Japan needs to diverge from status quo, says adviser to Hatoyama+

TOKYO, Aug. 26 Kyodo - Japan, standing at a pivotal moment, needs to diverge from the status quo, politically and economically, in search of a better future, the brains behind Democratic Party of Japan leader Yukio Hatoyama said in a recent interview.

Jitsuro Terashima, chairman of the Japan Research Institute, said the time is
ripe to give a second thought to viewing the world predominantly through a U.S.
lens.
''Japan needs to seriously rethink where its position should be in
international relations'' as the United States no longer enjoys the status of a
lone superpower in the world, Terashima told Kyodo News on Tuesday.
While valuing its alliance with the United States, Terashima said it is
important to understand that the foundation of Japan's diplomacy in the 21st
century would not be built without having closer ties with Asian neighbors.
Terashima, who has spent many years in the United States, is viewed by some as
a possible private-sector candidate to assume a key post in the administration
of the DPJ, if it comes to power after this Sunday's general election.
His ideas on diplomacy have many similarities with those of the DPJ, which
media polls show is likely to score a landslide victory in the election and
wrest power from the long-ruling Liberal Democratic Party.
Over the past 20 years since the end of the Cold War, Terashima said Japan was
more than ever under the influence of the United States, with many apparently
''deciding to stop thinking'' and believing there has been no other choice
other than following ''American world views.''
Going after freewheeling capitalism and supporting the war in Iraq were some of
the good examples of how strongly Japan trusted in the United States, he said,
adding such devotion peaked at the time of the administration led by former
Prime Minister Junichiro Koizumi.
Like the DPJ, Terashima, who is also head of the Mitsui Global Strategic
Studies Institute, said it would be vital to review the Japan-U.S. Status of
Forces Agreement, which governs U.S. military operations in Japan and legal
arrangements for its personnel.
On the economic front, he also said Japan should be more free from preconceived
ideas.
''One way to begin is straighten up what are the weak points,'' he said.
Japan is highly dependent on other countries for its energy, natural resources
and food, but he believes ''these weak points everyone knows'' could turn into
elements to propel new economic growth in the future.
Combined with Japan's rich technological expertise, Terashima expects new
business opportunities could be generated in the areas related to, for
instance, agriculture, and seabed energy and mineral resources.
If know-how to explore and mine seabed resources improves, it would be more of
a reality than a dream for Japan to be much less dependent on other countries
for energy, he said.
Experts estimate the seabed surrounding Japan has ample resources, including
rare metal deposits and reserves of methane hydrate, an ice-like compound that
burns, with some saying they are equivalent to its consumption of natural gas
for 100 years.
He also said signs of change have been observed in farming as more and more
corporate-style managers are entering the business with fresh ideas.
As to the manufacturing sector, he said it is necessary for Japan to foster a
new industry that would require many companies' involvement akin to the
automotive industry.
As one example, he said strengthening the aircraft industry to focus on the
production of midsize jets would likely have great potential.
''Japan has technology, talented people and money,'' he said. ''Each technology
is top class in the world. But Japan lacks ability to put pieces together to
launch a new project.''
''It's nonsense to assume there would be no more growth strategy available in
this country,'' Terashima said.
==Kyodo