Thursday, April 27, 2006

$ 26 billion bill coming Japan's way: Pentagon

    Thursday, April 27, 2006

    WASHINGTON (Kyodo) Tokyo will be paying an estimated $ 26 billion or more to implement the overall U.S. military realignment in Japan over six to seven years, compared with Washington's share of $ 4 billion, a senior Pentagon official said Tuesday.

    Richard Lawless, deputy defense undersecretary for Asia and Pacific affairs, unveiled the estimates at a news conference when repeatedly asked why the United States struck a compromise Sunday with Japan on sharing the cost for relocating 8,000 marines to Guam from Okinawa.

    Japan agreed to pay $ 6.09 billion, or 59 percent, of the $ 10.27 billion total relocation cost through grants, investment and loans. The U.S. had asked Japan to pay $ 7.5 billion, or 75 percent, of the earlier estimated cost of $ 10 billion.

    "The only cost to the United States is $ 4 billion on Guam," Lawless said, arguing the deal was a "fairly struck bargain" in the broader context of Japan shouldering all the costs for changes within Japan, including the relocation of the marines' Futenma Air Station in Okinawa, on top of its Guam share.

    "On the whole islands of Japan, including Okinawa, let us say it is approximately $ 20 billion. Adding to that their costs on Guam . . . makes that total about $ 26 billion," Lawless said. "It is their responsibility.

    "But these are very rough, probably reasonably conservative estimates," Lawless said.

    "This is a large expenditure on their part, a huge investment on their part in the alliance," he said. "So when you look at it in that context, we feel that this is a fairly struck bargain, that we are sharing costs on a reasonable basis on that Guam discrete portion of that budget."

    Given the Pentagon estimate, Chief Cabinet Secretary Shinzo Abe reacted sharply. "In my impression, it is an incredible sum of money," he said Wednesday in Tokyo.

    A senior government official told reporters separately he doubts $ 26 billion is the exact total. He said the Pentagon may be inflating the figure to help persuade Congress to approve the realignment project.

    Japan does not have to pay some costs mentioned by Lawless, the official said.

    Meanwhile, senior working-level talks began Monday in Washington to finalize an overall implementation plan and set the stage for holding a "two-plus-two" top security meeting of the two nation's top defense and foreign affairs officials early next week.

    They "are now going over some very fine tuning" so they can compile "a comprehensive implementation plan to present to our leadership either later this week or early next week," said Lawless, who is taking part in the talks.

    But they had not completed it as of Tuesday, and the top security meeting will not be held unless the two sides resolve all issues and finalize the plan to implement the overall realignment agreement reached last October, Lawless said.

    "The two-plus-two meeting is something that we will be prepared to move forward with, ideally next week, but we will only have a two-plus-two meeting if we reach agreement on the entire package," he said.

    Japanese officials said the senior working-level talks will continue Wednesday.

    Lawless said it is still the goal to complete the realignment by 2012 after beginning the actual implementation this year.

Government: U.S. troop move cost exaggerated



Yomiuri Shimbun (Japan), Apr 27, 2006

Apr. 27--TOKYO -- Japan may have to spend more than 2 trillion yen to assist in the realignment of U.S. forces in the next six to seven years, although the U.S. estimation has been said by Tokyo to be exaggerated, government sources said Wednesday.

"There will be about 1.5 trillion yen spent [regrouping bases] in Japan alone, and the total [spent on U.S. force realignment by Japan] likely will be more than 2 trillion yen," a senior Defense Agency official said in his reaction to the figure of $26 billion, or about 2.89 trillion yen, mentioned in a statement by U.S. Deputy Defense Undersecretary Richard Lawless.

Lawless said in Washington on Tuesday the cost of realigning U.S. forces in Japan, which he hopes to complete in 2012, will be about $26 billion. "It is their [Japan's] responsibility [to cover that cost]," Lawless said.

The $26 billion figure includes the cost of relocating U.S. marines from Okinawa Prefecture to Guam, Lawless said.

Chief Cabinet Secretary Shinzo Abe said Wednesday his impression of the figure $26 billion that Lawless mentioned was "extraordinary."

But Abe added he was aware there would be a need for an "appropriate" amount of spending out of the budget, adding that the Defense Agency and the Finance Ministry would be dealing with the U.S. request.

A senior Defense Agency official said the figure Lawless presented was perhaps a little exaggerated. "The U.S. administration, because of its concerns in Congress, needed to emphasize the costs Japan would be asked to shoulder," the official said.

Prime Minister Junichiro Koizumi also said the U.S. government needed to impress its domestic audience.

"There are views held among the American public that Japan's defense burden is too small compared to theirs. [Lawless' remarks] were spoken with an eye on American public opinion," Koizumi said Wednesday.

The government, however, has yet to scrutinize exactly how much would be needed for the overall regrouping of U.S. forces in Japan, officials admitted.

If Lawless' estimation was accurate, Japan would have to pay nearly 500 billion yen annually until 2012, the target year for the completion of the realignment. That would equal roughly 10 percent of the nation's annual defense-related budget, which is about 4.8 trillion yen for the fiscal 2006.

The Finance Ministry, which advocates an overall reduction in government spending, insists all funds needed for assisting U.S. forces' regroup should be raised out of the defense-related budget.

On Tuesday, before Lawless' remarks were reported, Finance Minister Sadakazu Tanigaki spoke of the need to consider cutting the 24.24 trillion yen five-year defense build up program for fiscal 2005 through 2009 if Japan is to assist with the U.S. forces realignment.

Guam relocation deal result of horse-trading



Yomiuri Shimbun (Japan), Apr 27, 2006

Apr. 27--TOKYO -- The arrangement to split the cost of relocating U.S. marines from Okinawa Prefecture to Guam was finally settled in a rare forum--ministerial level talks.

Defense Agency Director General Fukushiro Nukaga had made sophisticated preparations before the heated negotiations with U.S. Defense Secretary Donald Rumsfeld before reaching Sunday's agreement.

Before meeting with Rumsfeld, Nukaga made two preparations.

One was a secret early-morning meeting with U.S. Ambassador to Japan Thomas Schieffer at which Nukaga told the ambassador, "The moment for U.S. military realignment [in Japan] will be missed unless it is done when the prime minister is [Junichiro] Koizumi and the defense chief is me," according to government sources.

Schieffer agreed and said he would convey the message to Rumsfeld.

Schieffer is a close friend of U.S. President George W. Bush and has influence at the Pentagon.

Nukaga's second action was a visit the same morning to the Arlington National Cemetery near Washington, where he offered a silent prayer in front of the graves of U.S. soldiers.

His aides said Nukaga decided to do so after considering overnight what he should do before meeting Rumsfeld. He took the action because he was informed Rumsfeld was scheduled to visit U.S. soldiers injured in Iraq before attending the meeting.

A senior diplomat in the Japanese Embassy in Washington also advised Nukaga, "If you immediately begin talking about money, the meeting will fall apart in 10 minutes," according to the sources.

At the start of their meeting in the evening, Nukaga told Rumsfeld he had visited the cemetery and that Japan supported the United States for having fought terrorism and threats of weapons of mass destruction, and having made efforts for world peace and justice.

Rumsfeld, long considered a hawk in the U.S. government, said he thanked Japan for its contributions, with slightly teary eyes, the sources said.

Though the talks started in a friendly mood, Rumsfeld kept his hard-line stance about the meeting's main agenda. He continued to demand that Japan should shoulder 75 percent of the total cost of the relocation.

Rumsfeld told Nukaga it is rare that an economic power such as Japan spends only 1 percent of its gross domestic product for defense, and it was Japan that demanded the relocation of the marines to Guam.

Nukaga replied the Japanese public would not be convinced the nation should shoulder 75 percent of the burden. He reiterated Tokyo's demand that Washington should show detailed calculations over how much is needed to relocate the marines.

Nukaga also mentioned a compromise option presented by Schieffer, which proposed that one-third of the cost be paid through direct spending by Japan, one-third with Japan's investment and loans, and one-third by direct spending by the U.S. government.

"We can't accept a plan of roughly dividing into three. Japan's direct spending should be smaller than that of the United States. Prime Minister Koizumi has the same opinion. We can't compromise over this point at any cost," Nukaga told Rumsfeld, according to the sources.

Nukaga adhered to the point because, unlike loans which will be later paid back, the direct spending will not be recovered.

Nukaga and Rumsfeld continued arguing the point for an hour. After a break, Rumsfeld softened his stance.

As an alternative demand, the U.S. side asked for $1 billion in financial assistance for the construction of a highway connecting a port and a U.S. Air Force base in Guam.

But the demand was withdrawn after Nukaga replied that offering the money was possible if it is in the form of investment or loans, but not as direct spending.

The U.S. side presented the final proposal that the total cost would be $10.27 billion, of which Japan should pay $6.09 billion, or 59.3 percent.

Japan's direct spending amounts to $2.8 billion, less than the United States' $3.18 billion.

Rumsfeld urged Nukaga to make a decision, saying the negotiations would be broken off if the Japanese side did not accept the final proposal.

The amounts were in the range Nukaga and the Finance Ministry had agreed was acceptable just before his departure to the United States.

Nukaga told Rumsfeld he would accept the terms three hours after their talks started.

Rumsfeld seemed to be satisfied and even joked that Nukaga would be happier if his agency was upgraded to a ministry.

Okinawa officials pleased with realignment deal

By David Allen and Chiyomi Sumida
Stars and Stripes
Pacific edition, Thursday, April 27, 2006

CAMP FOSTER, Okinawa — Okinawa officials are pleased the United States and Japan finally agreed on how to pay for transferring to Guam about half of the Marines now stationed on Okinawa.

“We laud the agreement … which will … reduce the burden of Okinawa,” Yoritaka Hanashiro, director general of the Okinawa governor’s executive office, said Tuesday.

“Okinawa … has requested moving all Marines out of Okinawa and Japan,” he said, so transferring about 8,000 of them “is a great step forward. … We hope that the move will take place as promptly as possible.”

Takemasa Moriya, Japan Self-Defense Force vice minister, Monday said moving III Marine Expeditionary Force headquarters and other units to Guam would take at least eight years.

“The U.S. requested Japan to complete the move within eight years,” Moriya said. “However, the starting date is yet to be determined. The … transfer would begin only after a moving plan is finalized.”

Early Monday Japan time, Donald Rumsfeld and Fukushiro Nukaga, U.S. and Japanese defense chiefs, emerged from a three-hour Washington meeting agreeing that Japan will pay roughly 59 percent of the move’s estimated $10.27 billion cost.

The deal removes the last major obstacle to a broad plan to realign U.S. troops in Japan.

The move also will lead to closing major U.S. military bases south of Kadena, Hanashiro said.

“Although the bases are yet to be officially named, all the military installations south of Kadena Air Base are situated in urban areas … and return of the military land will have a significant impact on Okinawa’s economy.”

He said the prefecture will seek to ensure Japanese base workers who lose their jobs due to base closures will be compensated, adding, “Securing jobs for these people is also important.”

Moriya said Japan’s government would continue to seek public support for the move.

“Moving Marines from Okinawa to Guam will contribute to reducing the burden Okinawa has shouldered and at the same time, will ensure the stable presence of the U.S. military in the region, which is necessary for regional stability,” he said. “We need to make the public understand that this agreement best serves the interests of both Japan and the United States.”

That understanding may not be easy to achieve. Japan’s major opposition party, the Democratic Party of Japan, on Tuesday requested a hearing in the Diet on how the cost of moving Marines to Guam was determined.

And opposition candidates won in city mayoral elections Sunday in Iwakuni, where a Marine Corps air station is to be expanded, and Okinawa City, host to the largest U.S. air base in the Pacific. Under the agreement, Japan’s Air Self-Defense Force is to conduct some training on Kadena Air Base. Both of the new mayors oppose such moves.

In Tokyo on Tuesday, Nukaga said Rumsfeld held out on the U.S. request for Japan to fund 75 percent of the Guam move “right up to the very last moment.”

The deal calls for Tokyo to pay $2.8 billion outright and an additional $1.5 billion in investments and $1.79 billion in loans. Japan would recoup the investments and loans, Nukaga told reporters.

A Self-Defense Force spokesman said the outright grants would go to build the Marine headquarters, other military-related construction and schools. The investments would be made to a yet-to-be-named entity for housing construction. The loans would go toward funding utilities.

Wednesday, April 26, 2006

Japanese officials surprised by realignment cost estimate

By Hiroko Tabuchi
The Associated Press
Stars and Stripes online edition, Wednesday, April 26, 2006

TOKYO — Top Japanese officials on Wednesday expressed shock at a U.S. estimate that put the price tag for the planned reshuffling of U.S. forces in Japan at $26 billion or more.

“My impression is that’s an incredibly huge amount of money,” Chief Cabinet Secretary Shinzo Abe told a news conference, saying he couldn’t comment further because he wasn’t aware of the details.

“Where did you get that number? Don’t tell me groundless stories,” a shocked-looking Foreign Minister Taro Aso earlier said on TV Asahi. “We shouldn’t overreact over one official’s estimate.”

Japan and the United States are negotiating details of a plan that would streamline the 50,000 U.S. forces based in Japan and to give Japan’s military greater responsibility for security in the Asia-Pacific.

U.S. Deputy Undersecretary of Defense Richard Lawless said Tuesday he estimated costs of the overall realignment at about $26 billion. Japan’s annual defense budget is $42 billion.

“This is a huge investment on their part in the alliance, and we recognize it as such,” Lawless said Tuesday.

The estimate includes the $6 billion Tokyo has agreed to pay to move 8,000 Marines from the Southern Japanese island of Okinawa to Guam, a U.S. Pacific island territory.

The U.S. has said it will contribute $4 billion toward transfer costs.

Prime Minister Junichiro Koizumi tried to dispel Japanese worries over the price tag late Wednesday.

“Mr. Lawless must be heeding U.S. public sentiment that though the U.S. bears so much responsibility for Japan’s defense, Japan’s burden is too light,” Koizumi told reporters at his official residence.

A Defense Ministry official who spoke on condition of anonymity, citing protocol, said the Japanese government hadn’t been given an official cost estimate for the reshuffle.

“We understand the details of the realignment, including costs, are still under negotiation,” the official said.

The planned realignment has met with some opposition in Japan.

Local governments and civic groups have argued that priority should be given to reducing those forces and returning the bases to Japanese control.

Others oppose plans to deploy a nuclear-powered naval carrier to Japan for the first time, citing security concerns.

Japan is Washington’s top ally in East Asia and has been a staunch supporter of the U.S.-led invasion of Iraq, dispatching troops there in 2004 to carry out humanitarian tasks. Japan’s navy also provides fuel for coalition warships in the Indian Ocean.

Okinawans say U.S. military still a problem

04/26/2006
The Asahi Shimbun

NAHA--Just because Tokyo and Washington reached agreement on paying for the relocation of U.S. Marines to Guam, Okinawan concerns about the U.S. military presence did not magically disappear.

"From the standpoint of Okinawa Prefecture, the issue does not come down to costs but how far our burden can be eased," Reiji Fumoto, a prefectural government official in charge of base issues, said Monday.

"Now at last, the reversion of bases in Okinawa will truly begin."

Japan and the United States have agreed to transfer about 8,000 of the total 15,000 U.S. Marines in Okinawa Prefecture to Guam. About 9,000 family members will move, too.

However, the personnel being relocated are mainly in command duties. Most of the operational units will remain in the prefecture, doing little to help ease residents' concerns about accident risks, noise pollution and crime.

"Among those who commit crimes in Okinawa, there are many young Marines in operational units," said Suzuyo Takazato, 66, a former Naha city assemblywoman committed to resolving military base issues.

Tokyo and Washington also plan, via rearranging military units, to return about 1,500 hectares of land currently occupied by military bases south of Kadena to their owners.

Even if all that land is returned, though, it constitutes less than 10 percent of the 23,000 hectares taken up by U.S. military facilities in Okinawa.

Some owners of base land and Japanese who work there say they are being left in the lurch.

The central government pays 76.5 billion yen annually to lease the land for U.S. bases in the prefecture. It will guarantee that amount for three years after the land plots are returned, but no longer.

The closure of the military areas could also mean a massive loss of jobs.

"The land was seized arbitrarily and now it's being returned arbitrarily. We can't handle that," said Urasoe Mayor Mitsuo Gima.

Urasoe is home to the 273-hectare Marine Makiminato Service Area, one of the land plots to be returned.(IHT/Asahi: April 26,2006)

DoD News Briefing with Lawless and Grone :: April 25, 2006

    U.S. Department of Defense
    Office of the Assistant Secretary of Defense (Public Affairs)
    News Transcript
    On the Web:
    http://www.defense.gov/Transcripts/Transcript.aspx?TranscriptID=1271
    Media contact: +1 (703) 697-5131/697-5132

    Public contact:
    http://www.defense.gov/landing/comment.aspx
    or +1 (703) 428-0711 +1

    Presenter: Deputy Undersecretary of Defense for Asia and Pacific Affairs Richard Lawless and Deputy Undersecretary of Defense for Installations and Environment Philip Grone April 25, 2006 12:00 PM EDT

    DoD News Briefing with Deputy Undersecretary Lawless and Deputy Undersecretary Grone

    DoD News Briefing with Deputy Undersecretary Lawless and Deputy Undersecretary Grone

    MODERATOR: Good afternoon, everybody. As you know, the U.S.- Japan security relationship remains vital to both our countries and to the entire Asia-Pacific region. We've been working with Japan to transform our alliance and are making important progress in those consultations. Because of the importance of this relationship and the recent progress that has been made, we felt it would be helpful to ask two senior Defense officials to share some time with you on this subject. So for about 30 minutes today we have Deputy Undersecretary of Defense for Asia and Pacific Affairs Mr. Richard Lawless and Deputy Undersecretary of Defense for Installations and Environment Mr. Philip Grone.

    And with that, I'll turn it over to you gentlemen.

    MR. LAWLESS: Okay. Thank you very much.

    Phil and I are pleased to be with you here today. What we wanted to do is put the events of the weekend, particularly the highlight that Secretary Rumsfeld's meeting with Defense Minister Nukaga received in the press here and in Japan. And it's important, I think, for us to allow you to understand and make the connection, put that meeting in context, of the fact that what we're really doing here is completing one last important piece of a much larger and much more important arrangement. The Guam piece, the Marine relocation to Guam, should be seen in the context of a whole range of changes we are making to transform the alliance, and that involves both a major realignment of U.S. bases in Japan, a major change in the way we base ourselves and our partners in the alliance -- the Japanese self- defense forces -- as well as a range of changes we're making in the way that we operate and operationalize the relationship.

    All of these changes were previewed to a degree with an agreement in principle that we reached back in late October, October 29th, 2005, and then captured in a document at a ministerial level meeting, which we called Alliance Transformation Realignment.

    In that document, we committed to reach agreement on all of the detailed implementation plans that were to require -- that would be required to realize these changes by March 2006. Obviously, we're a little bit behind that timeline, but not by much. We've basically pulled together all the components of that package, reached agreement in details and in principle on all of these components, and one of the remaining issues that we hadn't resolved as of this past weekend, until Sunday night, was the Marine relocation to Guam.

    That issue has now been resolved. It will be retailored back into the entire package, and hopefully with the decisions and discussions that are going on today -- we have a Japanese delegation with us today in the building that are working on some of the fine points of that agreement -- we will have a comprehensive implementation plan to present to our leadership either later this week or early next week.

    And that's where we are, and I wanted to put the Guam piece of this into context because it's a very important part, but it's just one part of something that's much, much larger in this relationship between ourselves and the government of Japan.

    With that, what I'd like to do is open this up for some questions, perhaps, and we can respond to any concerns or inquiries you might have.

    Please?

    Q: Would you have the two-plus-two to finalize the negotiation with the Japanese government?

    MR. LAWLESS: The two-plus-two is something we will be prepared to move forward with ideally next week, but we will only have a two- plus-two if we reach agreement on the entire package. And we are now, as I say, going over some very fine tuning on that package, but I cannot say that that package has been completed as of today.

    Q: Could you also explain that if Russia is behind the move -- moving the Marines from Okinawa to Guam, what's the benefit from the U.S. side?

    MR. LAWLESS: Well, it isn't a benefit. As Secretary Rumsfeld I think characterized that we've reached agreement Sunday night on an arrangement that benefits both countries.

    So the issue here is that the government of Japan asked us in the context of alliance transformation to see if there wasn't a better way that we could arrange ourselves, possibly reducing, as the government of Japan says, the burden on the people of Japan, but at the same time making sure that we do nothing to in any way reduce the credibility and the deterrent power of the American presence as it contributes to the alliance and peace in the Pacific.

    I think that what we've done is, we've hit upon a solution that allows us to do both those things: maintain credibility, maintenance deterrence, but at the same time relocate a portion of the Marines to a position in the Western Pacific that still makes them immediately relevant to the defense of Japan. And that's the balance we've struck with this particular arrangement.

    The other issue that relates to the Marine relocation from Guam -- it's 8,000 Marines that are -- excuse me -- the relocation to Guam -- 8,000 Marines, approximately, will be leaving Okinawa. That allows us to do some other things there. That allows us to consolidate -- and the consolidation of our footprint is a separate, discrete, very important element of what's going on -- consolidating our footprint on Okinawa, thereby giving back or being able to return land to the Japanese people, very valuable land, on Okinawa, particularly in the south.

    So that's part and parcel of this whole arrangement -- a very important component.

    Yes?

    Q: You've gone over one of the biggest hurdles. Can you us an idea of what are the smaller sticking points that you have to resolve before you get final agreement?

    MR. LAWLESS: The implementation arrangements are, in a sense -- they're very basic, but in some ways implementing them is very complex, because they involve relationships with local communities. And what the Japanese side has done is, we think very appropriately, said to us what we have to do in every case is, we have to go back and achieve coordination with the local communities, be it at a provincial level, be it at a city level, township level. And in each case, we know that getting coordination with the local communities is what allows us to really implement the agreements. In the past, when we had, for example, the SACO agreement, we had a great agreement in principle on certain aspects of relocation, but we failed to achieve up front detailed agreement and arrangements on the actual implementation.

    We're doing it differently this time. So we're making sure that every T is crossed and I is dotted, so that these are agreements that we can actually step out on and implement, beginning this year.

    So that's the difference, and that's what we're doing. We're cleaning up, if you will, and fine tuning every single one of those points.

    Q: Are you confident that the Japanese leadership is going to put enough weight behind the push to make sure that's done to resolve the differences with the local community?

    MR. LAWLESS: Yes, we're confident. They have told us that they're very confident that this is a plan that they can execute. We have told them in no case give us something or reach agreement with us or commit to us something that you cannot execute, and they have told us these are all things we can do, but we have to do them in the right way. And, frankly, that's what's taken us to get from where we were in October with agreement in principle to where we are today with specific agreement on each of the individual implementation plans.

    Yes.

    Q: The agreement on Sunday night left the U.S. responsible for a greater percentage of the cost that you -- than you had anticipated spending for the relocation of the Marines to Guam. You know, where is that money going to come from? And how much does this -- this series of agreements or this whole umbrella of separate, you know, realignments going to cost? And is that something that you'll be looking for in a supplemental budget request, or --

    MR. LAWLESS: I'll answer the second part first, and then Phil Grone is going to answer the first part. Is that okay?

    MR. GRONE: Sure.

    MR. LAWLESS: As I mentioned, trying to put the Guam relocation in the context of this much broader realignment. The Japanese government, because most of the relocations and realignment moves are taking place on Japan proper, including Okinawa, are responsible for a huge commitment. That commitment probably ranges somewhere between -- whether you include Guam or not -- 20 (billion dollars) to $30 billion over a six- to seven-year period. This is a huge expenditure on their part, a huge investment on their part in the alliance, and we recognize it as such. The relocation to Guam is added into that approximately $20 billion domestic figure.

    So when you look at it in that context, we feel that this is fairly struck bargain, that we are sharing costs on reasonable basis on that Guam discrete portion of the budget, but we ask that you understand that this expenditure on their part is much, much larger than just the Guam piece.

    Phil.

    MR. GRONE: Now --

    Q: What's the U.S. part of that?

    MR. GRONE: Well, and certainly from the U.S. part of this, this is a -- as Mr. Lawless indicated -- a series of strategic realignments that will occur over a number of years. We currently anticipate that we'll be able to accommodate this within our normal budget process as we make resource choices on a going-forward basis. In many ways this is similar to the resource trades that we make to secure broader transformation domestically with BRAC.

    So these are choices that we make in the broader national interest, and it's something we'll be working through in the coming months to make sure that our program matches up with the commitments that we make through these agreements.

    Q: And sir, can I just follow up? So you do not anticipate asking Congress to allocate extra funds in the supplemental?

    MR. GRONE: Currently we have a supplemental pending before Congress for immediate needs of the department. As I say, this agreement is a multiyear agreement, and as I say, we'll handle this through the normal course of budget and programming.

    MR. LAWLESS: Yes?

    Q: Thank you.

    Given these changes, do you still see 2012 as the target date for completing this move, or will that now be delayed?

    MR. LAWLESS: Actually, overall the plan talks about 2012 because most of the changes can be made well within that 2012 or approximately within that 2012 period. But as we fine-tuned it, we hope we can stay within 2012. A lot of the budget obligations, although not all, will be within that 2012 period, but some of the discrete moves will take more time than others.

    For example, we have just agreed on and selected a new site for the Futenma facility on Okinawa. Whether that site -- we can execute against that site by 2012 technically I don't know. Our Japanese counterparts are very confident that they can do that, but again, there's probably a little bit of flex in that. But right now for planning purposes we've agreed that our target dates are all related to the year 2012. But again, some things will be done before that.

    Q: Just to follow up. We had heard that the Futenma plan should precede the Guam move.

    We had heard that from the DOD side before. Is that still the thinking?

    MR. LAWLESS: No, I wouldn't -- I'd characterize it a little bit differently. Not "precede." The Guam move is dependent, to a degree, on a successful execution of the Futenma move. Futenma, in turn, involves a relocation of forces on Okinawa. It's part of that consolidation I mentioned to you because when we give up the old Futenma and move into the new facility, that property will go back, but at the same time other adjustments must be made at Camp Schwab, the new location.

    So there's a lot of movement around Okinawa key to these two actions -- Futenma relocation and the Marine Corps movement to Guam -- that allows us to consolidate and give back all that land that we want to give back and have agreed to give back, by the way, in the agreements that we've reached with the Japanese.

    MODERATOR: Yes.

    Q After agreeing with the Japanese on the burden-sharing of the cost of moving Marines from Okinawa to Guam, the demonstration of the global posture realignment in Japan seems to be almost concluded. So now, from your point of view, what is the most important change in this posture realignment with Japan? For example, how about the integration of command facilities in Yokota and Tama?

    MR. LAWLESS: Very important. And a lot of the things that we're doing relate to existing facilities and our ability to share our facilities with Japan's self-defense forces and the Japanese willingness to share some of their facilities with us on a training basis or other basis.

    On the case of Yokota, it's an excellent example. The government of Japan has decided to build its new air defense command center, a multiyear, very large project on Yokota so that they can be there with us and we can cooperate and have some degree of interoperability with that. And that is a very tangible benefit to the alliance that we are co-locating our forces. It makes us much more interoperable, and it creates a truly bilateral, interoperative, balanced alliance, and that's one of the things we're hoping to achieve with this alliance transformation.

    It isn't realignment first. It's alliance transformation and realignment. So we're helping to transform the fundamentals of the alliance; realignment, physical realignment is just a small piece of that.

    Q: And a follow-up. So far -- and there is so much opposing of policies among local communities. So do you think that the integration of command facilities will be achieved? Is there any concern about this --

    MR. LAWLESS: No. We have -- we have total confidence in the agreements we've reached with the government of Japan. Minister Nukaga is very confident that we can execute the agreements that Japan has entered into with us. We believe we have the full support of the Koizumi government. And I think we would not have entered into these individual agreements if we thought there was any possibility that the government of Japan could not execute them. So we have great confidence in what we've agreed to, yes.

    Q: Part of this broader realignment that you're talking about, does Japan fully support basing a nuclear aircraft carrier in its waters, and are there any conditions or obstacles out there that could derail the plan to send the George Washington carrier to Yokosuka in 2008?

    MR. LAWLESS: No, I'm not -- I'm not going to characterize the aircraft -- or, the ship that is going to go there. I don't believe we've made any announcements on the specific vessel that's going to go.

    (To staff.) Have we?

    STAFF: Yes, George Washington.

    MR. LAWLESS: We have announced George Washington? Then fine.

    I think that that coordination activity is ongoing. We expect it to continue to be ongoing for some period of time. And we're -- at this point in time we don't have any problems with it. We are satisfied with the dialogue we have with the government of Japan. The government of Japan is responsible for coordinating all aspects of this with the local community. I think we've reached out -- it's been in the press that delegations have traveled to the United States. They've visited -- I believe, San Diego, John?

    STAFF: Yes.

    MR. LAWLESS: And familiarized themselves there with the way that nuclear-powered carriers and other ships are based and housed and maintained. And we're building a steady level of understanding, confidence and credibility with the Japanese people on how we operate nuclear-powered vessels. That's where we are, that's about where we wanted to be in this stage of the process. We're fully, still, what, two years away from the eventuality of that carrier actually arriving and being home-ported there.

    But one other point that's sometimes missed. The decision by the United States to base what is truly one of its most significant national assets, a multi-billion-dollar national asset -- it isn't the 8,000 people that go, or 10,000 people that go with that task force, and it isn't just the carrier itself, it's everything you have to send with it -- that carrier battle group, being a national asset of the United States, a strategic asset, being based and being sent there to be based, is our tangible contribution to the alliance, and it makes a statement about our commitment to the alliance.

    The American people have risked and put forward that national asset to be in that location. It's the only place that a carrier is based outside the United States of America. And I think it is a unique situation that we have in this alliance that we commit that carrier battle group to that alliance. We told the Japanese people that we would not send anything but our very best capability, and that's what we're doing with the George Washington.

    Yes?

    Q: I'm going to ask about the U.S. forces status agreement, the remaining issue between United States and Japan. Do you have some talking about this agreement?

    MR. LAWLESS: Well, everything we're doing complies with or in a sense relates to our status of forces agreement. We wouldn't do anything, you know, necessarily outside of our status of forces agreement, but it really hasn't been an issue, because everything that we've looked at doing has a relationship to our joint committee structure there. And the individual realignment moves that occur in Japan will take place in the context of that joint committee agreement process. So we're very comfortable in the context of the current status of forces agreement there with all of these realignment moves.

    Yes?

    Q: I want to follow up again on the money issue just to make sure I've got that right. So the cost is about $20 billion for Japan -- said between 20 and 30, and then later said about 20.

    MR. LAWLESS: No, the way I characterized it -- let me correct that. I'm sorry. For the realignment in Japan proper, including Okinawa, a reasonable cost estimate, a general cost estimate is about $20 billion. I said the cost that they would incur for helping us with the relocation to Guam is additive to that. So you can add $6 billion to the $20 billion, approximately. Now, this has to be worked out, it has to be figured out over the next several years, but these are very rough but, I think, probably reasonably conservative estimates of what it's going to cost to do this for them.

    Q: Okay. Does that mean that the U.S. portion of that realignment is an equal share? Or what's the U.S. part of it? I mean, I realize you --

    MR. LAWLESS: The Japanese press has correctly characterized -- okay? -- that the cost for the relocation of 8,000 Marines to Guam, for the developmental costs to develop and deploy the new facilities there that will have to be built for that 8,000 Marine personnel contingent and families, probably 9(thousand) to 10,000 family members in addition to the 8,000 Marines, will be approximately $10.3 billion.

    Of that $10.3 billion, they are covering about 60 percent, technically 59 percent, and we are covering the balance

    MR. : The balance is about 4 -- or approximately $4 billion.

    MR. : Does that nail it?

    Q That's not the number I'm looking for. I'm looking for a big number. You keep saying this is just a small piece of the big agreement. You characterized the cost of the Japanese of the big realignment, the overall effort, and I'm looking for the, you know, attendant or related U.S. figure.

    MR. LAWLESS: On the home islands of Japan including Okinawa, it's -- let us say, it's approximately $20 billion; add to that their costs on Guam, which are $6 billion, makes the total about $26 billion. That's the bigger context I'm talking about.

    Q: It would be shared by the U.S.?

    MR. GRONE: No. No.

    MR. LAWLESS: Japan sharing Japan? It's their responsibility.

    MR. GRONE: It's full.

    MR. LAWLESS: It's -- (inaudible). That's what I'm saying.

    Q: I know. But I'm asking what it's going to cost the U.S.

    MR. LAWLESS: I just said the only cost is the $4 billion in Guam.

    Q: (Off mike.)

    MR. LAWLESS: I'm sorry.

    MR. GRONE: Yes, the only -- the only piece of ours is the Guam piece. That's correct.

    MR. LAWLESS: Okay.

    Yes? Let's do this gentleman here.

    Q: Let me confirm on one thing. You said something can be done before the 2012.

    MR. : Yes.

    Q: Does that mean part of the 8,000 Marine Corps will start leaving Okinawa or you mean, all 8,000 Marine Corps will leave after the completion of a new facility in Guam?

    MR. LAWLESS: No. I didn't say either one. I said some of the individual moves in Japan will be accomplished before 2012 because it'll be -- we can do that. We'll do it as fast as we can do it. If we can do some things by 2010, we'll do it by 2010. If we can do it by 2011, we'll do it by 2011.

    On Okinawa, for example, what has to happen is Futenma has to be relocated and opened so that the old base can be given back, and the Marines have to leave Okinawa so that those facilities that they currently occupied can be consolidated. And this large-scale consolidation take place probably over two or three years, and then, those facilities, that property given back the Japanese people. That's what I was saying.

    I'm sorry. We've got time for one more question.

    Let's do somebody new.

    Q: On the overall agreement, if I could get a sense from you, from either one of you, you talked about maintaining a balance between reducing the burden from the Japanese side and maintaining an effective deterrent force. So looking at the overall agreement, what thing or couple of things can you point out as being the positive elements that maintain that deterrent force?

    MR. LAWLESS: I think that there -- first of all, there have been a lot of legacy issues in our current arrangements that have sort of dogged or impeded the development of the relationship -- legacy issues such as the desire to relocate Futenma, because it's been a long- standing agreement, but we've never managed to actually get it done. So it was sort of a sore point, an open issue.

    The idea is here, we resolve, hopefully in one fell swoop, all or almost all of the long-standing issues that we have that have sort of inhibited the alliance going forward -- resolve those issues, put it on a more balanced basis, have Japan assume more responsibilities in the relationship for the defense of Japan, do a lot of things interactively with Japan that we aren't doing now, or we're only doing in a very small scale.

    For example, training together, operating together, having -- sharing facilities together -- all of these are major areas where we could improve the relationships and the functionality of the alliance.

    And up until this point in time, we've done it incrementally, but we haven't done it in a wholesale manner. And that's what we're trying to do here. We're trying to transform this alliance to one that is much more balanced, interoperational, and where roles and missions are more clearly shared among one another, that we develop complementary capabilities -- for example, when we buy equipment that can interoperate together or work together. And it's a very broad adjustment that we're making to the alliance, and we need to realign and get all these legacy issues right before we can go forward. And that's what we're doing.

    Thank you.

Tuesday, April 25, 2006

Japan and US end marines wrangle

By David Pilling in Tokyo
Published: April 25 2006 03:00 | Last updated: April 25 2006 03:00

Tokyo and Washington have reached a compromise over who will pay for the relocation of 8,000 marines from Okinawa to the US territory of Guam, ending months of wrangling.

Fukushiro Nukaga, Jap-an's defence agency head, said in Washington that Japan would shoulder about 60 per cent of the expected $10bn (€8bn, £5.5bn) bill.

The agreement paves the way for a meeting of defence and foreign ministers next month to discuss implementation of the plan, part of a broader US military realignment not only in Japan but worldwide.

The deal on cost-sharing does not address local opposition to some aspects of the realignment, such as the building of a new offshore runway in Okinawa and the enlargement of a base in Iwakuni, western Japan.

In a weekend mayoral election in Iwakuni, people voted overwhelmingly for Katsusuke Ihara, a candidate who has vowed to oppose expansion of the base.

On the funding issue, Japanese politicians have been wary about committing too much money to the relocation of marines, amid concern that the public will not understand why their taxes should pay for US soldiers stationed abroad.

Under the compromise, agreed at a meeting between Mr Nukaga and Donald Rumsfeld, US defence secretary, in Washington, Japan will provide $6.1bn in grants and loans.

About $3.3bn of that amount will be subject to repayment at some time in the future, a formula that may help politicians put the case to reluctant taxpayers.

Mr Nukaga was quoted by Kyodo news agency as saying in Washington that Japan should "shoulder essential burdens in the context of maintaining the alliance and reducing local burdens".

Japan, which is handcuffed militarily by its pacifist constitution, relies heavily on the US for its defence.

The US had wanted Japan to pay for 75 per cent of the relocation, which helps fulfil Tokyo's long-term aim of reducing the military burden on the southern island of Okinawa, where the bulk of US bases are located.

Saturday, April 22, 2006

Japan's defence chief off to Washington for US base talks

Posted: 22 April 2006 0408 hrs

TOKYO - Japan's defense chief Fukushiro Nukaga left for Washington Friday in a last-ditch bid to strike an overdue deal on reshuffling US troops in Japan.

Nukaga, director general of the Defense Agency, expects to hold talks with US Defense Secretary Donald Rumsfeld that will focus on a plan to relocate 8,000 US marines from Okinawa to the US-held Pacific island of Guam.

Photo: Japan's defense chief Fukushiro Nukaga (L), seen here with US Secretary of State Condoleezza Rice in January 2006

"There has been a proposal to arrange the meeting on Sunday but I have offered to meet as soon as possible," he told reporters before his departure. "There still remains a gap. I am not confident that we can clear it at once."

Cost-sharing in the transfer of marines is a major sticking point which has prevented the Pacific allies from finalising an agreement on realigning US troops in Japan, which is one part of a global US military transformation to cope with new security threats.

"It is desirable that we frankly discuss face-to-face the importance of the Japan-US alliance and ways to reduce the burdens of bases in Okinawa and elsewhere," Prime Minister Junichiro Koizumi told reporters late Friday.

The two governments agreed in October to work out a final realignment accord by March 31. But they have missed the deadline largely due to a spat over how much Japan should pay for moving the Okinawa marines to Guam.

There are more than 40,000 US troops based in Japan, more than half of them on the tiny Okinawan chain where islanders have long demanded a cut in the heavy US military presence.

The US side has asked Japan to shoulder 75 percent of an estimated 10 billion dollars deemed necessary for the relocation.

Japan had initially said it could chip in just three billion dollars in loans, including 2.5 billion dollars for building houses for soldiers and their 9,000 family members.

But press reports said Tokyo might newly offer to provide additional funds in grant.

- AFP /ls

Japan's defense chief off to Washington for US base talks

Fri Apr 21st 2006 at 12:39 pm ET
(AFP)

TOKYO (AFP) - Japan's defense chief Fukushiro Nukaga left for Washington in a last-ditch bid to strike an overdue deal on reshuffling US troops in Japan.

Photo: Japan's defense chief off to Washington for US base talks

Nukaga, director general of the Defense Agency, expects to hold talks with US Defense Secretary Donald Rumsfeld that will focus on a plan to relocate 8,000 US marines from Okinawa to the US-held Pacific island of Guam.

"There has been a proposal to arrange the meeting on Sunday but I have offered to meet as soon as possible," he told reporters before his departure. "There still remains a gap. I am not confident that we can clear it at once."

Cost-sharing in the transfer of marines is a major sticking point which has prevented the Pacific allies from finalizing an agreement on realigning US troops in Japan, which is one part of a global US military transformation to cope with new security threats.

"It is desirable that we frankly discuss face-to-face the importance of the Japan-US alliance and ways to reduce the burdens of bases in Okinawa and elsewhere," Prime Minister Junichiro Koizumi told reporters late Friday.

The two governments agreed in October to work out a final realignment accord by March 31. But they have missed the deadline largely due to a spat over how much Japan should pay for moving the Okinawa marines to Guam.

There are more than 40,000 US troops based in Japan, more than half of them on the tiny Okinawan chain where islanders have long demanded a cut in the heavy US military presence.

The US side has asked Japan to shoulder 75 percent of an estimated 10 billion dollars deemed necessary for the relocation.

Japan had initially said it could chip in just three billion dollars in loans, including 2.5 billion dollars for building houses for soldiers and their 9,000 family members.

But press reports said Tokyo might newly offer to provide additional funds in grant.

Sunday, April 16, 2006

No accord yet on who pays to move Marines to Guam

By David Allen and Chiyomi Sumida
Stars and Stripes
Pacific edition, Sunday, April 16, 2006

CAMP FOSTER, Okinawa — After two days of talks in Tokyo, U.S. and Japanese officials were unable to reach an agreement on how much Japan should pay for the move of some 8,000 Marines to Guam.

For months, the two countries have been split on how to pay the estimated $10 billion it will cost to move the headquarters of III Marine Expeditionary Force to Guam, as set forth in last October’s agreement to realign U.S. forces in Japan.

U.S. officials had asked for Japan to pay 75 percent of the cost, explaining that the move would take longer without Japan’s financial assistance. Japan had offered to pay just a third of that amount but came up with a compromise Thursday that would cover about $6 billion — $3 billion outright and another $3 billion in loans, according Associated Press and Kyodo News reports.

Japanese officials would not confirm the reports.

“We are in the final stretch and heading toward a resolution overall, but there is still distance between us on the Marines’ relocation cost,” Japan Defense Agency chief Fukushiro Nukaga told reporters following an hourlong Friday morning meeting with U.S. Ambassador to Japan J. Thomas Schieffer and Richard Lawless, deputy undersecretary of Defense for Asian and Pacific affairs.

“We will continue negotiations on things that remain up in the air after today’s talks and will continue the working-level dialogue without a pause,” Nukaga said.

The talks this week followed a deal struck last Friday by the Defense Agency with Nago Mayor Yoshikazu Shimabukuro on a revised plan to relocate Marine Corps Air Station Futenma from urban Ginowan to an airfield to be built on Camp Schwab in Okinawa’s rural northeast shore.

Following Friday’s meeting, Lawless said he was pleased at the progress that has been made, especially the Camp Schwab deal, according to U.S. Embassy spokesman Michael Boyle in Tokyo.

“He said he was very pleased that the plan to build a V-shaped pair of runways on Camp Schwab meets with both operational and safety requirements,” Boyle said. “And he said the sides agreed to continue to work and be as creative as possible in coming to a solution on the remaining matters.”

Friday, April 14, 2006

Japan-US military talks still stuck

Apr 14 12:49 AM US/Eastern
Japan's defense chief has pressed the United States to compromise as the two countries sought to break a prolonged deadlock on the cost of redeploying US troops.

Japan and the United States were to wrap up their latest round of talks Friday but Defense Agency chief Fukushiro Nukaga said they were still divided on how to share the costs of moving troops off the southern island of Okinawa.

"As it would be no good if we only insist on our opinions, the American side should also fully consider what they can do," Nukaga told a news conference.

He spoke after holding talks with US Defense Deputy Undersecretary Richard Lawless and US Ambassador Thomas Schieffer.

The Tokyo meeting came after the two nations missed a March 31 deadline and failed to make progress last week on finalizing the plan to withdraw 8,000 of the more than 40,000 US troops in Japan.

Japan is opposed to US demands to pay 75 percent of the 10 billion-dollar bill to shift troops off Okinawa, which hosts half of the US forces in the country.

Another sticking point is the status of Futenma Air Station, which has long been a source of grievances in Okinawa due to the noise created in the crowded city of Ginowan.

The plan's first draft, agreed in October, calls for dismantling Futenma and relocating it to an existing facility in Okinawa -- not removing it from the province altogether as local leaders had wanted.

Nukaga last week won backing for the plan from the mayor of Nago, the Okinawa town whose base, Camp Schwab, would be expanded to accommodate Futenma.

Okinawa, which was ruled by Washington from 1945 to 1972, has frequently witnessed tension with the US military. US troops are stationed in Japan under a security alliance reached after Japan lost World War II and was forced to renounce war.

Thursday, April 6, 2006

Japan, U.S. end realignment talks, split on Guam cost

UPDATED: 14:06, April 06, 2006
Japan and the United States failed on Wednesday to reach a final agreement on realignment of the U.S. troops stationed in Japan and decided to end the talks one day earlier than scheduled, Kyodo News reported on Thursday.

The talks, which was held in Washington, split with the two sides holding conflicting stances on the cost sharing of moving a Marine troop from Okinawa to Guam, Kyodo said, quoting Japanese government sources.

There was no major progress on other issues neither, insiders said.

Japan's Chief Cabinet Secretary Shinzo Abe said in Tokyo that the bilateral senior working-level talks will be held again later next week.

The issue of cost sharing for moving 8,000 U.S. Marines haunted several rounds of negotiations, which have failed to produce a final outcome by the originally scheduled deadline of March 31.

In former rounds of talks, the United States has officially set the total estimated costs for the moving at about 10 billion U.S. dollars, and asked Japan to share a burden of 75 percent, while Japan has only offered to cover 3 billion dollars, including 2.5 billion dollars for housing construction, through loans to be paid back by the United States.

Analysts said the situation shadows the prospect for a final agreement, and a top-level political decision may be needed in the end, according to Kyodo.

Japan and the United States reached an agreement last October on transferring 8,000 U.S. Marine troops out of Okinawa, which hosts the bulk of the U.S. troops stationed in Japan.

Source: Xinhua