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P 180819Z NOV 09
FM AMEMBASSY TOKYO
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RUEHBJ/AMEMBASSY BEIJING 1903
RUEHUL/AMEMBASSY SEOUL 8579
RUCNDT/USMISSION USUN NEW YORK 8048

UNCLAS SECTION 01 OF 07 TOKYO 002667 
 
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:  DAILY SUMMARY OF JAPANESE PRESS 11/18/09 
 
INDEX: 
 
INDEX: 
 
(1) Interview with U.S. Under Secretary of State Hormats: Japan, 
U.S. can work together in the environment area; hopes to see pending 
issues, including insurance market, aviation liberalization talks, 
move forward (Nikkei) 
 
(2) Editorial: Prime Minister's statement; Does he intend to impair 
trust between Japan and U.S.? (Sankei) 
 
(3) 60 days of the Hatoyama administration (Part 1): The Prime 
Minister's "illusion" on the Japan-U.S. alliance (Yomiuri) 
 
(4) 60 days of the Hatoyama administration (Part 2): "Okinawa's 
feelings" complicate the issue (Yomiuri) 
 
ARTICLES: 
 
(1) Interview with U.S. Under Secretary of State Hormats: Japan, 
U.S. can work together in the environment area; hopes to see pending 
issues, including insurance market, aviation liberalization talks, 
move forward 
 
NIKKEI (Page 7) (Full) 
November 18, 2009 
 
Visiting U.S. Under Secretary of State for Economic, Energy and 
Agricultural Affairs Robert Hormats on Nov. 17 gave an interview to 
the Nihon Keizai Shimbun. During the interview he underscored that 
Japan and the U.S. can display leadership, if they strengthen ties 
on the environment and assistance to developing countries. Regarding 
the economic relationship, he expressed hopes to see conditions for 
competition improve in Japan's insurance market and liberalization 
talks make progress. He also said that he is not envisaging the 
"U.S.'s exclusion" from the East Asian Community framework. The 
interview follows: 
 
-- How do you view the present state of and prospects for the global 
economy? 
 
"The global economy is gradually picking up, compared with a year 
ago and six months ago, due in part to policy coordination among 
Japan, the U.S., and Europe. However, the employment situation is 
very severe. It is also necessary to keep an eye on the financial 
market. It is too early for all countries and regions to adopt an 
exit strategy. Now the first thing we need to do is to provide 
momentum to the economic recovery." 
 
-- How do you view Japan-U.S. relations from the economic 
perspective? 
 
"When President Obama was arranging the details of his Asia trip, we 
first decided to have him deliver the most important speech in 
Tokyo. No bilateral relationship is closer than that between Japan 
and the U.S., as can be seen in trade, investment and financial 
services. If we turn our eyes to global challenges, such as the 
environment, energy, and assistance to developing countries, Japan 
and the U.S. are deepening ties as major countries that lead the 
world. While the President was visiting Japan, both countries agreed 
to work together on research on clean-energy technology. This 
 
TOKYO 00002667  002 OF 007 
 
 
reflects our deepening ties." 
 
-- Japan's basic stance in economic policies, such as postal 
privatization, is beginning to change due to the recent change in 
government. 
 
"It is Japan that chooses its policies and implements them. The U.S. 
respects Japan's decision. Concerning postal liberalization, too, 
the implementation of policy is Japan's responsibility. However, we 
hope that Japan will consolidate fair competitive conditions for 
postal services for all insurance companies, including American 
companies, and postal insurance companies. There are also other 
individual issues, such as expansion of imports of U.S. beef by 
Japan and an open skies policy to mutually open our aviation 
markets. 
 
"However, as the U.S. has many pending issues with Europe and 
Canada, pending issues with Japan are in a way the flip side of the 
closeness of the bilateral relationship. Constructive and candid 
talks will lead to settlements." 
 
-- How do you view Prime Minister Yukio Hatoyama's Initiative for an 
East Asian Community? 
 
"We have had many meetings with the Japanese government. I do not 
believe that Japan is mulling this initiative with the aim of 
excluding the U.S. The U.S. is ready to deepen engagement with the 
Asia-Pacific region. There is ample room for us to work together 
with Japan, which is of the same mind as us." 
 
-- Will the meaning of the Group of Eight industrialized nations 
(G-8) change if the Group of Twenty nations (G-20) becomes a regular 
gathering? 
 
"The G-20 will never replace the G-8. The G-20 is a forum for 
leaders of the member nations to freely discuss broad-based issues, 
such as financial services. The G-8 is a venue for formulating 
strategies demonstrating specific approaches to issues challenging 
the G-8. The presence of Japan, which excels in advanced 
technologies and environmental measures, will continue to carry 
special weight." 
 
(2) Editorial: Prime Minister's statement; Does he intend to impair 
trust between Japan and U.S.? 
 
SANKEI (Page 2) (Full) 
November 17, 2009 
 
Prime Minister Yukio Hatoyama's statement has brought about a 
situation that could impair the trust between Japan and the U.S., 
which is very regrettable. 
 
Regarding the Japan-U.S. ministerial-level working group to discuss 
the relocation of the U.S. Marine Corps' Futenma Air Station in 
Ginowan City, Okinawa Prefecture, the prime minister since right 
after the bilateral summit on Nov. 13 has stressed a view that is 
different from that of President Obama. 
 
Characterizing the working group as a vehicle intended to implement 
the agreement, including the relocation of the Futenma Air Station, 
the President expressed his hope to see the group finish its task 
swiftly. Prime Minister Hatoyama also stated, "I would like to 
 
TOKYO 00002667  003 OF 007 
 
 
settle the issue as soon as possible." 
 
However, the prime minister on the 14th revealed to reporters in 
Singapore his intention not to regard the implementation of the 
Japan-U.S. accord as a premise for establishing a working group. He 
said, "If that is the premise, there is no need to set up a working 
group." He also said, "I did not promise to settle the issue by the 
year's end." In a speech delivered in Tokyo on the 14th, too, the 
President categorically said, "In order to implement the Japan-U.S. 
agreement." 
 
If an agreement reached between top leaders is broken overnight, the 
meaning of a summit itself, a venue for reaffirming the alliance, 
would be negated. It is reasonable for Liberal Democratic Party 
Policy Research Council Chairman Shigeru Ishiba criticized the prime 
minister's statement, saying, "The statement is a betrayal (to the 
U.S.)." 
 
The prime minister should rectify his statement and re-acknowledge 
the significance of achieving a settlement before the year is out, 
based on the Japan-U.S. accord and arrangements between the 
governments of both countries. 
 
Any delay in settling the Futenma relocation issue would hamper the 
compilation of the fiscal 2010 budget late this year from the 
perspective of including related expenses in it. In the U.S. 
Congress, the Senate has substantively trimmed expenses for 
transferring 8,000 Marines stationed in Okinawa to Guam earmarked in 
the national defense budget legislation. The Japanese government's 
remaining unclear about the implementation of the agreement has 
reportedly affected this decision. 
 
A delay in the government's response will delay lessening the 
base-hosting burden of local residents in the vicinity of the 
Futenma Air Station, who have been complaining about the noise 
pollution and danger of the airfield. It will also prevent a smooth 
transfer of U.S. Marines to Guam. If the government is unable to 
come up with a feasible option other than the relocation of the 
Futenma functions to the coastal area of Camp Schwab, settling the 
Futenma issue over the existing plan by the end of the year would be 
a realistic and indispensable option. 
 
The Nago mayoral election in January next year will possibly 
complicate the city's acceptance of the Futenma relocation. The 
prime minister himself said at the summit, "Settling the Futenma 
relocation issue will become more difficult over time." However, he 
indicated a stance of waiting to see the outcome of the election. 
 
The state is responsible for making a decision on issues concerning 
the U.S. military's deterrence and the burden of Okinawa in a 
comprehensive manner. The prime minister's stance of waiting to see 
the outcome of a local election will raise a question about his 
capability to make a proper decision as the nation's leader. 
 
(3) 60 days of the Hatoyama administration (Part 1): The Prime 
Minister's "illusion" on the Japan-U.S. alliance 
 
YOMIURI (Page 4) (Full) 
November 15, 2009 
 
On Nov. 14, the day after the Japan-U.S. summit, foreign affairs and 
defense bureaucrats were voicing their expectation that the 
 
TOKYO 00002667  004 OF 007 
 
 
deadlocked Futenma relocation issue in Okinawa will now begin to 
move forward. 
 
They were saying: "Now that the President has spoken to him 
face-to-face, the Prime Minister probably understood America's 
determination." "The issue will probably move forward quickly." 
 
At the summit meeting on Nov. 13, President Barack Obama made a 
strong demand to Prime Minister Yukio Hatoyama about the 
implementation of the relocation agreement. While the Japanese side 
had expected that there would be no in-depth discussion of the 
Futenma issue due to the desire to play up the "success" of the 
summit, a senior Ministry of Foreign Affairs (MOFA) official 
revealed that "the President addressed the issue head-on." It was 
clear that what he meant by "time" is a solution before the end of 
the year. 
 
The President, in the belief that Hatoyama had expressed his 
"understanding," announced to the world in a speech in Tokyo on Nov. 
14: "We have agreed to move expeditiously through a joint working 
group to implement the agreement that our two governments reached." 
 
However, on the very same day, Hatoyama expressed his displeasure to 
reporters in Singapore: "I have not promised to resolve the issue by 
year's end." He further indicated that (the working group) will 
examine the issue from scratch and a conclusion will be put off 
until next year. This development served to undermine President 
Obama's speech, in which he referred to his agreement with the Prime 
Minister as an achievement of the summit meeting. 
 
The U.S. side has been perplexed since the inauguration of the 
Hatoyama administration, which advocates an "equal Japan-U.S. 
relationship," in September. The U.S. has experienced changes of 
administration through elections numerous times. Therefore, it had 
taken it for granted that "no matter what has been said during the 
election campaign, a pragmatic approach will be adopted once in 
power." It had also thought that the Hatoyama administration would 
conform to this "American common sense." 
 
The U.S. side had been optimistic that once the new Japanese 
government completed its policy review, it would come to understand 
the importance of the Japan-U.S. alliance. Therefore, Assistant 
Secretary of State Kurt Campbell and other officials have taken a 
soft approach of "watching and waiting patiently" since "it is the 
obligation of a close ally to listen." At the first bilateral summit 
in New York in September, the President did not mention the Futenma 
issue and did not even touch on U.S. Forces Japan (USFJ) realignment 
at all. 
 
In retrospect, senior MOFA officials realized that after the summit, 
Hatoyama and Foreign Minister Katsuya Okada came to have the 
"illusion" that "U.S. concerns about the Futenma issue are not that 
serious." 
 
Even with regard to the "deepening of the Japan-U.S. alliance," 
which is supposed to be the centerpiece of the summit meeting, 
subtle differences between the two leaders surfaced at their joint 
news conference on Nov. 13. 
 
"The Japan-U.S. alliance is not limited to security. The bilateral 
alliance can be deepened by cooperation between the two countries on 
disaster prevention, medical services, education, the environment, 
 
TOKYO 00002667  005 OF 007 
 
 
and other issues." 
 
The Prime Minister declared proudly that consultations on the 
"deepening of the Japan-U.S. alliance" will take place for one year 
and the President had agreed to this. According to close aides of 
the Prime Minister, he intends to put priority on cooperation in the 
non-military fields. 
 
However, the Japan-U.S. security treaty is premised on the U.S.'s 
defense of Japan and Japan's provision of military bases to the 
USFJ. There is no denying that the USFJ forms the basis of Japan's 
stability and prosperity. The U.S. will not accept a "deepening" of 
the alliance that does not take this fact into account. What 
Hatoyama is undertaking is a "transformation of the alliance." 
 
There is growing pessimism in Washington about the future because 
"most of the Democratic Party of Japan (DPJ) Diet members are 
politically left-of-center. Even if they come to control a majority 
in the House of Councillors after the election next summer, 
uncertain policies (toward the U.S.) will continue." (Bruce 
Klingner, senior research fellow at Heritage Foundation) 
 
"We share the same goal, and that is to provide for the defense of 
Japan. I am extraordinarily proud of the men and women in uniform 
from the United States who help us to honor our obligations to the 
alliance and our treaties." 
Contrary to Hatoyama's perception, the President implicitly demanded 
that Japan also take up a commensurate share of the responsibility 
by stressing military contribution. 
 
(Part 1 of ongoing series) 
 
(4) 60 days of the Hatoyama administration (Part 2): "Okinawa's 
feelings" complicate the issue 
 
YOMIURI (Page 4) (Full) 
November 18, 2009 
 
Prime Minister Yukio Hatoyama likes to use the terms "omoi 
(sentiments)" and "kokoro (feelings)" in public. He used these 
expressions again on Nov. 17 when talking to reporters about the 
relocation of the U.S. forces' Futenma Air Station in Okinawa. 
 
"While I accept the importance of the Japan-U.S. agreement, we need 
to attach importance to the sentiments of the Okinawa people." "I 
would like to make every effort, while studying the feelings of the 
people of Okinawa, to find out what sort of message will be 
acceptable to them." 
 
He also used "Okinawa's feelings" in his response to Diet 
interpellation. After hearing his remarks in the Diet in early 
November, a former senior Okinawan official remarked coldly: "Does 
Mr. Hatoyama have any idea what the local people think of the phrase 
'Okinawa's feelings'?" 
 
The term "Okinawa's feelings" has been a slogan used to unite the 
people of Okinawa by the movement against U.S. military bases 
founded on the local people's anger over the excessive burden 
imposed by the U.S. military bases occupying Okinawa's territory. 
With the Prime Minister using this expression thoughtlessly to defer 
a decision on the Futenma issue, "there is enormous expectation for 
the relocation of Futenma out of Okinawa" among the Okinawan people, 
 
TOKYO 00002667  006 OF 007 
 
 
according to Governor Hirokazu Nakaima. 
 
When Foreign Minister Katsuya Okada visited Okinawa on Nov. 16, the 
Okinawan people vented their anger on him. 
 
The town of Kadena is home to (parts of) the Kadena Air Base (KAB), 
which Okada is considering for a possible merger with the Futenma 
base. At the town government office, where the roaring sound of 
fighters taking off and landing reverberated, Mayor Tokujitsu Miyagi 
cited several serious KAB-related accidents, including the crash of 
a fighter from the air base onto an elementary school 50 years ago, 
and told the foreign minister in a very strong tone: "The merger 
plan is out of the question." 
 
Even when Okada explained that the merger will take place on 
condition of "reducing noise first," Miyagi brushed this off, 
asserting: "The national government has promised to reduce the 
burden many times in the past. The burden has not been reduced at 
all, but has rather been increased." 
 
Okada said at a news conference after the meeting: "After talking to 
the local leaders, I now have a better understanding of the 
reality." 
 
It is believed that Hatoyama places importance on the "feelings of 
the Okinawan people" because of his political philosophy that 
politics should reflect the citizens' opinions rather than state 
power, which is largely based on "liberalism." Behind his repeated 
statements that "we might look at the outcome of the Nago mayoral 
election (in January)" is the thinking that it is undesirable for 
the government to decide on the relocation site arbitrarily. It is a 
significant fact that the Democratic Party of Japan, Social 
Democratic Party, and People's New Party candidates won in all the 
single-seat districts in Okinawa in the recent House of 
Representatives election. 
 
For sure, even the Liberal Democratic Party (LDP) administrations 
"placed importance on popular will." However, in previous Nago 
mayoral races and Okinawa gubernatorial elections where the Futenma 
relocation was an issue, the LDP sent campaigners from the mainland 
to support the candidates accepting relocation to Camp Schwab behind 
the scenes. These were, in effect, "government-controlled 
elections." 
 
Nago Mayor Yoshikazu Shimabukuro says that with the government 
putting the question of accepting Futenma relocation to a vote in 
the local community, Nago was sharply divided between proponents and 
opponents of the relocation plan, making Nago a city of political 
strife. Shimabukuro also told Okada on Nov. 15: "I don't want to 
divide the citizens once again." 
 
In the mayoral election in January, the relocation opponents are 
planning to field a rival candidate to Shimabukuro, whose position 
is that "the acceptance of the relocation plan is inevitable." Since 
the LDP is now in opposition, he cannot expect the same level of 
support he enjoyed in past elections. Shimabukuro stated at a news 
conference on Nov. 12 that "I would welcome an alternative plan if 
one is proposed that would result in an early solution." He has 
begun to indicate the possibility of shifting his position of 
accepting the current relocation plan. 
 
The Prime Minister's political style of placing importance on the 
 
TOKYO 00002667  007 OF 007 
 
 
will of the local citizens may not be compatible with an issue 
affecting national security decisively. Okada told Shimabukuro on 
Nov. 15: "We cannot ask the citizens of Nago to make a decision on 
an issue that should basically be decided by the national 
government." 
 
ROOS