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UNCLAS SECTION 01 OF 11 TOKYO 000584 
 
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 03/17/09 
 
Index: 
 
1) Top headlines 
2) Editorials 
3) Prime Minister's daily schedule (Nikkei) 
 
North Korea problem: 
4) Foreign Minister Nakasone confirms close cooperation between 
Japan and South Korea on North Korea missile and abduction issues 
(Sankei) 
5) 90 PERCENT  of the dangerous part of North Korea's missile launch 
range is in Japan's EEZ  (Yomiuri) 
 
6) Japanese government plans dialogue with India, Brazil, and South 
Africa on such issues as the environment, resource development, food 
production, UN reform  (Nikkei) 
 
Growing the economy: 
7) Prime Minister Aso next month plans to order another budget bill 
following the G-20 summit, making Diet dissolution an even remoter 
possibility  (Asahi) 
8) Economic stimulus package to have funds to promote digitalization 
of TV  (Yomiuri) 
9) Meeting of experts on the economy to advise the government on 
policy options  (Yomiuri) 
 
Political agenda: 
10) Aso on the attack mode criticizes Democratic Party of Japan 
President Ozawa again to 7th Fleet remark  (Tokyo Shimbun) 
11) Aso raises opposition's heckles by calling the Nishimatsu 
donations to the Ozawa camp as "clearly a legal violation"  (Tokyo 
Shimbun) 
12) DPJ is split over banning political contributions from companies 
receiving public-works contracts  (Sankei) 
13) Both LDP and DPJ skirt issue of Nishimatsu political donations 
during Diet debate  (Yomiuri) 
14) Diet dissolution, expected by summer, may be put off even 
further  (Yomiuri) 
15) China out of consideration for protests by U.S., Japan, Europe 
is putting off start of requirement of foreign firms to provide IT 
product information  (Nikkei) 
 
Articles: 
 
1) TOP HEADLINES 
 
Asahi and Mainichi: 
Nippon Television president resigns over erroneous news program 
 
Yomiuri: 
Government, ruling coalition seek to include measures to promote 
digital broadcasting in additional economic package 
 
Nikkei: 
Ricoh, Toyota group firms to stop using temporary dispatch workers 
 
Sankei: 
Nation's forestry corporations 1.1794 trillion yen in debt 
 
Tokyo Shimbun: 
Financial crisis: Nobody understands subprime mortgage loans 
 
 
TOKYO 00000584  002 OF 011 
 
 
Akahata: 
El Salvador elects leftist president 
 
2) EDITORIALS 
 
Asahi: 
(1) Resignation of NTV president: Accountability must be fulfilled 
(2) Wakata's ISS mission 
 
Mainichi: 
(1) Manned technology must follow Wakata's journey 
(2) NTV chief resigns: Supportive news coverage essential 
 
Yomiuri: 
(1) Compound crises must be overcome with additional economic 
measures 
(2) Japan's space program ready to take giant leap 
 
Nikkei: 
(1) North Korea's launch of "satellite" must not be allowed 
(2) Wakata expected to demonstrate significance of manned space 
activities 
 
Sankei: 
(1) China must stop interfering with U.S. research vessels 
(2) Wakata's extended stay on ISS 
 
Tokyo Shimbun: 
(1) Wakata's long-term mission a foundation for future lunar probe 
(2) APEC gives up further reduction of oil production: Japan must 
accelerate efforts to introduce natural energy 
 
Akahata: 
(1) Annual labor-management wage negotiations in final stage: Wage 
raise and job security needed 
 
3) Prime Minister's Official Residence (Kantei) 
 
Prime Minister's schedule, March 16 
 
NIKKEI (Page 2) (Full) 
March 17, 2009 
 
08:03 
Took a walk around the official residence. 
 
10:29 
Met at Kantei with Deputy Chief Cabinet Secretaries Matsumoto and 
Konoike. 
 
13:00 
Attended Upper House Budget Committee session. 
 
17:07 
Attended LDP executive meeting. Election Strategy Council Chairman 
Koga remained. Met afterwards with Shimamura, LDP special advisor to 
the prime minister. 
 
18:01 
Attended a meeting of monthly economic report-connected cabinet 
ministers. 
 
 
TOKYO 00000584  003 OF 011 
 
 
19:05 
Attended a meeting of experts to overcome economic crisis. 
 
20:48 
Returned to the official residence. 
 
4) Japan, S. Korea confirm strengthening of cooperation on N. Korean 
missile, abduction issues 
 
SANKEI (Page 5) (Full) 
March 17, 2009 
 
Foreign Minister Hirofumi Nakasone yesterday received a courtesy 
visit of Wi Sung Lac, South Korea's chief delegate to the six-party 
talks, who is in charge of peace talks at the South Korean Ministry 
of Foreign Affairs and Trade. In their meeting, Nakasone and Wi 
consulted on North Korea's nuclear development and also discussed 
that country's ongoing preparations for launching a missile as well 
as the issue of Japanese nationals abducted to that country. 
 
Nakasone expressed his gratitude to Wi for the recent meeting of the 
family of Yaeko Taguchi, who was abducted to North Korea when she 
was 22, and Kim Hyon Hui, a former North Korean spy. Nakasone and Wi 
agreed to step up bilateral cooperation over North Korea's readiness 
to launch an advanced type of the Taepodong 2, a long-range 
ballistic missile, as well as abduction and other issues. Wi also 
met with Foreign Ministry Asian and Oceanian Affairs Bureau Director 
General Akitaka Saiki, who is Japan's chief delegate to the 
six-party talks. The two chief delegates shared the view that North 
Korea's missile launch would constitute a violation of a United 
Nations Security Council resolution. 
 
5) 90 PERCENT  of North Korea-designated danger zone off Akita 
overlaps Japan's EEZ 
 
YOMIURI (Page 2) (Full) 
March 17, 2009 
 
North Korea has now designated a sea area off Akita Prefecture as a 
danger zone, as it prepares for launching an "artificial satellite." 
In this regard, the Japan Coast Guard has confirmed that about 90 
PERCENT  of the designated danger zone overlaps with Japan's 
exclusive economic zone (EEZ). 
 
The Foreign Ministry Ocean Division says there are no legal 
problems. However, Takushoku University Professor Kimito Abo, who is 
familiar with the Law of the Sea, noted: "North Korea must give 'due 
consideration' to Japan in accordance with Article 58, paragraph 3 
of the United Nations Convention on the Law of the Sea. The 
government should do whatever it can." This is because the danger 
zone overlaps with Japan's fishing grounds and commercial sea routes 
and violates Japan's rights. A government source also said, "They 
have designated a danger zone in another country's EEZ waters on 
their own; I've never heard of anything like this." 
 
The danger zone is where debris like a rocket's parts may fall. 
North Korea has designated a sea area (250 kilometers from east to 
west and 20 kilometers from north to south) situated about 130 
kilometers off the coastline of Akita Prefecture and also designated 
another sea area in the Pacific Ocean, which are both outside 
Japan's territorial waters. The North has announced that that it 
would launch a "satellite" between April 4 and 8. 
 
TOKYO 00000584  004 OF 011 
 
 
 
6) Government to set up forum for policy dialogue with India, 
Brazil, South Africa, aiming to pave way for stable resources 
procurement 
 
NIKKEI (Page 2) (Full) 
March 17, 2009 
 
The government will set up a forum for vice-minister-level policy 
talks with India, Brazil and South Africa, in an attempt to 
cooperate with these leading emerging countries in dealing with a 
variety of issues, such as UN reform, terrorism, and the financial 
crisis. The three countries are rich in crude oil and rare metals. 
Given this, the government also aims at ensuring stable procurement 
of resources and expanding trade by strengthening its ties with 
them. 
 
The government has started coordination with the three countries to 
establish the forum and hold its first meeting this summer. Deputy 
Foreign Minister Kenichiro Sasae and others are expected to 
represent Japan. Themes to be discussed there are likely to include 
(1) the environment and climate change; (2) UN Security Council 
reform; and (3) food issues. 
 
India, Brazil, and South Africa have promoted diplomatic cooperation 
in a bid to increase their influence in the international community, 
based on their recent remarkable economic growth. They have already 
created a forum for policy talks among them. They have held four 
rounds of ministerial meetings and three rounds of summits since 
¶2004. Their cooperative relations have been taking root. 
 
By deepening policy dialogue with these three countries, Japan hopes 
to increase procurement sources for resources, as well as to expand 
business opportunities for Japanese firms. Japan also intends to ask 
these countries to support Japan's bid for UNSC permanent status. 
 
Meanwhile, the three countries have wariness over industrialized 
countries taking the lead in pushing ahead with negotiations on such 
issues as global warming and trade liberalization. Some analysts 
take the view that the three countries are aiming to have the 
industrialized countries understand emerging countries' position by 
taking in Japan in their policy talks. 
 
7) Prime Minister Aso to order extra budget in April after G-20 
summit 
 
ASAHI (Page 1) (Excerpts) 
March 17, 2009 
 
Prime Minister Taro Aso has decided to order after he returns from 
the Group of 20 financial summit in London on April 2 the government 
and ruling coalition to compile a supplementary budget for fiscal 
2009 as an additional economic stimulus package. The outlook is that 
a bill on the extra budget will be submitted to the Diet in late 
April or after. If priority is given to implementation of the 
additional economic stimulus package, to which Aso attaches 
priority, it will be difficult for the prime minister to dissolve 
the House of Representatives before the extra budget bill clears the 
Diet. 
 
Giving consideration to deliberations on the fiscal 2009 budget in 
the House of Councillors, Aso has not officially mentioned anything 
 
TOKYO 00000584  005 OF 011 
 
 
about the extra budget for next fiscal year, which will start on 
April 1. However, the ruling Liberal Democratic Party (LDP) and its 
junior coalition partner, New Komeito have already begun a study of 
a plan to craft an additional economic package with an eye on the 
extra budget. 
 
On the occasion of a meeting of the G-20 finance ministers and 
central bank governors, Finance Minister Kaoru Yosano promised to 
U.S. Secretary of the Treasury Timothy Geithner an economic stimulus 
package, on which Japan will spend two percent of the domestic gross 
product (GDP). Tokyo and Washington are expected to reach an 
agreement in the G-20 financial summit in April on the need for more 
public spending on economic pump-priming measures. The execution of 
the extra budget will likely become an international commitment. 
 
8) Government eyes plan to include digital TV transition measures in 
extra economic package 
 
YOMIURI (Top Play) (Full) 
March 17, 2009 
 
The government and the ruling coalition have started looking into a 
plan to include comprehensive measures to facilitate the transition 
to terrestrial digital TV broadcasting in their additional economic 
stimulus package. The government aims to complete the shift from 
analog broadcasting to digital by July 2011. Chief Cabinet Secretary 
Kawamura announced yesterday the government's plan to study 
installing digital TV sets at all public facilities, such as 
schools. The New Komeito also revealed a 1-trillion-yen plan to buy 
old analog TVs for 20,000 yen each. Given the nation's worsening 
economic situation, the rate of households equipped with terrestrial 
digital TVs stood at about 49 PERCENT  as of January. Calls are 
growing for drastic measures to be taken to facilitate the shift to 
digital TV broadcasting with government funds. 
 
Under the plan proposed by the New Komeito, the government would 
designate retail shops to pay 20,000 yen to customers who purchase 
new sets capable of receiving digital broadcasting for their old 
analog TV sets. Recycling fees would also be covered by the 
government. 
 
The government and the ruling parties plan to include in a fiscal 
2009 supplementary budget approximately 480 billion yen to take 20 
million analog TV sets by March 2010. With this measure, the 
government aims to promote the digital TV transition by boosting the 
switch during fiscal 2009. It also aims to reduce inventory of 
electronics makers, which have been hit by the ongoing recession. 
 
The government expects about 1 trillion yen will be necessary to 
implement measures to install digital TVs at public facilities, help 
facilities in urban areas with poor reception conditions to switch 
to cable broadcasting, and provide financial support for repairing 
old housing complexes to be able to receive digital broadcasting 
 
The government has already decided to provide terrestrial digital 
tuners free of charge to about 2.6 million households that have been 
exempted from paying NHK viewing fees. This is part of measures for 
those who are hard up financially. 
 
The measure to buy analog TV sets, intended for general households, 
is expected to encourage people to switch to digital TVs. But this 
measure contains some problems, such as inequality between those who 
 
TOKYO 00000584  006 OF 011 
 
 
already purchased digital TVs and those who will buy sets from now, 
and the question of how to secure financial resources to fund the 
measure. Some government officials remain cautious about the plan. 
The government may find it difficult to push ahead with the plan. 
 
9) Expert panel launched to contain financial crisis 
 
YOMIURI (Page 1) (Full) 
March 17, 2009 
 
The government held the first meeting of an expert panel at the 
Prime Minister's Office last night to explore ideas to overcome the 
ongoing economic crisis from experts in various areas. Views 
presented in the meetings to be held for five days through the 21st 
will be reflected in an additional economic stimulus package now 
under discussion by the government and the ruling parties. 
 
Prime Minister Aso said at the outset of the meeting: "We would like 
to listen to views of various persons, not just those of politicians 
and bureaucrats, and to have them reflected in our policies." 
 
In the first meeting, eight experts, including Richard Koo, chief 
economist at Nomura Research Institute and a brain trust advisor 
about economic issues, expressed their views. Motoshige Ito, 
professor at the University of Tokyo, called for a time-limited 
measure to reduce or exempt from the gift tax. 
 
A total of 10 rounds of theme- and sector-selective discussions in 
such areas as employment, social security, and finances, will be 
held March 17-18 and March 20-21, joined by 83 experts. The 
government intends to listen to opinions about long-term growth 
tactics, in addition to economic stimulus measures that are expected 
to take effect immediately. 
 
10) Prime minister hits troubled Ozawa on security issue 
 
TOKYO SHIMBUN (Page 2) (Full) 
March 17, 2009 
 
Prime Minister Aso is strengthening his criticism of Democratic 
Party of Japan (DPJ) President Ozawa's remark that the U.S. Navy's 
7th Fleet would be enough for the U.S. military presence in Japan. 
His aim is to give the impression that the DPJ lacks the ability to 
run the government, by striking the vulnerability of the DPJ that is 
having difficulty coordinating views over security policy. 
 
The prime minister sees Ozawa's controversial remark as the best 
opportunity to attack the DPJ. The DPJ is now suffering from a 
setback over huge amounts of donations it received from Nishimatsu 
Construction Co. However, if the Liberal Democratic Party (LDP), 
which also has a similar problem, messes with a politics-and-money 
scandal, it could fall victim to it. He calculates that in that 
sense, it is easier to clarify a dichotomy between the two parties, 
using security issues. 
 
Referring to campaign issues for the upcoming Lower House election, 
the prime minister during an NHK TV interview on March 15 
underscored: "Security is very important. The matter is quite 
different from saying the 7th Fleet alone would be enough." In a 
speech given on the 14th in Kure City, Hiroshima Prefecture, he 
fervently said: "If we say we do not need the presence of U.S. 
forces in Japan with the exception of the 7th Fleet, we will need to 
 
TOKYO 00000584  007 OF 011 
 
 
have a resolve and preparedness to make up for the absence of the 
U.S. forces on our own. It would be irresponsible to make such a 
remark, unless we are prepared to shoulder all the costs needed for 
such." 
 
The ruling parties are also hinting at a plan to summon Ozawa as an 
unsworn witness. Deliberations on anti-piracy legislation and a new 
agreement on the transfer of U.S. Marines stationed in Okinawa to 
Guam will start in a timely manner for the ruling coalition. Aides 
close to the prime minister are hoping that the DPJ's lack of unity 
will be highlighted. 
 
11) Donations by Nishimatsu Construction "clearly illegal," says 
prime minister: SDP criticizes remark 
 
TOKYO SHIMBUN (Page 2) (Full) 
March 17, 2009 
 
Referring to the arrest of Democratic Party of Japan (DPJ) President 
Ozawa's state-funded secretary over huge amounts of donations made 
by Nishimatsu Construction Co., Prime Minister Taro Aso at a meeting 
of the Upper House Budget Committee on March 16 said, "Since the 
donations were clearly illegal, Mr. Ozawa's secretary was arrested." 
He then underscored, "In my view, we should think that the existing 
law worked properly." 
 
Aso was replying to a question asked by Social Democratic Party 
President Mizuho Fukushima. Fukushima criticized the prime 
minister's reply, "It is only natural to assume that he could be 
presumed to be innocent (before the court ruling is determined)." 
 
12) DPJ's Ozawa cautious about prohibiting donations from 
contractors receiving public works orders 
 
SANKEI (Page 5) (Excerpts) 
March 17, 2009 
 
With Democratic Party of Japan (DPJ) President Ichiro Ozawa's 
political fund management organization having received donations 
allegedly violating the Political Funds Control Law, the DPJ will 
start on March 19 a discussion on a review of the Political Funds 
Control Law in its political reform promotion taskforce. The main 
point is that whether the party should completely ban political 
donations from contractors receiving public works orders. However, 
since Ozawa has taken a cautious stance, it is difficult to foresee 
how the matter will be resolved. The ruling parties, meanwhile, 
intend to assume a wait-and-see attitude over whether Ozawa's 
arrested first state-funded secretary will be indicted. 
 
The policy of prohibiting political donations from contractors 
receiving public works orders was included in the DPJ's manifesto 
(set of campaign pledges) for the Lower House elections in 2003 and 
2007 under then DPJ President Naoto Kan and DPJ President Katsuya 
Okada. The policy was deleted from the DPJ's manifesto for the 2007 
Upper House election, which was held under Ozawa, whose stock 
argument is that corporate donations are desirable rather than 
personal donations. 
 
In a press conference on March 10, Ozawa took a negative stance, 
saying: "Actually, they (contractors) receive orders from the 
central and local governments. Donations will be discontinued in 
effect." 
 
TOKYO 00000584  008 OF 011 
 
 
 
Okada, chair of the political reform promotion taskforce, expressed 
his understanding to a certain extent for Ozawa's assertion in his 
meeting with reporters on March 13 in Tokyo. He, however, stated: "I 
would like to hold debate, aiming at reaching an agreement that can 
be accepted by the ruling camp." He indicated that the DPJ would 
like to submit to the current Diet session a bill revising the 
Political Funds Control Law. Referring in the DPJ Kanagawa chapter's 
convention on the 14th to this issue, Kan emphasized: "We must 
seriously discuss the issue again. Depending on the situation, we 
need to deal with it at the Diet." 
 
13) LDP, DPJ reluctant to hold Diet debate on Nishimatsu donation 
issue 
 
YOMIURI (Page 4) (Full) 
March 17, 2009 
 
The illegal donation scandal involving the second-tire general 
contractor Nishimatsu Construction Co. was not taken up as a main 
issue for debate in a House of Councillors Budget Committee session 
yesterday. The reason is that the ruling Liberal Democratic Party 
(LDP) and the main opposition Democratic Party of Japan (DPJ) are 
growing very timid, since the scandal has now spread to both 
parties. Therefore, debate on a plan to amend the Political Funds 
Control Law has yet to get started. 
 
Although yesterday's Upper House Budget Committee session supposed 
to hold concentrated deliberations on the issues of administrative 
reforms, amakudari (golden parachute system) and postal 
privatization, the panel took up wide-ranging issues, including 
economic stimulus measures. Since the session with the attendance of 
Prime Minister Taro Aso was broadcasted by NHK, the illicit donation 
scandal should have been pursued there. 
 
However, the DPJ just brought up Deputy Chief Cabinet Secretary Iwao 
Uruma's comment on the outlook of the investigation into President 
Ichiro Ozawa's political fund management organization for allegedly 
violating the Political Funds Control Law. Policy Research Committee 
Deputy Chairman Tetsuro Fukuyama grilled Uruma on his comment, 
noting: "I don't think you made the remarks as a general 
perception." He, however, did not pose any questions to Economy, 
Trade and Industry Minister Toshiro Nikai, who is believed to have 
received illegal donations from Nishimatsu, even about whether he 
illegally received donations or not. This is because the DPJ is 
alarmed, with a senior Upper House member saying: "If our party 
pursues Nikai, it would open up trouble for us, due to the Ozawa 
issue." 
 
The ruling camp, too, did not raise any questions yesterday about 
the illegal donation scandal. The ruling coalition has refrained 
from referring to the Ozawa issue since it rebutted on March 9 in an 
Upper House Budget Committee session to the DPJ's criticism that the 
investigations were motivated politically. The ruling camp appears 
to have judged that it would be better for it not to irritate the 
DPJ, in order to continue the trend of smooth deliberations on the 
budget. 
 
Meanwhile, Social Democratic Party Chairperson Mizuho Fukushima, in 
yesterday's Upper House committee session, stressed that donations 
from companies receiving orders of public works projects should be 
banned. Aso, however, avoided the question in this way: "I don't 
 
TOKYO 00000584  009 OF 011 
 
 
think donations from corporations and organizations are necessarily 
wrong." Although the Japanese Communist Party was also enthusiastic 
about pursuing the Nishimatsu scandal, the two small opposition 
parties' pursuit lacked punch, since little time was provided them. 
 
14) Lower House dissolution might not occur until summer; Prime 
minister places top priority on additional economic package 
 
YOMIURI (Page 4) (Excerpts) 
March 17, 2009 
 
The view is spreading in the ruling camp that Lower House 
dissolution will not take place for a general election until summer 
or later. The reason is because Prime Minister Taro Aso, placing top 
priority on the implementation of additional economic stimulus 
measures, expressed a cautious view about dissolving the house 
before the enactment of a fiscal 2009 supplementary budget bill. 
Given the country's serious economic woes, leaving the matter to 
Prime Minister Aso until the enactment of the envisaged extra budget 
is becoming the common view of the pro- and anti-Aso groups. But 
views are split about who should become the prime minister to 
dissolve the Lower House after that. 
 
Asked by a reporter last night about the timing to dissolve the 
Lower House, Prime Minister Aso simply replied: "Policies take 
precedence over the political situation, and I will decide on the 
timing for that." During an NHK television program on March 15, the 
prime minister had expressed a dismissive view about dissolving the 
lower house before the enactment of the supplementary budget. He 
said: "There has been a talk about fiscal disbursements equivalent 
to 2 PERCENT  of GDP, so we must deal with the matter properly. We 
don't want to make an empty promise." 
 
A prime ministerial aide has recently expressed a desire to submit a 
supplementary budget bill immediately after the Golden Week holiday 
period in May. If the budget meets with opposition from the 
Democratic Party of Japan (DPJ), its enactment might slip to June or 
later. Initially, views were strong in the Liberal Democratic Party 
(LDP) to dissolve the house either in April or May. But now that the 
prime minister has clearly mentioned the implementation of the extra 
budget, the prevailing view in the party is that chances are slim 
for dissolution before the bill's enactment. 
 
A meeting was held last night by secretaries general of LDP 
factions, including Nariaki Nakayama and Hajime Funada. The members 
shared in the meeting the view that in view of the economic 
situation, a political vacuum must not be created as a result of 
Lower House dissolution and that the dissolution would not take 
place for some time. 
 
Anti-piracy legislation, which the prime minister wants to enact 
during the current session of the Diet, is also likely to have an 
impact on the timing for the dissolution. During the NHK program, 
the prime minister said: "Vessels from many countries around the 
world have been escorting ships. Japan, too, must fulfill its 
responsibility. We should deal with the matter after obtaining Diet 
approval." 
 
The DPJ is split over the anti-piracy legislation designed to expand 
the scope of ships subject to protection and the authority to use 
weapons in order to strengthen measures against piracy in waters off 
Somalia. To ensure the legislation's enactment, the government and 
 
TOKYO 00000584  010 OF 011 
 
 
the ruling bloc must secure 60 days after the Lower House's 
approval, just in case the House of Councillors does not put the 
legislation to a vote. This means the government might consider a 
substantial extension of the current Diet session, which is due to 
close on June 3. A prime ministerial aide even mentioned a Diet 
extension until July. 
 
The prime minister seemingly intends to dissolve the Lower House 
after making a clear distinction with the DPJ regarding additional 
economic measures and security policy. The ruling bloc is tilted 
toward implementing additional economic measures under Prime 
Minister Aso. A former cabinet minister keeping his distance from 
the prime minister showed a wait-and-see attitude, saying, "There is 
no need to make moves until the extra budget clears the Diet." 
 
15) IT product information: China postpones introduction of 
compulsory disclosure system, giving consideration to opposition 
from Japan, U.S. and European countries 
 
NIKKEI (Page 1) (Full) 
March 17, 2009 
 
Shunsuke Tabeta, Beijing 
 
The Chinese government on March 16 revealed that it would postpone 
the introduction of a compulsory certification system targeting 
information technology security products, such as anti-computer 
virus products, set for May. The governments and companies of Japan, 
the U.S. and European countries have been opposing the introduction 
of such a system as infringing on their intellectual property 
rights. Beijing was apparently forced to review the plan. 
 
China in January 2008 formally announced that it would add 13 items, 
such as firewall, to the China Compulsory Certification (CCC) 
System, its own safety standards, citing ensuring information 
security as justification. It had set the implementation timetable 
for May 2009. Products covered by the system cannot be sold in China 
without certification. The system targets not only domestic products 
but also imported goods. 
 
The Certification and Accreditation Administration of the People's 
Republic of China (CNCA), which has the system under its 
jurisdiction, on the 16th told Nihon Keizai Shimbun that it had 
decided to put off for the time being the application of the system 
to IT security products. It steered clear of revealing the exact 
length of postponement. As a reason for the postponement, the CNCA 
cited the need to improve details of regulations, based on domestic 
and overseas views. 
 
The 13 items include the operating system (OS) for IC chips and 
products to block unwanted junk mails. Since there is a possibility 
of China requiring the exposure of the source code in granting 
certification, Japanese, U.S. and European companies have been 
opposing the system, citing that there is concern about information 
leak. 
 
According to a research company under the umbrella of China's the 
Industry and Information Technology Ministry, the size of the 
nation's IT security product market, which is continuing 
double-digit growth, has reached approximately 8 billion yuan or 
roughly 120 billion yen. 
 
 
TOKYO 00000584  011 OF 011 
 
 
ZUMWALT