as possible by stepping up 
cooperation between the investigative authorities of the two 
countries." 
 
15) Japan to provide Georgia with 1 million dollars in emergency 
aid 
 
NIKKEI (Page 2) (Full) 
August 16, 2008 
 
The Foreign Ministry announced on Aug. 15 that Japan will provide up 
to 1 million dollars in emergency humanitarian aid to Georgia, where 
tensions have emerged over the armed conflict with Russia. Japan is 
 
TOKYO 00002264  008 OF 008 
 
 
expected to send food, medical products, blankets and tents. Foreign 
Minister Masahiko Koumura then released a statement saying: 
 
"We hope Georgian evacuees will be relieved as quickly as possible. 
We will continue to closely watch the situation so that the 
ceasefire agreement will be implemented without fail." 
 
16) Government signs investment accord with Uzbekistan 
 
NIKKEI (Page 5) (Full) 
August 16, 2008 
 
The Japanese government signed on Aug. 15 an investment agreement 
with Uzbekistan in order to help Japanese companies make inroads 
there. Uzbekistan is the 14th country for Japan to conclude an 
investment accord with. It is the first time for Tokyo to sign such 
an agreement with a Central Asian country. Based on the accord, 
Japanese companies that set up in Uzbekistan will be able to receive 
the same treatment with firms already there. Japanese companies will 
likely expand investment opportunities, including the development of 
resources. 
 
Since Uzbekistan is a mineral rich country, Japan has imported 
mainly gold. Japan invested about 11 billion yen in Uzbekistan in 
¶2007. As Japanese machinery manufacturers are expected to boost 
investment in the country, chances are that Uzbekistan will become a 
base for Japanese firms to carry out business in Central Asia. 
 
The investment accord bans the Uzbekistan government from demanding 
local procurement of raw materials and technical transfer in case 
Japanese companies promote direct investment in the country. 
 
SCHIEFFER