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RUCNDT/USMISSION USUN NEW YORK 8423

UNCLAS SECTION 01 OF 09 TOKYO 002872 
 
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 12/16/09 
 
INDEX: 
 
1) Top headlines 
2) Editorials 
3) Prime Minister's daily schedule (Nikkei) 
 
Futenma relocation: 
4) Prime Minister shelves relocation of Futenma facility to Henoko 
(Yomiuri) 
5) Japan informs U.S. of postponement of decision on Futenma 
relocation site  (Asahi) 
6) Foreign Minister will continue to work toward reaching a decision 
on Futenma relocation this year  (Tokyo Shimbun) 
7) Government fails to write scenario for Futenma; deadline shelved 
due to opposition from SDP  (Nikkei) 
8) Okinawans divided in their reaction to Hatoyama's nixing airfield 
relocation to Henoko  (Asahi) 
 
Foreign relations: 
9) Japan eager for new proposal on abolishment of nuclear weapons 
(Asahi) 
10) Okada says no-first-use pledge medium-to-long-term issue 
(Nikkei) 
 
Economy 
11) Rate of dependence on government bonds tops 50 PERCENT  for 
first time  (Nikkei) 
 
Politics: 
12) Communist Party Chairman Shii: "Ozawa should carefully read  the 
Constitution"  (Asahi) 
13) Cabinet to examine legal framework for government-region forum 
(Asahi) 
14) PM Hatoyama moves to quiet down controversy over Emperor's 
audience with PRC Vice President Xi Jinping  (Yomiuri) 
 
Environment: 
15) Prime Minister leaves for COP15 tomorrow  (Asahi)    9 
 
Opinion: 
16) Diet poll: SDP's opposition preventing constitutional-review 
panel from meeting  (Yomiuri) 
 
Articles: 
 
1) TOP HEADLINES 
 
Asahi: 
Government policy to postpone Futenma decision conveyed to U.S.; 
plan might be scrapped 
 
Mainichi: 
Supreme Court approves retrial of Fukawa murder-robbery case 42 
years after suspects arrested 
 
Yomiuri: 
Prime Minister intends to relocate Futenma to site other than 
Henoko; conclusion in several months eyed 
 
Nikkei: 
Japan, U.S., Europe agree to delay introduction of new capital 
adequacy rules for banks 
 
TOKYO 00002872  002 OF 009 
 
 
 
Sankei: 
Henoko issue; Prime Minister has eye on site other than Henoko; plan 
might be scrapped, making Futenma a permanent fixture 
 
Tokyo Shimbun: 
Retrial of Fukawa case set after arrest of two suspects 42 years 
ago 
 
Akahata: 
NTT East threatens to fire 700 contract employees if they refuse to 
be shifted to temporary worker status 
 
2) EDITORIALS 
 
Asahi: 
(1) Futenma decision postponed: Concern about Hatoyama diplomacy 
escalating 
 
Mainichi: 
(1) Government's base relocation policy: Futenma must not be made 
into permanent fixture; Prime Minister's leadership tested 
 
Yomiuri: 
(1) Futenma relocation: Postponing decision until next year without 
any prospects is wrong 
(2) Ozawa's demand in press conference for resignation of Imperial 
Household Agency chief completely inappropriate 
 
Nikkei: 
(1) Postponement of Futenma decision will endanger Japan-U.S. 
alliance 
(2) Policy to revitalize companies essential 
 
Sankei: 
(1) Emperor's audience with Chinese vice president as special 
exception: Ozawa still unaware of use of Emperor for political 
purposes 
(2) Futenma decision must not be put off 
 
Tokyo Shimbun: 
(1) Futenma postponed: Shift focus to relocation outside Okinawa or 
Japan 
(2) Chinese Vice President Xi's visit: Results damaged by clumsy 
diplomacy 
 
Akahata: 
(1) Screening state projects: Do not use efficiency to gauge 
culture 
 
3) Prime Minister's Official Residence (Kantei) 
 
Prime Minister's schedule, December 15 
 
NIKKEI (Page 2) (Full) 
December 16, 2009 
 
09:18 Attended meeting on budget compilation of the Ministerial 
Council on Basic Policies at the Prime Minister's Official Residence 
(Kantei). 
10:31 Attended meeting of the taskforce on reform of the system for 
physically-handicapped. Attended meeting of the growth strategy 
 
TOKYO 00002872  003 OF 009 
 
 
formulation council. 
11:25 Attended award ceremony of the Monozukuri Nippon Grand Award. 
11:57 Had lunch with new DPJ lawmakers and Diet Affairs Committee 
Deputy Chairman Mitsui at his official residential quarters. 
13:34 Met at Kantei with Foreign Minister Okada, Administrative Vice 
Minister Yabunaka, Deputy Minister Sasae, Asian and Oceanian Affairs 
Bureau chief Saiki. Okada, Sasae, and Saiki stayed behind. 
14:18 Met with Australian Prime Minister Rudd. Attended reception 
for report by International Committee on Nuclear Nonproliferation 
and Disarmament. 
15:15 Saw Rudd off. Met with Lower House member Keishu Tanaka. 
16:10 Met with Okada, METI Minister Naoshima, Senior Vice Finance 
Minister Noda, and Parliamentary Secretary for Environment Otani, 
followed by Land, Infrastructure, and Transport Minister Maehara. 
20:17 Arrived at his official residential quarters. 
 
4) Prime Minister intends to relocate Futenma to site other than 
Henoko; conclusion in several months eyed 
 
YOMIURI (Top play) (Excerpt) 
December 16, 2009 
 
Prime Minister Yukio Hatoyama last evening announced his intention 
to review the 2006 Japan-U.S. agreement on the relocation of the 
U.S. Marine Corps' Futenma Air Station in Okinawa and to look for 
new possible candidate sites other than the coastal area of Camp 
Schwab in Henoko, Nago, in the prefecture. The Prime Minister said 
that a conclusion will be reached in several months. Now that the 
selection of a relocation site for Futenma Air Station is likely to 
return to square one, there is no longer any chance of achieving 
Tokyo and Washington's goal of completing the relocation by 2014. 
Positioned as the core of the realignment of U.S. forces in Japan, 
the Futenma relocation is likely to have an impact on other 
realignment plans as well. A strong backlash from the U.S. 
government is expected. 
 
5) Government policy to postpone Futenma decision conveyed to U.S.; 
plan might be scrapped 
 
ASAHI (Top play) (Excerpt) 
December 16, 2009 
 
Prime Minister Yukio Hatoyama last night conveyed to U.S. Ambassador 
to Japan John Roos the government's policy of putting off for the 
time being its conclusion to the question of determining the 
relocation site for the U.S. Marine Corps' Futenma Air Station (in 
Ginowan, Okinawa Prefecture). Although the Prime Minister intends to 
continue looking into possible relocation sites, including the 
existing plan to relocate Futenma to Henoko in Nago within the 
prefecture, chances are slim that a breakthrough will be found 
before the end of the deadline. Negotiations between Japan and the 
United States have effectively returned to square one. 
 
6) Foreign minister will make further effort for settling Futenma 
issue within the year--a cynical message to PM? 
 
TOKYO SHIMBUN (Page 2) (Full) 
December 16, 2009 
 
At a press conference yesterday, Foreign Minister Katsuya Okada 
expressed his determination not to give up on resolving the issue of 
relocating the U.S. Marine Corps' Futenma Air Station before the end 
 
TOKYO 00002872  004 OF 009 
 
 
of the year, although the government has decided to put off settling 
the issue to next year. 
 
In order to minimize the negative impact on the Japan-U.S. 
relationship, Okada has continued calling on Prime Minister Yukio 
Hatoyama to resolve the issue within the year. 
 
With regard to yesterday's government policy, Okada revealed his 
perception that it is not the final policy because what the three 
parties have confirmed is that they will continue discussion on the 
issue. He said, "I hope that a direction will be decided on (before 
the end of the year after going through in-depth discussion)," 
indicating that he will make a further effort for settling the issue 
within the year." 
 
Political observers are taking a view that Okada might have wanted 
to ease the U.S. side's irritation by showing his resolve to settle 
the issue before the end of the year. It is also speculated that 
Okada sent a cynical message to Hatoyama, who made the decision to 
defer a conclusion without listening to his view. 
 
7) Government fails to write scenario for Futenma; deadline shelved 
due to opposition from SDP 
 
NIKKEI (Page 3) (Excerpt) 
December 16, 2009 
 
The government yesterday formally conveyed to the U.S. government 
its policy to postpone a decision on the relocation site for the 
U.S. Marine Corps' Futenma Air Station. The government has also 
shelved the idea of settling the matter by next May in deference to 
the U.S. side due to stiff resistance from the Social Democratic 
Party. Prime Minister Yukio Hotoyama has made clear his intention to 
explore possible alternative sites other than the existing plan to 
relocate Futenma to the coastal area of Camp Schwab (in Henoko, 
Nago). There is a deep gulf between Tokyo and Washington, which is 
calling for an early conclusion to the matter. The postponement of a 
conclusion without any scenario for the Futenma issue might 
destabilize the Japan-U.S. security arrangements. 
 
Government's policy on Futenma relocation 
 
Q Postpone a conclusion on the relocation site until next year. 
Q The three ruling parties will study new alternative candidate 
sites, as well as the existing plan. 
Q Propose to the U.S. side the establishment of a Japan-U.S. 
consultative body. 
Q Include relocation-connected spending in the fiscal 2010 budget 
based on the existing plan. 
Q Continue the environmental impact assessment premised on the 
existing plan. 
 
Major events related to Futenma relocation 
 
Late January Regular Diet session may be convened 
Jan. 24 Nago mayoral election 
 
March - May 
 Fiscal 2010 budget bill may be enacted 
 Fiscal 2010 budget-related bills may be enacted 
July  House of Councillors election 
 
 
TOKYO 00002872  005 OF 009 
 
 
November 
 Okinawa gubernatorial election (plan) 
 President Obama's visit to Japan to attend APEC (Yokohama) 
 
8) Mixed reactions in Okinawa to government's Futenma relocation 
policy 
 
ASAHI (Page 2) (Full) 
December 16, 2009 
 
After the Ministerial Committee on Basic Policies decided on the 
government's Futenma relocation policy, Okinawa Governor Hirokazu 
Nakaima picked his words carefully when surrounded by reporters 
asking for his comments: "I cannot possibly comment on this unless 
the government discusses the matter thoroughly and comes up with the 
closest thing to a concrete plan as soon as possible." 
 
While Nakaima has consistently maintained his position of accepting 
the Henoko relocation plan on certain conditions and has demanded an 
early solution from the government, he refrained from criticizing 
the government directly on Dec. 15, saying: "I am beginning to feel 
that it is better for the three parties to discuss this properly." 
 
Since the change of administration in Tokyo, there have been rising 
expectations in Okinawa for Futenma's relocation out of the 
prefecture. A growing number of members of the ruling parties in the 
prefectural government, the Liberal Democratic Party and New 
Komeito, have also begun to demand relocation out of Okinawa. 
Nakaima is becoming increasingly isolated. 
 
Meanwhile, there are expectations with regard to the decision to 
consider new relocation sites. Mayor Yoichi Iha of Ginowan City, 
where the Futenma base is located, welcomed the government's 
decision: "It is highly commendable that the Hatoyama administration 
did not bow to the strong pressure from the U.S. side and that it 
understands (the Okinawan people's sentiments) and has taken a step 
forward in dealing with this issue, including the consideration of 
new relocation sites." 
 
The two prospective candidates in the Jan. 24 mayoral election in 
Nago, where the designated relocation site under the existing plan 
is located, gave completely opposite comments. 
 
Mayor Yoshikazu Shimabukuro, who accepts relocation to Henoko, said: 
"This is regrettable." He reiterated his demand for the government 
to come up with a decision at an early date. The new mayoral 
candidate who is opposed to Futenma relocation, former Education 
Board chair Susumu Inamine welcomed the policy, saying: "(The 
mayoral election) will be a good opportunity to demonstrate the 
popular will." A source in the Inamine camp predicts that "this will 
be an election to put the relocation issue to a vote directly." 
 
Distrust of the Hatoyama administration runs deep because it has 
wavered for three months in handling this issue. Hiroshi Ashitomi, 
leader of a citizens' group conducting a sit-in protest against 
Henoko relocation, said: "It is meaningless if the decision is 
merely being deferred. Okinawa's anger will explode if after a few 
months, we are told that Henoko is being chosen after all. I hope 
the government understands that." 
 
9) Japan eager to come up with new proposal for nuclear-free world; 
key lies in cooperation with U.S 
 
TOKYO 00002872  006 OF 009 
 
 
 
ASAHI (Page 4) (Lead paragraph) 
December 16, 2009 
 
Following the release of a report by the International Commission on 
Nuclear Nonproliferation and Disarmament led by Japan and Australia, 
Foreign Minister Katsuya Okada announced yesterday that Japan would 
host an international conference on nuclear abolition in the latter 
half of next year. He expressed Japan's eagerness to take the 
initiative in international discussions on the matter, but it 
remains to be seen whether in-depth discussions can be conducted on 
nuclear policy at a time when Japan-U.S. relations are strained over 
the relocation of the U.S. Marine Corps' Futenma Air Station. 
 
10) 'No preemptive action' a mid- to long-term issue: Okada 
 
NIKKEI (Page 2) (Abridged) 
December 16, 2009 
 
Foreign Minister Katsuya Okada has indicated that no first use of 
nuclear weapons, which he has been advocating, is a mid- to 
long-term issue. "This is not something we can do right away, so we 
should hold talks with countries like the United States and 
Australia," Okada said in a press conference yesterday. Okada, in a 
press conference after becoming foreign minister, stated: "I wonder 
if a country that clearly says it will use nuclear weapons first is 
qualified to talk about nuclear disarmament." 
 
11) Degree of dependence on government bonds exceeds 50 PERCENT  for 
first time, with 9.3 trillion yen in issuance added in fiscal 2009 
second extra budget 
 
NIKKEI (Page 5) (Lead paragraph) 
December 16, 2009 
 
The government approved an extra budget draft for fiscal 2009 during 
a cabinet meeting yesterday. The draft entails 9.34 trillion yen in 
additional issuance of government bonds. As a result, the nation's 
growing budget deficit will be thrown into ever starker relief. The 
proportion of revenue dependent on sales of government bonds for 
fiscal 2009 has exceeded 50 PERCENT  for the first time. In 
formulating the fiscal 2010 budget, the government endorsed a basic 
policy of pursing the goal of capping the issue of new government 
bonds at approximately 44 trillion yen. But it now seems difficult 
to attain this goal. The government is trying to raise more than 10 
trillion yen from non-tax receipts. 
 
12) JCP Chairman Shii criticizes DPJ Ozawa's comment on meeting 
between Emperor, Chinese vice president: "Mr. Ozawa should closely 
read Constitution" 
 
ASAHI (Page 4) (Full) 
December 16, 2009 
 
Japanese Communist Party Chairman Kazuo Shii yesterday criticized 
Democratic Party of Japan (DPJ) Secretary General Ichiro Ozawa's 
remark made on Chinese vice President Xi Jinping's audience with the 
Emperor held yesterday. Ozawa said: "The Constitution stipulates 
that the Emperor should perform acts in matters of state as advised 
and approved by the cabinet. I wonder if he (Imperial Household 
Agency Grand Steward Shingo Hakeda, who refused the government's 
request to arrange the imperial meeting) has read the Constitution 
 
TOKYO 00002872  007 OF 009 
 
 
of Japan." Reacting to this remark, Japanese Communist Party 
Chairman Kazuo Shii said yesterday: "Mr. Ozawa should also closely 
read the Constitution." 
 
In light of Article 7 of the Constitution, Shii told reporters: 
 
"An audience with the Emperor by a visiting foreign dignitary is not 
categorized as a national event. Such a clause is not included (in 
the Constitution). That is deemed as an official duty.... The 
Constitution indicates that political intentions should not be 
reflected in official duties. If the government is involved in the 
Emperor's activities, the activities will be linked to political 
interests and infringe on the spirit of the Constitution." 
 
Meanwhile, People's New Party President Shizuka Kamei defended Prime 
Minister Yukio Hatoyama's stance in a speech yesterday. He said: 
"The Constitution stipulates that national events should be 
conducted based on the cabinet's advice and approval." Asked for his 
view about Ozawa's call for Hakeda's resignation, Kamei replied: "He 
he is a good person so he does not need to resign." 
 
13) Internal Affairs Ministry to set up consultative panel with 
local governments 
 
ASAHI (Page 4) (Full) 
December 16, 2009 
 
Internal Affairs and Communications Minister Kazuhiro Haraguchi 
announced yesterday that his ministry will set up a working-level 
study group on the legalization of a consultative panel composed of 
the central government and local governments as pledge by the 
Hatoyama cabinet. Five government officials, including Deputy Chief 
Cabinet Secretary Koji Matsui, and three local government heads, 
including Kyoto Gov. Keiji Yamada, will confer on the topics and 
formats for discussions. Kaoru Kurata, mayor of Ikeda City in Osaka, 
and Tetsuo Furuki, mayor of Waki Town in Yamaguchi Prefecture, will 
participate in the working-level group. The group will hold its 
first meeting on Dec. 18 at the Prime Minister's Official Residence 
(Kantei). 
 
14) PM Hatoyama moves to quiet down controversy over Emperor's 
audience with PRC Vice President Xi Jinping 
 
YOMIURI (Page 4) (Full) 
December 16, 2009 
 
Prime Minister Yukio Hatoyama, who is being criticized for "using 
the Imperial family for political purposes" by making an exception 
in ordering the arrangement of an audience of the Emperor with 
Chinese Vice President Xi Jinping, intends to quiet down this matter 
following the meeting that took place on Dec. 15. However, harsh 
criticism continues to come from the opposition parties, and the 
uproar has not subsided. 
 
This issue started with Democratic Party of Japan Secretary General 
Ichiro Ozawa's criticism on Dec. 14 of Imperial Household Agency 
(IHA) Grand Steward Shinto Haketa, who expressed concerns about 
Hatoyama's order for the audience. 
 
Hatoyama told reporters at the Prime Minister's Official Residence 
(Kantei) in the late afternoon of Dec. 15: "The meeting that took 
place in an amicable atmosphere was good for bilateral relations. 
 
TOKYO 00002872  008 OF 009 
 
 
The Secretary General did make his statements, but for me, the fact 
(that the meeting was realized) is all that matters." Chief Cabinet 
Secretary Hirofumi Hirano also commented on Haketa's expression of 
concern at his news conference in the morning, saying: "It was his 
view as the grand steward," indicating that this was acceptable 
 
Certain government and ruling party officials are demanding a review 
of the custom of requiring a written request at least one month in 
advance for meetings of the Emperor with foreign dignitaries. Deputy 
Chief Cabinet Secretary Yorihisa Matsuno summoned IHA Councillor 
Hirofumi Oka to the Kantei in the late afternoon of Dec. 15 and 
asked him to give an explanation on the one-month rule. However, the 
dominant opinion favors settling this issue at an early date because 
"the situation will only get worse the more this issue is 
discussed." The call for Haketa's resignation made by Ozawa is also 
dying down. 
 
However, there is still strong criticism against the government. 
Liberal Democratic Party (LDP) Policy Research Council Chairman 
Shigeru Ishiba stated on Dec. 15: "(The rule) should not be 
influenced by the government in power at a specific time." 
 
Minister of Land, Infrastructure, Transport, and Tourism Seiji 
Maehara refuted the LDP at a news conference on Dec. 15, saying: "I 
understand that a former prime minister had inquired about the 
possibility of an audience (with the Emperor). This came to the 
Kantei from an LDP person." LDP President Sadakazu Tanigaki retorted 
with: "If China had asked a former prime minister from our party, it 
is possible that he might have inquired about the possibility of an 
audience. However, if he was told about the one-month rule, he would 
accept that immediately." The controversy goes on. 
 
15) Prime Minister Hatoyama to leave tomorrow for Denmark to attend 
COP15 
 
ASAHI (Page 1) (Full) 
December 16, 2009 
 
Chief Cabinet Secretary Hirofumi Hirano announced yesterday at a 
press conference that Prime Minister Yukio Hatoyama will visit 
Denmark on Dec. 17-19 to attend the summit-level meeting of the 15th 
session of the Conference of the Parties to the UN Framework 
Convention on Climate Change (COP15). Hatoyama intends to advocate 
Japan's leading role in reducing global greenhouse gas emissions and 
propose a political agreement incorporating emission reduction 
commitments by major countries. 
 
16) Diet poll: SDP's opposition prevents Constitutional review panel 
from meeting 
 
YOMIURI (Page 4) (Full) 
December 16, 2009 
 
In a recent survey of all Diet members, 59 PERCENT  of respondents 
approved of starting the Deliberative Council on the Constitution at 
an early date, while 12 PERCENT  were against it. The council was 
set up in both houses of the Diet in 2007 under the National 
Referendum Law but has yet to meet. 
 
In the survey, respondents were asked if they thought that the 
Constitution of Japan should be kept intact with no amendments to 
any of its provisions. In response to this question, the greater 
 
TOKYO 00002872  009 OF 009 
 
 
part of them answered "no." Of course, those lawmakers in favor of 
amending the Constitution answered "yes" when asked if they thought 
that the council should meet. Even among those insisting on 
protecting the Constitution, more than 20 PERCENT  answered 
affirmatively. Nevertheless, the council has yet to meet. The reason 
is evident in the breakdown of answers by political party. 
 
Among those respondents from the Democratic Party of Japan, 44 
PERCENT  answered "yes," with 11 PERCENT  saying "no." In the case 
of the Social Democratic Party, however, all of those who responded 
to the survey answered "no." That is because the two ruling 
coalition parties could fissure once the council begins to meet. 
Among those DPJ respondents, those who answered that they "can't say 
which" accounted for 44 PERCENT . This also can be taken as 
reflecting such concern. 
 
ROOS