Press Conference by the Chief Cabinet Secretary (Excerpt)

Q&As

• The issue concerning the right of collective self-defense
• The collision between Chinese and Vietnamese vessels
• The Thailand Prime Minister’s step down
• Declining of share price in Nikkei Stock Market

REPORTER: I have a question concerning the right of collective self-defense. In a press conference yesterday the Prime Minister stated that the Government would set out a basic direction concerning how it would proceed with considerations on a basic policy. Could you tell us in a little more detail the kind of basic direction the Government will set out?

CHIEF CABINET SECRETARY SUGA: First of all, there have been various press reports on this issue. I would like to carefully explain this matter once more. Firstly, after receiving the report of the Advisory Panel on Reconstruction of the Legal Basis for Security the Government will use this report as a source of reference to set out a basic direction. After that, we will take into account the opinions of the Cabinet Legislation Bureau and engage in consultations with the ruling parties to determine how to proceed. If we decide to change the constitutional interpretation, we will seek to have a Cabinet decision approved, after which we will discuss the matter in the Diet. We will not proceed with any predetermined deadline in mind. However, it will not be the case that the timing of a Cabinet decision will be indefinitely postponed. The basic direction we set out will represent the concepts of the Government about what is the best way to protect the lives and property of the people of Japan and ensure national security, particularly in light of the extremely severe security environment around Japan. The Advisory Panel will continue to engage in discussions and once the Government receives the panel’s report we will refer to it as we formulate a basic direction.

REPORTER: With regard to the Government’s policy, is it likely, for example, that such a policy would include specific scenarios relating to the right of collective self-defense?

CHIEF CABINET SECRETARY SUGA: A variety of possibilities are conceivable, but I imagine that after the Prime Minister returns from his overseas visit tonight, he will make a final decision tomorrow or thereafter.

REPORTER: Is it the case, therefore, that after the Prime Minister has returned to Japan he will engage in consultations with leaders of the ruling parties, based on which he will make a decision regarding the basic policy, including the timing?

CHIEF CABINET SECRETARY SUGA: As the Prime Minister has been away on an overseas tour of several countries for approximately 10 days, we will bring him up to date on the discussions that have been taking place while he has been away. After the Prime Minister has been briefed I imagine we will then determine how to proceed.

REPORTER: You have just stated that it is not the case that the timing of a Cabinet decision on this matter would be postponed. Is the Government maintaining the position that such a Cabinet decision have to be taken even if it’s not during the current Diet session?

CHIEF CABINET SECRETARY SUGA: Whatever the case, our highest priority is to engage in consultations with the ruling parties and gain their understanding. As we will only seek to pass a Cabinet decision once we have gained such an understanding, in that sense we do not have any predetermined deadline in mind.

REPORTER: I would assume that any Government policy on this issue would likely include items that would require legal amendments. Is it the Government’s intention to take a Cabinet decision prior to carrying out procedures to implement amendments to legislation?

CHIEF CABINET SECRETARY SUGA: That is the basic intention, yes.

REPORTER: In terms of timing, if the Government intends to implement amendments to legislation, it is also conceivable that the Government would take a Cabinet decision during the next extraordinary session of the Diet. Or is it the Government’s intention for the Cabinet to make a decision prior to the extraordinary Diet session?

CHIEF CABINET SECRETARY SUGA: If in fact we were to decide to change the constitutional interpretation, I believe we would of course take a Cabinet decision. However, we are not proceeding with any predetermined deadline in mind. Rather, we will move forward while seeking the understanding of members of the ruling parties.

REPORTER: China has deployed Government vessels in the South China Sea for the purposes of drilling for oil. The Government of Viet Nam has announced that these Chinese vessels have collided with Vietnamese patrol vessels. Could you first share your thoughts on this situation?

CHIEF CABINET SECRETARY SUGA: First of all, the details and facts behind the collision between Chinese and Vietnamese vessels are currently being confirmed. However, the Government of Japan is extremely concerned about information that multiple Vietnamese vessels have been damaged and that people have also been injured. In light of this, at present the Government is closely monitoring the situation. Furthermore, Japan is deeply concerned about China embarking on unilateral drilling operations in maritime areas where national boundaries have yet to be confirmed, which has exacerbated tensions in the region. The Government considers this situation to be part of a series of unilateral and provocative maritime expansion activities by China. We believe China should provide a clear explanation to Viet Nam and the international community about the justification for and the details of its own activities. The peace and stability of the South China Sea is a matter of concern for the international community and I believe that issues should be resolved peacefully through dialogue. Given this situation the Government of Japan strongly hopes that China will refrain from unilateral actions that raise tensions and will act with self-restraint in accordance with relevant international laws.

REPORTER: I would like to return to a previous question about a Cabinet decision on the right of collective self-defense. You mentioned that the Government does not have any particular deadline in mind. As such, if consultations with ruling parties were not go smoothly, is there a possibility that the relevant bills would not be ready in time for the extraordinary Diet session in the autumn?

CHIEF CABINET SECRETARY SUGA: I think it is unlikely that the consultations would not go smoothly. After receiving the report from the Advisory Panel the Government will, as a matter of course, engage in thorough consultations with the ruling parties.

REPORTER: So are you saying that you will make efforts to ensure the smooth progress of consultations so that a Cabinet decision can be taken by the autumn?

CHIEF CABINET SECRETARY SUGA: As I explained, we have no deadline in mind. That being said, while there is no deadline, that does not mean that a decision will be postponed indefinitely. The Government will make maximum effort to ensure that we gain the understanding of the members of the ruling parties.

REPORTER: Is there no change overall to the basic policy of seeking to make a Cabinet decision on this matter prior to the extraordinary session of the Diet?

CHIEF CABINET SECRETARY SUGA: As the Prime Minister himself has said, next week, after receiving the report of the Advisory Panel the Government will use this report as a source of reference to set out a basic policy. After that, we will take into account the opinions of the Cabinet Legislation Bureau and engage in consultations with the ruling parties to determine how to proceed. If we decide to change the constitutional interpretation, we will seek to have a Cabinet decision approved, after which we will discuss the matter in the Diet. As such, the Government does not intend to proceed with any predetermined deadline in mind. That being said, this does not mean we have decided to postpone a Cabinet decision. In any case, the Government will work diligently to ensure that we can gain the understanding of the ruling parties.

REPORTER: I imagine that among the related bills, there will be some that address so-called “gray zones.” Do you consider it necessary to make a Cabinet decision on changing the overall constitutional interpretation when engaging in such amendments?

CHIEF CABINET SECRETARY SUGA: As I mentioned earlier, overall, the greatest responsibility of the Government is to protect the lives and property of the people of Japan and to ensure national security in the midst of the extremely severe security environment around Japan. In light of this, I think it would be very difficult to actually fulfil these responsibilities under present circumstances. It is against this backdrop that the Government will set out a basic policy upon receiving the Advisory Panel’s report. I believe that is all there is to it.

REPORTER: So are we to understand that a Cabinet decision will be taken?

CHIEF CABINET SECRETARY SUGA: In principle, if we can gain understanding then I think a Cabinet decision would of course be taken.

(Abridged)

REPORTER: Yesterday the Constitutional Court of Thailand ruled that Prime Minister Yingluck Shinawatra acted illegally with regard to an appointment of a senior Government official and has ordered that the Prime Minister step down. Could you tell us the reaction of the Government of Japan to this news?

CHIEF CABINET SECRETARY SUGA: As this is a ruling of the Constitutional Court of Thailand I do not think it is an issue about which I should make a comment on behalf of the Government. The Government of Japan will keep monitoring the continuing volatile situation in Thailand with concern. Japan strongly hopes that the political situation in Thailand, which has persisted since last year, will be resolved by peaceful means, through a democratic process and earnest dialogue by the people of Thailand. Since the outbreak of large-scale demonstrations the Ministry of Foreign Affairs has been making every effort to ensure the protection of Japanese citizens in Thailand, including through the provision of safety notifications when required and emergency e-mails from the Embassy of Japan in Thailand. We are also making requests as necessary to the Thai Government, concerning measures to ensure the protection of Japanese nationals.

REPORTER: A number of Japanese companies have a presence in Thailand. Do you think the present situation will have an impact on these companies?

CHIEF CABINET SECRETARY SUGA: This is another matter about which the Government is extremely concerned. That being said, factories in Thailand belonging to Japanese companies are generally more than 100km away from Bangkok and therefore the current situation is not having any impact whatsoever on production. However, I would assume that there may be a significant impact on domestic consumption in Thailand.

REPORTER: With regard to share prices, yesterday the Nikkei Stock Average plummeted 424 yen and has only made a sluggish recovery today, rising by about 150 yen. What are your views on these share price fluctuations?

CHIEF CABINET SECRETARY SUGA: I am aware that share prices fell yesterday. However, and I apologize for repeating myself, I would like to refrain from commenting on share price fluctuation, so as not to cause the market any unnecessary confusion. Nevertheless, I recognize that circumstances such as the downgrading of the global economic outlooks by international organizations and also the situation in Ukraine form the backdrop to the recent share price fluctuations. In any case, what is of the greatest importance is for the base of Japan’s economic recovery to steadily expand and for a positive economic cycle to be realized. Furthermore, the Government is making every effort to ensure the realization of just such a positive cycle, including increased corporate earnings, expanded plant and equipment investment, higher wages, and greater employment, so as to secure a firm path towards exiting deflation and revitalizing the economy.

REPORTER: Despite the fact that the Prime Minister has provided such an explanation to the 2014 Ministerial Council Meeting of the Organisation for Economic Co-operation and Development, among other fora, it seems that, nevertheless, the stock markets remain unstable and easily susceptible to overseas situations. Could this imply that the markets do not have any great expectations for explanations from the Prime Minister?

CHIEF CABINET SECRETARY SUGA: I do not think that is the case at all. After all, share prices do in fact fluctuate significantly depending on the global situation. As I have just mentioned, various conditions, including the tense situation in Ukraine or the downgrading of international economic outlooks, all combine to affect share prices. Therefore I believe that I should refrain from making any comment about share price fluctuations.