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UNCLAS SECTION 01 OF 17 TOKYO 000058 
 
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 1/13/09 
 
TOKYO 00000058  001.2 OF 017 
 
 
Index: 
 
Opinion polls: 
1) Aso Cabinet's support rate plummets 9.3 points to 18 PERCENT  in 
Fuji-Sankei poll  (Sankei) 
2) 72.3 PERCENT  non-support rate for the Aso Cabinet in Yomiuri 
poll, with 78 PERCENT  of public opposed to prime minister's 
cash-handout scheme  (Yomiuri) 
3) Only 19 PERCENT  of the public support the Aso Cabinet in Asahi 
poll, with 63 PERCENT  wanting the prime minister to scuttle the 
cash-handout plan  (Asahi) 
4) Kyodo poll: 70.2 PERCENT  of the public do not support the Aso 
Cabinet, with supporters slipping 6.3 points to 19.2 PERCENT ; DPJ 
administration preferred by 51.4 PERCENT   (Tokyo Shimbun) 
5) Asked who they preferred as prime minister in Kyodo poll, 46.4 
PERCENT  picked DPJ's Ichiro Ozawa and only 22.1 PERCENT  chose 
incumbent Taro Aso  (Tokyo Shimbun) 
 
Afghan reconstruction assistance: 
6) Government readies new contribution package for Afghanistan, 
centered on Japan taking lead in reconstruction of capital city 
Kabul  (Nikkei) 
7) Japan trying to impress new U.S. administration by launching new 
Afghan reconstruction aid package  (Nikkei) 
 
8) Ambassador Schieffer in Nikkei interview stresses that new U.S. 
administration will not change commitment to alliance with Japan 
(Nikkei) 
 
Piracy threat: 
9) Ambassador Schieffer in Sankei interview urges Japan to 
proactively participate in international anti-piracy efforts 
(Sankei) 
10) Government sending delegation to attend New York meeting on 
anti-piracy measures  (Yomiuri) 
11) Government and ruling parties still hung up over key details in 
coordinating bill that would allow SDF dispatches for anti-piracy 
operations  (Nikkei) 
 
Aso diplomacy: 
12) In summit meeting in Seoul, Prime Minister Aso, President Lee 
vow to cooperate with Obama administration on North Korea nuclear 
issue  (Tokyo Shimbun) 
13) Text of Aso-Lee summit meeting in South Korea  (Mainichi) 
14) Prime Minister Aso pushes for EPA negotiations in visit to South 
Korea  (Nikkei) 
15) Foreign Minister Nakasone in Cambodia promises 2.4 billion yen 
to UN-backed Khmer Rouge tribunal  (Mainichi) 
 
16) Germany sounds out Japan about cosponsoring proposal to create 
under the United Nations a "world economic council"  (Tokyo Shimbun) 
 
 
Political agenda: 
17) Diet resumes on Tuesday with fierce clash expected between Aso 
government and opposition camp over second supplementary budget bill 
 (Nikkei) 
18) LDP rebel Yoshimi Watanabe to quit party today over row with Aso 
policies  (Tokyo Shimbun) 
19) With Aso Cabinet's non-support rating in the polls at over 70 
PERCENT , Democratic Party of Japan (DPJ) sees Diet dissolution near 
 (Yomiuri) 
 
TOKYO 00000058  002 OF 017 
 
 
20) Prime Minister Aso in press interview hints at additional 
economic stimulus measures, says that he will wait until the best 
timing before dissolving Diet  (Yomiuri) 
 
21) Scandal-ridden general construction company, Nishimatsu, gave 
former Thai senior official 200 million in kickbacks on project in 
Bangkok  (Asahi) 
 
Articles: 
 
1) Poll: Aso cabinet's support rate drops to 18 PERCENT 
 
SANKEI (Page 1) (Abridged) 
January 13, 2009 
 
The Sankei Shimbun conducted a joint poll with Fuji News Network 
(FNN) on Jan. 10-11. The public approval rating for Prime Minister 
Taro Aso's cabinet dropped 9.3 points from November last year to 
18.2 PERCENT , falling below 20 PERCENT  for the first time. The 
disapproval rating rose 13.1 points to 71.4 PERCENT , also topping 
70 PERCENT  for the first time. In the breakdown of public support 
for political parties as well, the leading opposition Democratic 
Party of Japan (Minshuto) outstripped the ruling Liberal Democratic 
Party. The LDP, declining in public support since late last year, 
was unable not stop public support from falling further in the 
survey this time. 
 
In the poll, respondents were also asked who they thought was more 
appropriate to be prime minister, Aso or DPJ President Ichiro Ozawa. 
To this question, 41.0 PERCENT  said they preferred Ozawa, with 25.2 
PERCENT  choosing Aso. 
 
In the breakdown of public support for political parties, the LDP 
stood at 23.4 PERCENT , with the DPJ reaching 26.6 PERCENT . The DPJ 
topped the LDP for the first time since the Aso cabinet came into 
office. Respondents were further asked which political party they 
would vote for in the next general election for the House of 
Representatives in their respective proportional representation 
blocs. In this public preference of political parties, the DPJ 
scored 41.5 PERCENT , with the LDP at 29.0. As seen from these 
figures, the DPJ outdistanced the LDP in public preferences of 
political parties. 
 
2) Cabinet non-support rate reaches 72 PERCENT  in Yomiuri poll, 
with 78 PERCENT  of public against cash-handout plan 
 
YOMIURI (Top play) (Excerpt) 
January 12, 2009 
 
According to an opinion poll (telephone based) carried out by the 
Yomiuri Shimbun Jan. 9-11, the support rate of the Aso Cabinet 
slipped 0.5 point from last month's survey to reach 20.4 PERCENT , 
while the non-support rate rose 5.6 points to 72.3 PERCENT . On the 
question of who was more appropriate to be prime minister, 
Democratic Party of Japan (DPJ) President Ichiro Ozawa or Prime 
Minister Taro Aso, support for Ozawa rose from last time's 36 
PERCENT  to 39 PERCENT , while support for Aso dropped from 29 
PERCENT  to 27 PERCENT . With voters taking an increasingly severe 
view of the prime minister, managing the government is likely to 
become exceedingly difficult for Aso. 
 
Although the support rate for the Aso Cabinet stopped short of 
 
TOKYO 00000058  003 OF 017 
 
 
dipping below the 20 PERCENT  line, this was the first time since 
the Mori Cabinet for the non-support rate to top 70 PERCENT . The 
main factor for the public's distancing itself from Aso seems to be 
heightened resentment by voters regarding the policies of his 
administration, starting with his handling of the economic crisis. 
 
 
3) Poll: 63 PERCENT  negative about cash handout plan; Cabinet 
support down to 19 PERCENT 
 
ASAHI (Top play) (Abridged) 
January 12, 2009 
 
The government is planning in its supplementary budget to pay out a 
total of 2 trillion yen in cash benefits to all people. However, 63 
PERCENT  of the public think it would be better to call off such a 
cash payout plan, according to a telephone-based nationwide public 
opinion survey conducted by the Asahi Shimbun on Jan. 10-11. 
Affirmative answers accounted for 28 PERCENT . The rate of public 
support for the Aso cabinet was 19 PERCENT , falling from the 22 
PERCENT  rating in the last survey taken Dec. 6-7 and renewing its 
low. The nonsupport rate was 67 PERCENT . 
 
The cash payout plan should be a showcase of the Aso cabinet's 
policies. The survey, however, shows that the general public has a 
feeling of rejection to it. The Aso cabinet, which has been 
suffering from low popularity, is now in an even more difficult 
situation. Even among those who support the ruling Liberal 
Democratic Party, affirmative answers accounted for only 48 PERCENT 
, with negative answers reaching 43 PERCENT . 
 
The cabinet support rate was 37 PERCENT  in an earlier survey that 
was taken in November before the last survey. It sharply dropped in 
the last survey and further went down in the survey this time to the 
same level as the 19 PERCENT  rating in a survey taken in May last 
year. Even among LDP supporters, the cabinet support rate was only 
49 PERCENT . As seen from this figure, LDP supporters are distancing 
themselves from Aso. 
 
In the survey, respondents were also asked which political party 
they would vote for in their proportional representation blocs for 
the House of Representatives if they were to vote now. In this 
public preference of political parties, the LDP scored 25 PERCENT 
(28 PERCENT  in the last survey), with the leading opposition 
Democratic Party of Japan (Minshuto) at 38 PERCENT  (36 PERCENT  in 
the last survey). 
 
4) Poll: 70 PERCENT  don't support Aso cabinet; Support rate drops 
to 19 PERCENT 
 
TOKYO SHIMBUN (Top play) (Abridged) 
January 12, 2009 
 
The rate of public support for Prime Minister Taro Aso and his 
cabinet dropped 6.3 points from December last year to 19.2 PERCENT 
in a telephone-based nationwide public opinion survey conducted by 
Kyodo News on Jan. 10-11. The nonsupport rate rose 8.9 points to 
70.2 PERCENT , topping 70 PERCENT  for the first time about eight 
years since the Mori cabinet. Asked whether they appreciated the Aso 
government's plan to pay out cash benefits, 70.5 PERCENT  of the 
public answered "no," up 12.4 points from a similar survey taken in 
November last year. "Yes" accounted for 23.7 PERCENT , down 7.7 
 
TOKYO 00000058  004 OF 017 
 
 
points. 
 
In the survey, respondents were asked to choose between Aso and 
Ichiro Ozawa, president of the leading opposition Democratic Party 
of Japan (Minshuto), as more appropriate for prime minister. In this 
public choice, Ozawa scored 46.6 PERCENT , up 11.9 points. Aso was 
at 22.1 PERCENT , down 11.4 points. As seen from the figures, 
Ozawa's standing is far higher than Aso's. The survey shows that the 
public is now seriously distancing themselves from Aso. The prime 
minister will now face even more difficulties in running the 
government, and he also will find it more difficult to make his 
decision on when to dissolve the House of Representatives for a 
general election. 
 
Asked about the desirable form of government, 51.4 PERCENT  chose a 
DPJ-led coalition government, with 30.5 PERCENT  picking a coalition 
government centering on the ruling Liberal Democratic Party. 
Meanwhile, in the public choice of political parties for 
proportional representation in the next election for the House of 
Representatives, the DPJ stood at 39.7 PERCENT , with the LDP at 
26.3 PERCENT . 
 
In the breakdown of public support for political parties as well, 
the DPJ rose 2.4 points to 31.1 PERCENT . The LDP dropped 1.4 points 
to 27.5 PERCENT . The DPJ topped the LDP for the first time since 
the Aso cabinet came into office. The New Komeito, the LDP's 
coalition partner, was at 2.2 PERCENT . Among other political 
parties, the Japanese Communist Party was at 3.6 PERCENT , with the 
Social Democratic Party at 2.4 PERCENT , the People's New Party at 
0.4 PERCENT , and the New Party Nippon at 0.2 PERCENT . The 
proportion of those with no particular party affiliation was 30.8 
PERCENT . 
 
5) Aso's unpopularity taking root, with public seeing his 
qualification as premier as half that of Ozawa 
 
TOKYO SHIMBUN (Page 2) (Abridged) 
January 12, 2009 
 
The Aso cabinet's approval rating fell below 20 PERCENT . Since the 
support rate did not stop dwindling, middle-ranking and junior 
lawmakers in the ruling Liberal Democratic Party would inevitably 
distance themselves from Aso to rock his government's political 
footing. Aso is eager to boost his popularity but remains unable to 
find even a clue. From now on, all other LDP lawmakers could also 
move to dump Aso. 
 
The government has made a cabinet decision on the budget for fiscal 
¶2009. Late last year, Aso himself explained it in a press 
conference, declaring his readiness to do all his government can to 
address job security and economic measures. One LDP executive once 
expected the Aso cabinet's support rate to rebound. However, the 
support rate fell further from its low of 25.5 PERCENT  in December 
last year to the worst level. 
 
In the last December survey, respondents were asked to choose 
between Aso and Ozawa as more appropriate for prime minister. In 
that public choice, Ichiro Ozawa, president of the leading 
opposition Democratic Party of Japan (Minshuto), outstripped Aso. In 
the survey this time as well, Aso was far below Ozawa. Aso initially 
had a strategy to win the general election with his caliber over 
Ozawa. However, this figure could be a blow to the LDP should Aso 
 
TOKYO 00000058  005 OF 017 
 
 
try to push himself out. 
 
6) Government's contribution measures to Afghan reconstruction to 
focus on plan to rebuild capital under Japan's lead; Cooperation 
also on the personnel and financial assistance fronts 
 
NIKKEI (Page 1) (Full) 
January 11, 2009 
 
The government's new contribution measures to assist the 
reconstruction of Afghanistan - the frontline of the war on terror - 
have been set. Japan will take the lead in drafting a new 
redevelopment plan for Kabul, the country's capital, and will 
cooperate on the financial and technological fronts so that the 
project can be completed by 2025. In its stance of cooperating on 
both the public security and economic fronts, Japan will newly 
dispatch government personnel to Afghanistan assigned to handle 
reconstruction assistance, and it will also provide financial 
cooperation for anti-terrorist operations. 
 
For the incoming Obama administration that will be launched Jan. 20, 
the Afghanistan issue will be high on the foreign-policy priority 
list. The government plans to brief the new administration on its 
additional contributions and to call for close contacts on them. 
 
Having received a request from the Afghan government for assistance 
on redeveloping the capital area, the Japan International 
Cooperation Agency (JICA) will draft an implementation plan by 
September. The plan will be separated into three stages: short, 
intermediate, and long-range redevelopment. The contents will focus 
on three main areas: 1) construction of infrastructure, such as 
housing, transportation, electricity, and waterworks; 2) designing 
an administrative system; and 3) training local personnel so that 
the city's redevelopment can proceed on its own. 
 
The cost of the projects in the redevelopment plan is estimated to 
be on the scale of approximately 4.2 trillion yen. Japan intends to 
consider provide some yen loans for it. The project will start this 
year, based on the plan that Japan will draft and in close 
coordination with the United States and various European countries. 
Kabul over the past decade has doubled in population size to 
approximately 3 million people, owing to such factors as returning 
refugees. Housing and the infrastructure, such as water supply and 
transportation, have not kept up with the population growth. The 
drafting of an effective urban plan is needed immediately. 
 
Japan's financial cooperation to assist the war on terror will 
consist of money to repair the transport helicopters of ISAF 
(International Security Assistance Force). Japan will provide NATO 
with funds totaling approximately 400 million yen. As its 
humanitarian contribution, Japan possibly in March will assign for 
the first time two or three government officials to the PRT 
(provincial reconstruction team) deployed to Afghanistan by NATO and 
other parties. 
 
In order to ensure that this fall's presidential election in 
Afghanistan proceeds smoothly, Japan will assist by training local 
police and strengthening the election monitoring system. 
 
7) Japan's additional contribution to Afghan reconstruction aims at 
demonstrating cooperative stance to next U.S. administration 
 
 
TOKYO 00000058  006 OF 017 
 
 
NIKKEI (Page 2) (Full) 
January 11, 2009 
 
The government in compiling additional contribution measures for 
Afghanistan aims to ratchet up even further its proactive 
cooperative stance to herald the inauguration of the Obama 
administration in the United States. Japan is already the world's 
number-two donor to Afghanistan's reconstruction next to the U.S., 
having announced that it will provide two billion dollars in 
financial cooperation. However, the reality is that Japan by just 
providing financial cooperation is lacking a presence in that 
country. The government would like to step forward with a 
contribution that will have visibility by providing such measures as 
assisting the redevelopment of Kabul. 
 
With Afghanistan's public security steadily worsening, the United 
Nations has adopted a resolution requesting increased dispatches of 
troops to improve that nation's security. The Afghan problem will 
bear down heavy on the shoulders of the new Obama administration. 
 
In Japan, as well, there seems to be a growing view that the 
government should expand its contribution to Afghanistan. But the 
situation is that it will be difficult to dispatch Self-Defense 
Force personnel, given the need for new legislation to do so. The 
government through such efforts as the redevelopment of Kabul, hopes 
to "show its presence by playing a role that draws on Japan's own 
experience," according to a senior Foreign Ministry official. 
 
8) U.S. Ambassador to Japan Schieffer: Alliance to remain firm even 
if Japan's government changes 
 
NIKKEI (Page 1) (Full) 
January 10, 2009 
 
Before leaving his post on Jan. 15, U.S. Ambassador to Japan 
Schieffer gave an interview to the Nikkei at his official residence. 
In it, he stated that even if there is a major change in Japan's 
political structure following the next Lower House election, "I 
believe support for the alliance will continue." He thus expressed 
strong expectation that even under the Obama administration, the 
alliance arrangements between Japan and the U.S. would remain firm. 
 
 
Regarding the Democratic Party of Japan's (DPJ) proposal for 
stationing U.S. forces in Japan only during emergencies, the 
Ambassador clearly stated, "We cannot completely pull out our forces 
from Okinawa." Commenting on DPJ President Ichiro Ozawa, he said, 
"If Mr. Ozawa is thinking of launching a DPJ administration by 
scrapping the alliance between the U.S. and Japan, I cannot restrain 
my disappointment." 
 
The Ambassador recognized that there were different views within the 
U.S. government on the issue of Japanese having been abducted by 
North Korea, but he stressed, "No matter who is my successor, I will 
explain that this is an issue the Japanese hopes to see resolved." 
 
9) U.S. Ambassador Schieffer in press roundtable urges Japan to 
participate in anti-piracy operations 
 
SANKEI (Page 6) (Full) 
January 10, 2009 
 
 
TOKYO 00000058  007 OF 017 
 
 
U.S. Ambassador to Japan Schieffer in a roundtable with reporters 
prior to his leaving post called on Japan to proactively participate 
in international cooperative efforts to deal with piracy in waters 
off Somalia. He asked, "If Japan is not prepared to protect its own 
ships, then who will do it?" 
 
On Japan's contribution to Afghanistan after the Obama 
administration is launched, the Ambassador appealed to Japan to make 
efforts on its own, saying, "There are many possibilities in the 
civilian area other than sending Self-Defense Forces." He thus sent 
out a strong message of encouragement to Japan, which has tended to 
turn inward due to political stagnation. 
 
Ambassador Schieffer referred to the eight years of the Bush 
administration as the "golden age" of Japan-U.S. relations. He 
praised the strengthening and deepening of the alliance, saying, I 
am proud of the many accomplishments." Referring to Japanese 
politics having fallen into deadlock owing to the divided Diet, he 
stated, "I fear that Japan will lose its self-confidence about the 
role it should play on its own accord in the world." 
 
In connection with anti-piracy efforts, he stressed this view: 
"Pirates are not states; they are groups of criminals, so this is 
different from the issue of collective self-defense and Article 9." 
He continued: "Japan should proactively participate with the 
international community in anti-piracy operations." He indicated 
that Japan should not wait until being asked to contribute but 
should on its own initiative join international cooperative efforts. 
He pointed out: "This would be a strong message to send, but there 
is no other way but this to start relations with the new U.S. 
administration. 
 
The Ambassador regretted that there had not been great progress on 
the abduction issue. However, he noted: "Mr. Obama has two children. 
Any parent would understand the enormity of one's child being 
abducted." He made it clear that he would pass along to his 
successor the importance of the abduction issue. 
 
10) Government to send delegates to anti-piracy meeting 
 
YOMIURI (Page 2) (Abridged slightly) 
January 11, 2009 
 
The government has decided to dispatch delegates to the first 
meeting of a contact group of nations trying to fight piracy in 
waters off Somalia, Africa. The meeting will be held in New York on 
Jan. 14. The government hopes to strengthen ties with countries and 
organizations, such as the United States and the European Union, 
which have already dispatched vessels to the area. The government is 
specifically considering the option of sending Japan Coast Guard and 
Maritime Self-Defense Force vessels to the region. 
 
The meeting was called after the UN Security Council adopted a 
resolution on Dec. 16 calling on the international community to take 
part in efforts to stamp out piracy in waters off Somalia. U.S. 
Secretary of State Condoleezza Rice has requested that all nations 
with shipping interests in the region attend the meeting. About 20 
countries, including China, Russia, and the United States, are 
expected to send delegates to the meeting. The government is 
preparing to send a senior Foreign Ministry official. 
 
The aims of the meeting are to set up an information sharing center 
 
TOKYO 00000058  008 OF 017 
 
 
to enable nations to collaborate on anti-piracy activities and to 
establish a working group to look into matters, such as rules on 
handling captured pirates. Delegates will also discuss the 
establishment of a permanent anti-piracy bureau in a country in 
close geographic proximity to Somalia. 
 
By attending the meeting, the government hopes to move ahead with 
anti-piracy measures within a framework of international 
collaboration. 
 
11) Coordination underway between government, ruling parties to come 
up with anti-piracy legislation in outline; Many points need to be 
worked out 
 
NIKKEI (Page 2) (Abridged slightly) 
January 10, 2009 
 
The government began coordinating views on Jan. 9 with the ruling 
parties on drafting the outline of legislation  for dealing with 
piracy in waters off Somalia, Africa, The aim is to present the 
envisaged legislation to the Diet before the end of the current 
fiscal year. The Liberal Democratic Party and the New Komeito on the 
same day confirmed a policy direction to have their anti-piracy 
project team meet twice a week to discuss the matter. There still 
remain many points at issue, such as the handling of captured 
pirates and the easing of weapons-use standards. 
 
Under the envisaged law, cracking down on piracy will be allowed 
anywhere on the high seas. The protection of foreign vessels, for 
which there is no legal basis at present, will also be allowed. The 
government plans to apply Japanese criminal punishment law 
regardless of nationality and location to acts of piracy. In 
arresting and imposing penalties, it seems impractical to take 
captured pirates to Japan to indict them. Although the pirates will 
likely be handed over to a neighboring country for prosecution, the 
details have not been worked out. 
 
How to apply the authority to arrest pirates remains unclear, as 
well. Under existing law, Japan Coast Guard officers with judicial 
and police authority are allowed to seize illegal intruders. Under 
the envisaged law, JCG officers will also be on board a 
(Self-Defense Force) vessel on a maritime mission. But SDF officers 
have not been trained for capturing (pirates), so the Defense 
Ministry's position is that it would be troublesome if it is given 
judicial and police authority. 
 
Easing of weapons-use standards is the biggest bone of contention. 
Under existing legislation, firing warning shots at pirates is 
allowed to bring their ship to a halt, applying the JCG Law. The 
government plans to allow firing warning shots at hulls under the 
envisaged law, as well. But with the New Komeito remaining reluctant 
to allow using weapons for other purposes, coordination will be 
difficult. 
 
Some are calling for placing certain limitations on the overseas 
dispatch of the SDF on an anti-piracy mission. In fact, the 
Antiterrorism Special Measures Law and the Iraq Special Measures Law 
require retroactive Diet approval. 
 
The main opposition Democratic Party of Japan, which holds the key 
to enacting legislation, has demanded prior Diet approval in the 
past. Although such is yet to be discussed, a government official 
 
TOKYO 00000058  009 OF 017 
 
 
noted: "In order to obtain the DPJ's understanding, it might be 
necessary to incorporate a provision on Diet approval of some 
sort." 
 
12) Japanese, South Korean leaders vow to closely work with next 
U.S. administration on North Korean nuclear issue and to cooperate 
over financial crisis 
 
TOKYO SHIMBUN (Top Play) (Full) 
January 13, 2009 
 
Seoul, Akihiro Ikushima 
 
Prime Minister Taro Aso on the morning of January 12 met with South 
Korean President Lee Myung Bak for about an hour at the Blue House. 
Both leaders vowed to closely cooperate with the new Obama 
administration on resolving the issue of North Korea's nuclear 
weapons program. As an approach to address the global financial 
crisis, they also agreed to further strengthen bilateral cooperation 
to prevent the expansion of protectionism. 
 
Lee to visit Japan before year's end 
 
Both leaders confirmed their stance of having North Korea scrap its 
nuclear program through the six-party talks. Aso stressed the need 
for Japan, the U.S. and South Korea to cooperate with one another, 
warning, "Following the inauguration of the new U.S. administration, 
Pyongyang might try to divide the three countries." 
 
Aso noted that the abductions remain a serious human-rights issue. 
Lee pledged to cooperate with Japan on resolving that issue. 
 
Referring to measures to address financial turmoil in the world, the 
prime minister said, "Asia should fulfill a major role as a growth 
center that is open to the world." The president responded, "Our 
countries should cooperate substantively in order to overcome the 
crisis." 
 
On assistance for the reconstruction of Afghanistan, the prime 
minister proposed providing joint support for vocational training 
and agriculture. 
 
The president agreed to the proposal. The two leaders decided to 
have working-level officials confer on implementing it. 
 
Aso and Lee also agreed to accelerate efforts for the resumption of 
talks on a bilateral economic partnership agreement (EPA) that have 
been suspended since November 2004. In order to jointly meet the 
various political and economic issues facing the international 
community, the two leaders decided to launch a joint research 
project bringing in experts from both countries. 
 
In a bid to reestablish a shuttle diplomacy, with each leader 
annually paying a reciprocal visit to the other country, the prime 
minister asked the president to visit Japan before year's end. The 
president accepted the offer. 
 
13) Gist of Japan-South Korea summit 
 
MAINICHI (Page 5) (Full) 
January 13, 2009 
 
 
TOKYO 00000058  010 OF 017 
 
 
The following is a gist of talks held on January 12 between Prime 
Minister Taro Aso and South Korean President Lee Myung Bak: 
 
 
 
An agreement was reached for President Lee Myung Bak to visit Japan 
at an appropriate time before the end of the year. 
 
Prime Minister Aso: I would like to have Foreign Minister Hirofumi 
Nakasone visit South Korea at an early time to exchange views. 
 
President Lee: We will welcome him. 
 
Aso and Lee agreed to set up a Japan-South Korea new-age joint study 
project team and to have the representative of each country meet in 
Tokyo before the end of the month. 
 
 
 
Prime Minister: Cooperation in vocational training and agriculture 
must be effective. 
 
President: I agree. 
 
 
 
Aso and Lee agreed for Japan and South Korea to closely cooperate 
for the second financial summit. They also agreed to promote a study 
for the resumption of talks on an economic partnership agreement 
(EPA). They agreed on the need to prevent protectionism. 
 
 
 
President: I would like to closely cooperate with Japan on the 
development of the six-party talks after the establishment of the 
new Obama administration in the United States. It is important for 
the three countries, including the United States, to cooperate. 
Cooperation with China is also vital. 
 
Prime Minister: Following the establishment of the new U.S. 
administration, North Korea might make a move to drive a wedge 
between Japan, South Korea, and the United States. It is important 
to work closely. I would like to see the new U.S. administration 
adopt a basic policy designed to have North Korea scrap its nuclear 
programs through the six-party. The issue of abductions is a serious 
violation of human rights, and it must be resolved at an early time. 
We need your cooperation. 
 
President: There are many victims of abductions in South Korea, as 
well. North Korea must cooperate on this issue, and I have the same 
view as Japan. 
 
14) Aso in meeting with President Lee to express eagerness to resume 
EPA talks 
 
NIKKEI (Page 2) (Full) 
January 12, 2009 
 
(Nakayama, Seoul) 
 
Prime Minister Taro Aso arrived in South Korea on Jan. 11 to meet 
with President Lee Myung-bak. After the arrival, Aso attended a 
 
TOKYO 00000058  011 OF 017 
 
 
luncheon meeting sponsored by a South Korean economic organization, 
in which he indicated that the two countries should accelerate 
working-level negotiations to reopen suspended talks for a bilateral 
economic partnership agreement (EPA). He said: "The governments of 
the two countries must do their best to quickly reach an EPA, which 
will bring about great benefits to their economies." 
 
Aso is visiting South Korea for the first time since he came into 
office. He will meet with Lee at the presidential Blue House on Jan. 
12 as part of a "shuttle diplomacy" of the two leaders taking turns 
visiting the other's country. 
 
In the luncheon meeting yesterday, Aso said: "An EPA between Japan 
and South Korea will expand bilateral trade and investment ties, as 
well as further increase the possibility of promoting cooperating 
between Japanese and South Korean companies in third countries, 
including Asian countries." He emphasized that an EPA will 
contribute to expanding business opportunities for firms of the two 
countries, and he sought understanding from South Korean business 
leaders, who are cautious about concluding such a pact. 
 
About 20 Japanese business leaders accompanied Aso on his visit, 
including Nippon Keidanren (the Japan Business Federation) Chairman 
Fujio Mitarai. On the night of the 11th, Aso and Lee held an 
informal talk at the Blue House with Japanese and South Korean 
business leaders, including Mitarai and South Korean Business 
Federation Chairman Cho Suck-rae. Lee said there: "The two countries 
should strengthen bilateral cooperation and first promote EPA 
negotiations on areas that the two countries can agree on." The two 
leaders asked the business executives to continue to closely 
cooperate with each other. 
 
In a banquet hosted by President Lee, the two leaders exchanged 
views on the present state of the U.S. economy. They shared the view 
that the incoming Obama administration is expected to place 
importance on Asia. 
 
15) Foreign Minister Nakasone pledges to provide 2.4 billion yen for 
Khmer Rouge tribunal 
 
MAINICHI (Page 2) (Full) 
January 12, 2009 
 
(Kyodo, Phnom Penh) 
 
In a meeting with Cambodian Prime Minister Hun Sen in Phnom Penh, 
the capital of Cambodia, on Jan. 11, Foreign Minister Hirofumi 
Nakasone pledged to provide another about 2.38 billion yen for the 
UN-backed Khmer Rouge tribunal to judge former senior members of the 
Pol Pot administration. In promoting the trial process, the lack of 
funding has become serious. 
 
Nakasone told Hun Sen: "Since there are such problems as (the 
suspects) getting old, we hope you will quickly proceed with the 
trial." Hun Sen replied: "I appreciate Japan's financial assistance. 
The special tribunal is vital for bringing about national 
reconciliation." 
 
Nakasone visited Laos on the afternoon of the 11th and signed notes 
for Japan to offer approximately 1.3 billion yen in aid for 
disposing of cluster bombs and fighting poverty. Deputy Prime 
Minister and Foreign Minister Thongloun expressed his gratitude to 
 
TOKYO 00000058  012 OF 017 
 
 
Nakasone. 
 
16) Germany to unofficially ask Japan to jointly propose initiative 
of UN economy council 
 
TOKYO SHIMBUN (Page 1) (Full) 
January 11, 2009 
 
(Miura, Berlin) 
 
The German government has decided to unofficially ask Japan to 
jointly propose a plan to set up in the UN a "world economic 
council" (tentative name) tasked with setting rules for the global 
economy. 
 
Laurentz Meir (TN: phonetic), an official in charge of economic 
policy of the Christlich-Demokratische Union Deutschlands (CDU), 
informed the Tokyo Shimbun of this decision yesterday. 
 
The concept is aimed to put the market economy in order, reflecting 
on the ongoing global financial crisis. German Prime Minister Angela 
Merkel proposed this concept during a party convention last month. 
Merkel also stressed the need to set up an authoritative forum on 
par with the UN Security Council to discuss the issue when she met 
with French President Sarkozy in Paris on Jan. 8. 
 
Meir said, "Japan is a very important partner." He then called on 
Japan to propose the concept at the European Union (EU) level, 
remarking, "The proposal should be made jointly. It would be more 
desirable if we can make the proposal at the EU level." Germany 
intends to seek understanding of this concept in the Group of 20 
(G-20) Summit to be held in London in April. 
 
Meir indicated that the German government would take specific action 
after ascertaining moves by the incoming administration of 
President-elect Obama, saying: "We should pay attention to moves by 
the incoming U.S. administration." 
 
17) Second extra budget to clear Lower House tomorrow; 
Confrontational stance between ruling and opposition camps to 
heighten this week 
 
NIKKEI (Page 2) (Full) 
January 12, 2009 
 
Confrontation between the ruling and opposition parties is expected 
to rise sharply for the first time this week in the current regular 
session of the Diet. Although the ruling coalition plans to approve 
the second supplementary budget for fiscal 2008, including the 2 
trillion-yen cash-benefit program, and budget-related bills, in a 
plenary session today of the House of Representatives, the 
Democratic Party of Japan (DPJ), the largest opposition force, 
intends to carry out do-or-die resistance against the ruling camp. 
Yoshimi Watanabe, former state minister in charge of administrative 
reform, is expected to submit his resignation from the ruling 
Liberal Democratic Party (LDP) and vote against the budget bill and 
bills-related to the fiscal 2008 second extra budget. When holding a 
second vote in the Lower House, the ruling coalition leadership will 
do its utmost to prevent its members from defying it. 
 
Appearing on a Fuji TV program Sunday, LDP Secretary General 
Hiroyuki Hosoda emphasized the need for an early passage of the 
 
TOKYO 00000058  013 OF 017 
 
 
second extra budget, noting: "We have to create an opportunity to 
expand consumption." New Komeito leader Akihiro Ota, referring on an 
NHK talk show Sunday to discord in the cabinet ministers on whether 
to receive the cash-payout, said: "Everybody, including the cabinet 
ministers, should basically get the cash-payments." 
 
The LDP and its coalition partner New Komeito ordered their members 
to stay in the Diet on Jan. 13 when the Lower House takes a vote on 
the bills in its plenary session. The ruling parties are expected to 
assemble on the morning of the 13th lawmakers, who are now serving 
in their first-term in the Lower House and are regarded as unhappy 
with the cash-benefit program in order to have them follow the 
government's policy. Concerning about moves in LDP members leaving 
the party and distancing themselves from Prime Minister Taro Aso, 
the ruling leadership has stressed the meaning of the cash-payout 
program. Hosoda said: "There is no possibility" that the ruling 
coalition members, except for Watanabe, will vote against the bills 
on the 13th. But there still remains a cause for trouble. If the 
number of rebels increases to 17 at a time when it becomes possible 
to put the budget-related bills to a revote in the Lower House, the 
bills will not clear the Diet. Since approval by more than 
two-thirds of the Lower House members is required to readopt the 
bills, the number of rebels could be detrimental to the Aso 
administration. 
 
Appearing on the NHK talks show on Sunday, DPJ President Ichiro 
Ozawa shot down the government-drafted cash-handout program. He 
stated: "The flat-sum cash-benefit plan will neither boost the 
economy nor support the livelihoods of the people." He also revealed 
that the opposition would revise the second extra budget bill in the 
House of Councillors and adopt it. 
 
The DPJ's Lower House members intend to walk out of the plenary 
session before the vote on the 13th. The party is expected to have 
its junior lawmakers, who are now serving in their first- to 
third-term in the Diet, take protest action tomorrow at a Lower 
House Budget Committee session and other places. The government and 
ruling bloc want to submit to the Diet on Jan. 19 the state budget 
for fiscal 2009 and bills related to the budget. In order to place 
priority on passage of the fiscal 2009 state budget before the end 
of this fiscal year, they are considering deliberating on the fiscal 
2009 budget in the Lower House before the second supplementary 
budget clears the Diet. 
 
The DPJ is expected to boycott deliberations on the second extra 
budget in the Upper House for the time being if the ruling coalition 
rams the budget through the Lower House on the 13th. Ozawa 
criticized the ruling camp's idea of conducting deliberations on 
both the budgets at the same time, saying: "It's out of question." 
The DPJ is brandishing the threat of not responding to deliberations 
in the upper chamber even after the government presents the fiscal 
2009 budget if the ruling coalition decides to deliberate 
simultaneously on the two budgets. 
 
Some DPJ lawmakers, however, are concerned about public backlash 
against boycott of Diet deliberations. A senior LDP Upper House 
member said: "We welcome the DPJ's boycott in the Upper House." As 
such, it is uncertain whether the DPJ will be able to remain 
adamantly in a hard-line stance. 
 
18) Watanabe to leave LDP today 
 
 
TOKYO 00000058  014 OF 017 
 
 
TOKYO SHIMBUN (Page 1) (Full) 
January 13, 2009 
 
In a meeting yesterday afternoon of his supporters in Otawara City, 
Tochigi Prefecture, Yoshimi Watanabe, former state minister in 
charge of administrative reform, expressed his intention to quit the 
ruling Liberal Democratic Party (LDP) and his intent was approved by 
the supporters. The outlook is that Watanabe will summit his 
resignation to the LDP leadership before the House of 
Representatives takes a vote on the second supplementary budget for 
fiscal 2008 and budget-related bills on the evening of Jan. 13, and 
that the party leadership will accept it. Watanabe is now serving 
his fourth-term in the Lower House, representing the Tochigi No. 3 
district. 
 
After the meeting yesterday, Watanabe explained reporters about the 
reason for his decision to quit the LDP: 
 
"I made efforts to reform the civil-servant system. I proposed 
scrapping the plan to relax regulations on amakudari postretirement 
job for senior bureaucrats, but regrettably my proposal was ignored 
and rejected (by Prime Minister Taro Aso)." 
 
Watanabe indicated his intent to vote against the second 
supplementary budget for fiscal 2008, including the flat-sum 
cash-payout program, or to boycott the vote. He has called for 
scrapping the cash-payment plan. He said: "I want to express my 
protest in some fashion." 
 
Asked about his political activities after he leaves the LDP, 
Watanabe unveiled his intention to aim at forming a third political 
force before the next Lower House election by calling on heads of 
local governments and assembly members to join in. He said: 
 
 
"I would like to create a national council. In cooperation with 
like-minded persons across the nation I want to conduct political 
activities in order to propose policies. I also want to deepen my 
cooperation with LDP members." 
 
Watanabe has criticized the Aso administration since last year. In 
the previous extraordinary Diet session, he voted for a resolution 
presented calling for an early dissolution of the Lower House, which 
the main opposition the Democratic Party of Japan (DPJ) had 
presented. 
 
On Jan. 5 he submitted to the LDP a set of proposals, including one 
calling on Aso to revise the second supplementary budget for fiscal 
¶2008. 
 
He then visited the Prime Minister's Official Residence (Kantei) on 
Jan. 9 to present an open letter asking Aso to completely abolish 
the practice of watari, in which ministries and agencies arrange new 
jobs multiple times at government-related corporations for retiring 
bureaucrats, as well as to scrap an ordinance that allows the prime 
minister to approve watari. However, the Kantei side refused to 
accept his letter. Watanabe then hardened his stance. 
 
19) DPJ preparing its troops for action by hurriedly coordinating 
election cooperation; Party sees Diet dissolution near with the Aso 
Cabinet's non-support rate not at over 70 PERCENT 
 
 
TOKYO 00000058  015 OF 017 
 
 
YOMIURI (Page 4) (Excerpts) 
January 13, 2009 
 
With the non-support rate of the Aso Cabinet having topped 70 
PERCENT  in opinion polls by the Yomiuri Shimbun and other news 
companies, Democratic Party of Japan (DPJ) President Ichiro Ozawa 
sees Diet dissolution and a snap election as drawing near and has 
set a policy course of preparing the party for action this month. 
Ozawa's thinking is to have party hurriedly coordinate election 
strategy with the Social Democratic Party (SDP) and People's New 
Party (PNP), and to strengthen efforts to undermine the Liberal 
Democratic Party (LDP) by such means as not running a candidate 
against former Administrative Reform Minister Yoshimi Watanabe, who 
is quitting the LDP. 
 
Appearing on an NHK-TV program on the 11th, Ozawa took a positive 
view toward a negotiated Diet dissolution that would involve the 
opposition camp cooperating for an early passage of the fiscal 2009 
budget bill if the government and ruling camp promised to dissolve 
the Diet following the budget's passage. But he doubted that the Aso 
administration would even last that long. 
 
The reason was that with the Cabinet's non-support rate now having 
topped 70 PERCENT , "Prime Minister Aso will not be able to cling to 
his administration with such a loss of public confidence." Spurring 
the party on, Ozawa said, "Everyone in the DPJ should now be 
mobilized to go among the public and listen to their troubles and 
complaints." 
 
The DPJ plans to carry out a third survey this month of the 
situations in every election district in the country,  and use the 
results to make its final choices of candidates and key election 
districts. In the DPJ's fiscal 2009 action plan to be adopted at the 
party convention on Jan. 18, it is stated, "We will concentrate 
support on candidates who can be expected to win in the small 
districts." The goal as stated is to secure a majority of small 
districts and the basic strategy is "selection and concentration." 
 
The DPJ has decided to support 239 candidates and has officially 
approved 23 of them. It has also decided to back 22 candidates who 
are from the SDP or PNP or are independents.  There are 16 districts 
where candidates have not been picked. 
 
20) Premier hints at additional economic stimulus measures: 
Dissolution of Lower House as best timing 
 
YOMIURI (Page 2) (Full) 
January 11, 2009 
 
Referring to the possibility of dissolution of the Lower House for a 
snap election, Prime Minister Aso stated during an interview at his 
official residence: "At this stage, I have not yet decided whether 
to dissolve the Lower House once the fiscal 2009 budget and related 
bills secure Diet approval. I need first to obtain prospects for the 
economic stimulus package to produce proper effects. It would be 
irresponsible (for me to dissolve the Lower House before that). I 
will consider the issue when the time comes." Regarding additional 
economic stimulus measures after the passage of the fiscal 2009 
budget, he said that such might be possible. He took a cautious 
stance on deciding when to dissolve the Lower House, indicating that 
he would first determine the economic situation once the fiscal 2009 
budget and related bills were enacted. 
 
TOKYO 00000058  016 OF 017 
 
 
 
Referring to the New Komeito's request for leaving an interval 
between the Tokyo Metropolitan Government Assembly election in the 
summer and the Lower House election, Aso indicated readiness to give 
a certain level of consideration to that party's wishes. He said, "I 
have no intention of totally disregarding such a request. However, I 
will not exclude July alone. I have to choose the best timing for 
both sides." He then underscored, "Things might happen between now 
and September, when the current term for Lower House members ends. I 
will ultimately decide when to dissolve the Lower House." He ruled 
out the possibility of a cabinet shuffle after the passage of the 
fiscal 2009 budget. 
 
On the possibility of political realignment, Aso only said, "Various 
things could occur." However, concerning a grand coalition with the 
Democratic Party of Japan (DPJ), he indicated that such an idea 
would be difficult under the current single-seat constituency system 
for the Lower House. 
 
Concerning placing a ban on the dispatch of temporary workers to 
manufacturing companies as demanded by opposition parties, he again 
took a cautious stance, saying, "If such a dispatch is banned, it 
would become difficult for the manufacturing sector to cope with 
sudden fluctuations in the economy." 
 
21) Nishimatsu Construction suspected of giving 200 million yen in 
kickbacks to former Bangkok top official 
 
ASAHI (Top Play) (Abridged slightly) 
January 13, 2009 
 
Asahi Shimbun has learned that Nishimatsu Construction, a 
second-tier construction company that has been found to have raised 
off-the-book funds worth more than 2 billion yen both at home and 
abroad, is suspected of having given approximately 200 million yen 
to a top-level official of the Bangkok Metropolitan Government in 
connection with the construction of Bangkok City Hall. According to 
a source related to the Thailand government, Thai authorities 
received a request from the Special Investigation Department of the 
Tokyo District Public Prosecutors for cooperation in the 
investigation of the company on the charge of violating the Law 
against Unfair Competition. 
 
Tokyo District Public Prosecutors Office asks for cooperation from 
Thailand 
 
Following the request, the Thai authorities have started examining 
investigation data provided by the Special Investigation Department. 
They reportedly will determine whether the case will constitute a 
bribery charge in accordance with Thailand's domestic law. Depending 
on the development of investigation by the Thai side, the matter 
could develop into an international bribery case. 
 
According to sources related to Nishimatsu Construction, the 
construction work in question is the construction of 
flood-prevention drain tunnels sponsored by the Bangkok Metropolitan 
Government in 2003. A joint venture firm between Nishimura 
Construction and a local general construction company was awarded a 
contract for that project. Around this time, the two companies 
decided to give about 200 million yen each totaling about 400 
million yen to that official. Nishimatsu Construction reportedly 
handed that money to its joint venture partner first, drawing it 
 
TOKYO 00000058  017 OF 017 
 
 
from slush funds that had been raised by using accounting procedures 
of reporting costs of construction works abroad at prices higher 
than the actual costs. 
 
A bribery suspicion involving this construction work was taken up by 
some news organizations in July last year. The Bangkok Metropolitan 
Government set up an investigative committee. According to a local 
report after that, the Metropolitan Government reached a decision 
that no irregularities occurred. 
 
Concerning Nishimura Construction's slush funds, Kazuhiko Takahara 
(63), who was deputy manager of the company's overseas project 
department, was arrested and indicted on suspicion of embezzlement. 
Other former executive-class officials are also suspected of 
bringing into the country money from slush funds raised abroad. The 
Special Investigation Department has decided to launch full 
investigation into them on suspicion of violating the Foreign 
Exchange and Foreign Trade Law. 
 
SCHIEFFER