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UNCLAS SECTION 01 OF 08 TOKYO 000276 
 
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 02/10/10 
 
INDEX: 
 
1) Top headlines 
2) Editorials 
 
Defense & security: 
3) Gov't/ruling party team leaves for Guam today (Tokyo Shimbun) 
4) Bill would expand application of base subsidies (Asahi) 
5) Okada hopes for March release of report on secret nuclear accords 
(Asahi) 
 
Foreign relations: 
6) Okada to assist Ozawa with U.S. trip (Asahi) 
7) Foreign Minister Okada leaves for S. Korea today (Yomiuri) 
 
Politics: 
8) Bill revising National Civil Service Law would establish Kantei 
leadership in personnel matters (Yomiuri) 
9) Diet debate (Yomiuri) 
10) PM says DPJ says coalition will continue even though DPJ now has 
Upper House majority (Sankei) 
11) Edano chosen government revitalization minister (Tokyo Shimbun) 
 
12) Ishikawa will not give up Diet seat or quit party (Yomiuri) 
13) Ishikawa mulling quitting DPJ (Asahi) 
 
Economy: 
13) Toyota to recall 430,000 vehicles (Yomiuri) 
15) JAL confirms tie-up with American (Yomiuri) 
 
ARTICLES: 
 
1) TOP HEADLINES 
 
Asahi: 
Toyota admits to defects in its vehicles 
 
Mainichi: 
Chinese historians call Tiananmen Square incident "political 
unrest," showing difference from Japanese view 
 
Yomiuri, Sankei & Akahata: 
Toyota to recall 430,000 vehicles worldwide 
 
Nikkei: 
Toshiba to build new chip-making plant at cost of 800 billion yen 
 
Tokyo Shimbun: 
Hatoyama to appoint Edano as administrative reform minister 
 
2) EDITORIALS 
 
Asahi: 
(1) Failure of merger talks of beverage companies: Take up the 
challenge once again 
(2) Palestine: Do not forget Gaza's tragedy 
 
Mainichi: 
(1) Ozawa's news conference on remaining in post as DPJ secretary 
general: This is not the end of the story 
(2) Draft bill on postal reform: Purpose is unclear 
 
 
TOKYO 00000276  002 OF 008 
 
 
Yomiuri: 
(1) Draft bill on postal reform: Avoid the re-expansion of 
government-sponsored financial services 
(2) Failure of merger talks of major beverage companies: Difference 
in corporate culture significant 
 
Nikkei: 
(1) Review of financial regulations should be based on reality 
(2) Ukraine goes back to being pro-Russia 
 
Sankei: 
(1) Ozawa's declaration of "innocence": Nothing but a show of 
defiance 
(2) Malpractice by Koito Industries: Malicious neglect of safety 
 
Tokyo Shimbun: 
(1) Business taking advantage of the poor: Outrageous that 
government support should generate huge profits 
(2) Ukraine: Hope for balanced national administration 
 
Akahata: 
(1) Politics and money: Why hesitate to ban corporate political 
donations? 
 
DEFENSE & SECURITY 
 
3) Guam visit a journey of people with different dreams in the same 
bed 
 
TOKYO SHIMBUN (Page 2) (Full) 
February 10, 2010 
 
Members of the Okinawa Base Issues Review Committee, a joint panel 
of the government and the ruling parties, will leave Japan today for 
Guam to study where to relocate the U.S. military's Futenma airfield 
currently located in Ginowan, Okinawa Prefecture. The Social 
Democratic Party, which is aiming to move Futenma airfield out of 
Okinawa Prefecture or Japan, wants the Futenma airfield facility 
relocated to Guam. However, there are cautious arguments within the 
government from the perspective of maintaining deterrence. The Guam 
visit will be a journey of people having different dreams while 
sleeping in the same bed. 
 
Those participating in the Guam visit include Deputy Chief Cabinet 
Secretary Yorihisa Matsuno; Tomoko Abe, chief of the SDP's policy 
board; and Mikio Shimoji, chief of the People's New Party's policy 
board. Tomorrow they will visit Andersen Air Force Base and other 
facilities and hold talks with U.S. military officials. 
 
The committee met yesterday and confirmed its Guam itinerary. At the 
same time, it also decided that the SDP and the PNP will introduce 
their respective relocation candidate sites when it meets on Feb. 
¶17. 
 
Guam is to receive about 8,000 U.S. Marines from Okinawa in 
accordance with a "roadmap" based on an agreement between the 
governments of Japan and the United States regarding the realignment 
of U.S. forces in Japan. Guam's local communities are opposed to 
also accepting the functions of Futenma airfield. 
 
The government does not want the Futenma issue to have a negative 
impact on the roadmap, so in reality it wants the SDP to give up on 
 
TOKYO 00000276  003 OF 008 
 
 
relocation to Guam after visiting the island. 
 
The government is taking the careful step of visiting Guam in order 
to forestall criticism from the SDP that it failed to coordinate 
sufficiently with the ruling parties. 
 
4) Government to submit bill to expand application of military base 
subsidies 
 
ASAHI (Page 4) (Full) 
February 10, 2010 
 
The government adopted in a cabinet meeting yesterday a bill to 
amend the law related to improving the living conditions in areas 
surrounding defense facilities. The law stipulates the subsidy 
system for municipalities hosting bases of the Self-Defense Forces 
(SDF) and U.S. forces in Japan. The government submitted the 
legislation to the Diet on the same day. During budget screening by 
the Government Revitalization Unit, the government was asked to make 
the usage of subsidies more flexible and convenient. As a result, 
the government bill would allow the municipalities to use the 
subsidies for medical services, community bus operations, and other 
services. 
 
5) Okada: Secret nuclear pact report should be released in March 
 
ASAHI (Page 8) (Full) 
Eve., February 9, 2010 
 
Prime Minister Yukio Hatoyama, attending a House of Representatives 
Budget Committee meeting this morning, stated: "At a meeting of 
United Nations Security Council leaders last September, I mentioned 
that Japan, as a moral responsibility, will have to take the lead in 
denuclearization. Based on this belief, I'm determined to firmly 
maintain the three nonnuclear principles." Hatoyama thus indicated 
that the government will maintain Japan's three nonnuclear 
principles of "not producing or possessing nuclear weapons and not 
allowing nuclear weapons into the country." 
 
Hatoyama made this comment in reply to a question asked by Hideo 
Hiraoka, a House of Representatives member of the ruling Democratic 
Party of Japan. Concerning the existence of secret nuclear pacts 
between Japan and the United States, the Foreign Ministry conducted 
an investigation of facts in response to Foreign Minister Katsuya 
Okada's instructions and the ministry wound up the investigation 
last November. The ministry, in its fact-finding report, will unveil 
Japanese government documents that confirm the existence of 
documents that substantiate the arcane deals, the Asahi Shimbun has 
reported. 
 
The ministry will release its findings after an advisory panel of 
experts has verified the facts. 
 
Okada stated: "I hope the results of (the expert panel's) 
verification will be released in March. Also, I'd like to produce a 
report on the third party's interpretation of facts and (analysis 
of) historical backdrop (in addition to the ministry's fact-finding 
report)." 
 
FOREIGN RELATIONS 
 
6) Foreign Minister Okada: If Ozawa decides to visit U.S., I will 
 
TOKYO 00000276  004 OF 008 
 
 
support him 
 
ASAHI (Page 4) (Full) 
February 10, 2010 
 
Commenting at a press conference yesterday on U.S. Assistant 
Secretary of State Kurt Campbell's request for Democratic Party of 
Japan Secretary General Ichiro Ozawa to visit Washington in May, 
Foreign Minister Katsuya Okada said, "If the secretary general of 
the largest ruling party decides to visit the United States, I will 
support him." Asked by reporters about Ozawa's desire to meet with 
President Obama, Okada avoided commenting directly, saying, "I 
haven't heard any details about it." 
 
7) Foreign Minister Okada to leave for South Korea today 
 
YOMIURI (Page 2) (Full) 
February 10, 2010 
 
Foreign Minister Katsuya Okada will leave for Seoul today to hold 
talks with his South Korean counterpart. He will meet on Feb. 11 
with Foreign Affairs and Trade Minister Yu Myung-hwan and make a 
courtesy call on President Lee Myung-bak. In their foreign 
ministerial meeting, Okada and Yu are expected to agree to set up 
the third round of the Japan-South Korea Cultural Exchange Council, 
which comprises experts from the two countries. They will also 
reaffirm bilateral cooperation for an early resumption of the 
Six-Party Talks. 
 
POLITICS 
 
8) Government presents draft bill to amend National Public Service 
Act to strengthen Kantei's power of appointment 
 
YOMIURI (Page 2) (Full) 
February 10, 2010 
 
The government presented to the Cabinet Office policy council on 
Feb. 9 its draft bill to amend the National Public Service Act. The 
main provisions of the bill include the creation of a new "cabinet 
personnel bureau" in the Cabinet Secretariat and a "list of 
candidates for senior officials" across ministerial boundaries to 
allow the Prime Minister's Official Residence (Kantei) to take the 
initiative in personnel appointments. The Public Prosecutors Office 
and a number of other bodies are exempted from these rules. The 
draft bill is scheduled to be approved by the cabinet on Feb. 12, 
aiming at implementation from April 1. 
 
The list of candidate senior officials will include senior 
bureaucrats and private citizens who applied for job openings 
offered to the public who are judged to be qualified by the chief 
cabinet secretary through a screening process. Basically, senior 
bureaucrats in the ministries will be appointed from this list. 
However, there is also a provision stating that in order to achieve 
appointments on merit, including moving officials across ministerial 
boundaries, by the cabinet as a whole, the prime minister and the 
chief cabinet secretary will hold prior consultations on 
appointments with the ministers. The vice minister, who is the top 
bureaucrat, is regarded to be "of the same grade in the 
organizational structure" as the bureau director general. It will 
now be able to demote a vice minister to bureau director general, 
and it is also possible to demote a bureau director general to a 
 
TOKYO 00000276  005 OF 008 
 
 
department director general. 
 
Senior officials of the Public Prosecutors Office, the National 
Personnel Authority, the Board of Audit, and the National Police 
Agency are "exempted" from this unified personnel management under 
the list "in consideration of the specialized nature of their 
duties." Chief Cabinet Secretary Hirofumi Hirano says that the new 
system "will ensure greater neutrality and independence." With 
regard to the Imperial Household Agency and the Cabinet Legislation 
Bureau, while the list will be utilized, prior consultations with 
the prime minister or the chief cabinet secretary will not be 
required. 
 
Even for the appointments of senior bureaucrats that do not come 
under the list, there will still be room to make political decisions 
through a cabinet resolution. However, since the Democratic Party of 
Japan (DPJ) once showed a confrontational attitude toward the 
prosecutors over the violation of the Political Funds Control Law by 
Secretary General Ichiro Ozawa's fund management organization, the 
Rikuzan-kai, there is an opinion that the new bill "serves to dispel 
speculations that the DPJ plans to retaliate against the prosecutors 
through appointments." 
 
9) Gist of interpellations at Lower House Budget Committee on 
February 9 
 
YOMIURI (Page 13) (Excerpts) 
February 10, 2010 
 
Local suffrage for permanent resident foreigners 
 
Sanae Takaichi (Liberal Democratic Party): Do you plan to grant 
local suffrage to permanent resident foreigners? 
 
Prime Minister Yukio Hatoyama: There is still no consensus in the 
government. Since this is an issue relating to elections, all 
parties need to reach an agreement. We cannot push for this too 
forcefully. There are also issues relating to security. We are not 
yet in a position (to submit a bill) since the government has not 
drafted a plan. I do not think this requires a revision of the 
Constitution. 
 
Investigation of "secret agreements" 
 
Hideo Hiraoka (Democratic Party of Japan (DPJ)): When will the 
experts' committee investigating the "secret agreements" between 
Japan and the U.S. issue a report? 
 
Foreign Minister Katsuya Okada: The investigation of the experts' 
committee is a thoroughgoing process, and committee members are 
actively conducting hearings from persons related to these 
agreements. I am not able to say for sure, but I am hoping that a 
report will be issued at an appropriate time in March. 
 
Official development assistance (ODA) 
 
Koichi Yamauchi (Your Party): The ODA budget has been reduced 
considerably. 
 
Hatoyama: Under the tight fiscal situation, we will only implement 
projects that are absolutely necessary. The budget focuses on 
Afghanistan, Africa, the environment, and other such issues. 
 
TOKYO 00000276  006 OF 008 
 
 
 
Structural reforms 
 
Toshiaki Koizumi (DPJ): How would you assess the structural reforms 
of former Prime Minister Koizumi? 
 
State Minister for Financial Affairs Shizuka Kamei: They were meant 
to change the distribution of wealth and the industrial structure, 
but they did not result in an increase in the people's disposable 
income. If we do the opposite (of structural reforms), we can open 
up Japan's future. 
 
Okinawa's economic development 
 
Mikio Shimoji (People's New Party): Okinawa is in an economic 
crisis. 
 
Minister for Okinawa Affairs Seiji Maehara: The number of tourists 
visiting Okinawa, which had increased for seven consecutive years, 
declined last year. We will strive to attract tourists from foreign 
countries in addition to Japanese tourists. 
 
10) PM Hatoyama: Three-party coalition to be maintained despite 
DPJ's control of majority in Upper House 
 
SANKEI (Page 5) (Full) 
February 10, 2010 
 
The House of Councillors floor group consisting of the Democratic 
Party of Japan (DPJ), the Shin-Ryokufukai, the People's New Party 
(PNP), and the New Party Nippon (NPN) submitted to Upper House 
President Satsuki Eda on Feb. 9 a notification on the accession to 
the DPJ of former Liberal Democratic Party (LDP) member Kotaro 
Tamura. This floor group will now consist of 121 members, reaching a 
majority in the Upper House, not counting Eda (who normally does not 
take part in voting). 
 
Commenting on the fact that it will now be possible to pass bills 
without the cooperation of the Social Democratic Party (SDP), Prime 
Minister Yukio Hatoyama stated on the evening of Feb. 9: "This is a 
coalition government, so we would like to continue to work with the 
SDP and the PNP in a good cooperative relationship," indicating that 
he intends to maintain the current coalition framework. 
 
With Tamura joining the DPJ-led floor group, following is the number 
of seats held by each floor group in the Upper House: 
 
DPJ, Shin-Ryokufukai, PNP, NPN - 121 
LDP, Kaikaku Club - 82 
New Komeito - 21 
Japanese Communist Party - 7 
SDP, Goken Rengo - 5 
Independents - 6 
 
11) Hatoyama to appoint Edano as administrative reform minister 
 
TOKYO SHIMBUN (Top Play) (Excerpts) 
Feb. 10, 2010 
 
Prime Minister Yukio Hatoyama decided yesterday to appoint Yukio 
Edano, 45, former chairman of the Democratic Party of Japan's (DPJ) 
Policy Research Council, as administrative reform minister. Yoshito 
 
TOKYO 00000276  007 OF 008 
 
 
Sengoku now holds the posts of administrative reform minister and 
national policy minister concurrently. Sengoku will devote himself 
to his duties as national policy minister from now on, according to 
government sources. Hatoyama will summon Edano to the Prime 
Minister's Official Residence this morning and an attestation 
ceremony will be held at the Imperial Palace. 
 
The appointment of Edano is intended to reduce the heavy workload of 
Sengoku. Edano led the sessions to identify wasteful government 
spending last fall. Based on his performance at that time, Hatoyama 
judged Edano to have adaptable skills. Amid falling public support 
for the administration due to fund-raising scandals involving 
himself and Secretary General Ichiro Ozawa, Hatoyama also hopes to 
shore up his administration's standing by changing public 
sentiments. 
 
According to aides to Hatoyama, Ozawa has approved the appointment, 
but Hatoyama's selection of Edano, who distances himself from Ozawa, 
may affect the relationship between the cabinet and the DPJ. 
 
12) Lawmaker Ishikawa neither to resign nor leave DPJ 
 
YOMIURI (Page 1) (Excerpt) 
February 10, 2010 
 
Lower House member Tomohiro Ishikawa (36), who was indicted on a 
charge of allegedly violating the Political Funds Control Law in a 
land purchase made by Democratic Party of Japan Secretary General 
Ichiro Ozawa's political funds management body "Rikuzan-kai," on 
Feb. 9 told a press conference in Obihiro City, Hokkaido, "I would 
like to discharge the responsibilities given to me." He thus 
clarified his stance of neither resigning as a lawmaker nor leaving 
the party. 
 
13) Lawmaker Ishikawa likely to leave DPJ 
 
ASAHI (Page 1) (Excerpt) 
February 10, 2010 
 
Lower House member Tomohiro Ishikawa of the Democratic Party of 
Japan (DPJ), elected from the Hokkaido Constituency No. 11, who was 
indicted on the charge of allegedly violating the Political Funds 
Control Law (false reporting of political funds) in a land purchase 
made by DPJ Secretary General Ichiro Ozawa's fund management body, 
is now likely to leave the DPJ. Ishikawa consulted with close aides 
to Ozawa on his next course of action. He is expected to reach a 
final decision shortly. 
 
ECONOMY 
 
14) Toyota to recall 430,000 vehicles globally 
 
YOMIURI (Top Play) (Lead paragraph) 
February 10, 2010 
 
Toyota Motor Corp. informed the Land, Infrastructure, Transport and 
Tourism Ministry yesterday of a plan to recall about 220,000 cars in 
response to complaints about brakes in its four models of hybrid 
vehicle (HV), including the latest version of Prius. The company 
also notified authorities in the U.S. and Europe of a recall. Toyota 
will fix brake problems in a total of about 437,000 vehicles. When 
it was unveiled on Feb. 3 that Toyota had received complaints about 
 
TOKYO 00000276  008 OF 008 
 
 
its vehicles' brakes, the automaker explained there was no problem 
with their safety. But the company decided to recall the models for 
reasons including an increase in complaints from users and the 
ministry's judgment that the vehicles might not conform to safety 
standards. 
 
15) JAL, American Airlines to maintain alliance 
 
YOMIURI (Page 2) (Excerpts) 
February 10, 2010 
 
Japan Airlines (JAL), currently in the midst of court-protected 
corporate rehabilitation, formally announced on Feb. 9 that it would 
break off its tie-up talks with Delta Air Lines and maintain its 
business alliance with American Airlines. JAL and American Airlines 
will apply for antitrust immunity status (ATI) under the U.S. 
Antitrust Act with the U.S. government in mid-February so as to 
facilitate their joint operations on Pacific routes connecting Japan 
and the U.S. JAL's bankruptcy administrators' group, consisting of 
Chairman Kazuo Inamori and executives of the Enterprise Turnaround 
Initiative Corporation of Japan (ETIC), unanimously adopted the 
decision on JAL's business partner and notified Delta of their 
decision to terminate the tie-up talks. 
 
The battle between the two U.S. carriers to become JAL's business 
partner, which surfaced in September 2009, has ended with JAL's 
decision to continue and strengthen its business tie-up with 
American Airlines, a member of the Oneworld airline alliance to 
which JAL also belongs. 
 
ROOS