
JUNE 4, 2010, 10:11 P.M. ET
By YUKA HAYASHI
Kan, With Broad Backing and Eclectic Resume, Officially Ascends; Not Making Waves on Okinawa
TOKYO — In the 1970s, Naoto Kan was a resourceful physics graduate who invented a machine to calculate mahjong scores. In the 1990s, he was an underdog lawmaker who pilloried bureaucrats for exposing thousands of Japanese to HIV-tainted blood. Over the past decade, he has been known for his quick temper and for napping on the parliament floor.
Now, lawmakers of the ruling Democratic Party of Japan, who elevated Mr. Kan to prime minister Friday, hope he will demonstrate a different quality: staying power.
In a show of surprising unity at a party election Friday, Mr. Kan gathered 70% of the votes of the DPJ's 422 lawmakers, beating Shinji Tarutoko, a relatively unknown member of Japan's lower house of parliament. Several powerful and much younger DPJ members viewed as Mr. Kan's rivals, including Foreign Minister Katsuya Okada and Transport Minister Seiji Maehara, pledged their support. The DPJ controls the parliament, sealing Mr. Kan's ascent.
Mr. Kan, a DPJ founder who has served as deputy prime minister and most recently as finance minister, is Japan's fifth prime minister in less than three years. His predecessor, Yukio Hatoyama, formally resigned Friday after less than nine months in office after breaking his campaign promise to remove a controversial U.S. base from Okinawa. The short terms of other predecessors delayed efforts to solve chronic problems such as spiraling government debt, slow economic growth and rising joblessness among young people.
Mr. Kan signaled he will stick to the Okinawa deal. He also said Friday that he aimed to push through his plan to scale back the privatization of state-run Japan Post Holdings, which includes huge banking and insurance arms, a policy that some view as unfriendly to business.
He will also likely continue with the economic policy stance that he took as finance minister. The new prime minister prefers a weak yen, which would bolster exporters' profits and help to fight deflation. He has been one of the leading voices warning of the dangers of deflation and has pushed the Bank of Japan to take more aggressive measures against falling prices. He has also hinted that Japan needs to raise its consumption tax from the current 5% rate, an idea that goes against the DPJ's campaign pledge last year but has earned praise from economists.
Mr. Kan said Friday he would try to break the stagnation that has ailed Japan for over two decades. "We can achieve a strong economy, a strong fiscal condition and strong social security at the same time," he said as he accepted his party's stewardship.
Mr. Kan is expected to unveil his cabinet, which will likely include the members of the previous one, on Tuesday.
He inherits a DPJ that took power in September amid a wave of popularity, ending a half-century rule by the conservative Liberal Democratic Party. Since then, the party's support has plummeted amid Mr. Hatoyama's inability to deliver his Okinawa promise and a fund-raising scandal that embroiled top party strategist Ichiro Ozawa, who stepped down as secretary general earlier this week. Popular support for the DPJ, over 70% last fall, plunged to around 20%.
The resignation of Messrs. Hatoyama and Ozawa instantly improved the popular support for the party to 27%, according to a poll by the Asahi Shimbun daily. Respondents named Mr. Kan as the party's most appropriate candidate.
Mr. Kan's staying power will depend on a large degree on his ability to capitalize on his reputation as a strong orator and party uniter in Japan's divisive political landscape. Mr. Kan— who lives in a 680-square-foot apartment in a Tokyo suburb and reported $45,000 in financial assets earlier this year—also enjoys a reputation as a clean, egalitarian politician.
His first test comes next month when Japan elects members of its upper house of parliament. The DPJ has a huge majority in the more powerful lower house, but a big loss in the upper house election would force the party to rely on coalition partners with different policy views.
A key to that vote is Mr. Kan's relationship with longtime DPJ powerbroker Mr. Ozawa. Mr. Kan has maintained a cordial relationship with Mr. Ozawa in recent years—the two are said to be longtime partners in Go, a classic Chinese game—but the question now is whether Mr. Ozawa, now out of the party's power structure, will withdraw his influence. The lawmakers who voted for runner-up Mr. Tarutoko on Friday are those seen as loyal to Mr. Ozawa.
"If Mr. Kan can survive the upper house elections, he has a good chance of staying in power until the next general elections" in 2013, said political sciences professor Jun Iio, of the National Graduate Institute for Policy Studies.
Mr. Kan's quick temper has earned him the nickname Ira Kan, or "Kan the irritable." An opposition politician dubbed Mr. Kan the King of Napping, referring to the times he has been caught napping on the parliament floor, a habit common among older politicians in Japan.
Critics say Mr. Kan's policy views have appeared radical or outdated at times. "Mr. Kan hails from citizen's movement and his stance on diplomacy has never been clear," LDP leader Sadakazu Tanigaki said after Mr. Kan's appointment, which he called a "stale tactic of changing the front cover before the elections."
In foreign policy, Mr. Kan appears to have learned from Mr. Hatoyama's failed bid to reduce the U.S. troop presence on Okinawa. In the past few days, he has repeated that the relationship with the U.S. is the "core" of Japan's foreign policy.
"My basic stance is to abide by the bilateral agreement with the U.S., while reducing the burden on Okinawa, in accordance with the agreement," he told reporters after his appointment.
In a statement, the White House welcomed the choice of Mr. Kan to lead "an important friend and ally." President Barack Obama "is committed to maintaining excellent cooperation with the new Japanese government," National Security Council spokesman Mike Hammer said.
Mr. Kan was born in Yamaguchi prefecture in western Japan in 1946, a son of a glass-company executive. He studied physics at the Tokyo Institute of Technology and graduated in 1970. Around that time he picked up a taste for mahjong, a four-person Chinese tile game in which the score—and often, a winner's payout—is determined by a complicated point system.
To handle the calculation, Mr. Kan built a machine "using a combination of transistors" and applied for a patent in 1973, says Katsuyuki Takahashi, an employee at the Mahjong Museum in East Tokyo, which displays a photo of Mr. Kan's device.
Mr. Kan's career in politics started in the mid-1970s when he served as a campaign manager for Fusae Ichikawa, a prominent women's rights activist. Elected to parliament in 1980 after three failed bids, he was long a member of a small party split off from the Socialist Party, before joining a centrist party that, after a series of mergers, became the DPJ.
Mr. Kan became a national hero in 1996, when he was health minister hailing from a small party in coalition with the LDP. He successfully ran a campaign to expose a government cover-up of the distribution of HIV-tainted blood products.
In an famous incident, when Mr. Kan met the mother of a victim who had died of AIDS, he kneeled in front of the young man's framed photo, pressed his hands in prayer and cried. A few months later, the drug maker executives and a senior bureaucrat were arrested and settlements with the victims were signed.
—Andrew Monahan and Kenneth McCallum contributed to this article.