a I DECLASSIFIED 'u I Aumo w POGE OI TOHYO 14873 D1 OF OS 2393121 5133 OOTION INFO OCT-OI nan- 1 tun-12 2 12 nan-22 ans-as ass-as 1-23 anon-12 Han-a nos-12 55-15 g gz 1-22 1123 2323422 54 2 22 12 sun as rn ansnanssv TOKYO To unsunc PRIORITY 121a INFO ansnanssv noun ERASILIA aucuus nanzs AHEHOAESY cuuatann nuconsuL ranunrunr shenanssv LONDON anananssr HAORID anznanssv nan DELHI nnznanssv DIIAHA nnzuanssv PARIS antuanssv SEOUL SECTION 31 OF O5 TOHYO 14811 E O ROS 1 ISNERHOH N C I TADS ROAD PORN ENRG TECH JR SUBJECT GAO REVIEV NUCLEAR NDN-PROLIFERRTIOH OCT OF 15T8 REF INT STNTE 155241 181 STATE 111415 I ISECRET- ENTIRE 2 THIS POST LIRE u s IN orurn naJon COUNTRIES nus 0 20 50 nu IHOUNT or TIHE IO NOH-PROLIFERMTION nunluc THE PERIOD SINCE THE 1151 can n v su IN 1923 25 51112 41n43 rs TOKYO eastu THE JAPnuzss vssu or 0 5 NON-PROLIFERATION 2011 GENERAL- LY sun as THE aura HAS HATURED nun EECDHE non ERPRESSIVE IN THE INTERVENIHG PERIOD NOT ONLY To sons- uuar non OBJECTIVE nun INTERNRTIONR IZEO Jnrnutss STUDY nun or u s nut ano to an INCRENSIHO RECOGNITION av THE u s or THE luronrauc or Japan IN THE INTERNRTIOHAL NUCLEAR DEBATE use A CONSEQUEHT HILLANGNESS av u s POLICY HAHERS to ORING Jnrau INTO CONSULTRTIONS nun DISCUSSIONS on VARIOUS 1322215 or THE usanrz I Stnantuc OCCNSIONRL on autu SIDES THE Euanssv THE POST 1s REING an OF nqunL CONFIDENCE BUILDING anuns mm Tacmum mm sans TIHE IT nu51 a nzcocu zen THAT Japan STILL CONSIOEBS unuv or THE PRO 0 quLatsnaL nun couutzn-Pnonucrlus IN tsans or ncH-Eulna - SPRERO or usnrous IT SHOULD BE untzn ana NOTO-THSTIHDING 15$ CLOSE nun RELHIIUHSHIP THAT new asruiau THE THO counrnlas on NON-PROLIFEROTION unnlous LONG-STANDING 511112211 ISSUES sucu as cass-av-cns HB-IO or or srzur FUEL ron REPROCESSIHG THE ULIIHATE FUTURE or THE Iona nunn REPHOCESSING PILOT CONSTRUCTION or connancaat REPROCESSING anHI Japanese Eurnv IN THE ENRIBHHENT ausnnass rust DEVELOPHENI PLUTOMIUH urILIzartou nun as a RED run COOPERATION STILL REHAIN TO as DEFINITIOELY RESOLVED 3 THE END THE REPORTING ON BOTH THE DILNTERRL ONO HULTILRTERRL RSFEDTS OF THE NUCLERR RELNTIONSHIP HRS BEEN NERVY AND FOR OLL PRACTICOL PURPOSES CONPLETE NONEVER MUCH OF THE TRAFFIC IS SENSITIVE RND OITITION OF TOHYO DRBLES ONO OTHER FORHS OF COHHUNICOTION IS FOR REFERENCE PURPOSES ONLY HITH THE SEBRET INBUMINE Departm'e-nt of State IELEGRAM TOHYO IIOTS O1 OF '5 2303111 ING THRT THE HILL NONE THE OPFROPRIATE TIDNS ON RELEOSING INFORHOTION TO THE END 4 1H 1939 THE PERFORNED A NON-PROLIFEROTION OSSESSHENT 5365 RT THE REOUEST ISTRTE 583651 NHICN IN ESSENCE UPDRTEO THE FIRST NON-PROLIFERRTION REVIEN FOR THE GOO TOHYO CITES IO PREVIOUS TIONS COVERING THE PERIOD FROH RUGUST 1515 TO HORCH ISBO AHDNG NRICH ORE SEVERRL REFERENCES OF PARTICULRR SIGNIFICDNCE FOR ERANFLE TS TDHYO ONO TS TOHYO 1 86 REPORTED OH VISIT TO JRPON BY GOO STUDY TERN UNION COVERED THE GONUT OF NOH-PROLIFERNTION ISSUES IN RUOUST OF LRST YEOR DO TOHYO 1521 AND SO TOHYO 1323 REPORTED ON AND ERHAUSTIVE DISCUSSIONS IN TOKYO OH JRNURRY 25 1985 COLLECTIVELYI THESE NESSROES FORN A GOOD FDUNDOTION FOR UNDERSTONOING JIPONESE VIENS OF U S POLICY 5 RS RN NDOENOUH TO TOKYO CITED ABOVE FARO THE FOLLONING REPORTS OLSO VERE PRIOR TO 1585 TOHYD 2DT5 ICOHF OILATEROL DISCUSSION REVISION OF NUCLEAR COOFEROTION NGREEHENT --TS TOHYO 4585 IDONF INFORNOL TILHS OH POST- INFCE PERIOD DND OTHER NUCLEOR HATTERS TOKYO DTIEB ISECRETI EXDISI PRHISTAN NUCIEOR ENERGY PROGROH ONO RELOTION NITH INDIA --TS TONYO ISECRETI IEXDISI PORISTON NUCLEAR PROORDN --TS TOKYO OTTEO ICONF OSIO4ITBI OUESTIONS ON RID TO PNHISTRN TOKYO OTTES IENDISI FINISTDN NUCLERR PROGROH Id' PAGE El TONYO 14873 OF US 23l3211 ELSA ACTION INFO EUR-12 REA-RS ADS-RD DES-US L-l3 NRC-R2 DOE-IT SS-li 555 2 A-OI I31R34 ZJDADJZ AUG RI ANENUASSY TOKYO TO SECSTATE VASHOC PRIORITY 124 INFO ANENBASSY DDNN AHENRASSY IRASILIA AHENIASSY EUEHOS AIRES AHENEASSY CANBERRA ANCONSUL FRANNFURT ANENSASSY LONDON AHEHRASSY NAORID HEN DELHI ANENIASSY OTTANA ANENEASSY PARIS ANENIASSY SEOUL SECTION S2 OF US TONYO IAITS TOKYO 18377 ISECRET DGIIEITOI INODISII NUCLEAR --TS TONYO IOJLS EONFI REVIEU OF GOJ NUCLEAR --TS TOHYO 1122 DTIIDITSI TECHNICAL ASSISTANCE TO PANISTAN NUCLEAR PROGRANI TOHYO ISATO DISCUSSIONS NITH COJ ON PACIFIC BASIN SPENT FUEL STORAGE FACILITY LETTER EOHF USJZOITSI PERSONAL VIEUS ON PACIFIC EASIN SPENT FUEL STORAGE TOHYO ITSIL TASTEX STEERING CONNITTEE NEETING RECORD 5_ IN THE PERIOD snow HARBH 1533 TO PRESENT FOLLOUIRG SUBSTANTIVE nzronrs an PEITINEHT Ionvo 321 9 tenur 92 95 331 Izznusl NON-PROLIFER- ATIOH POLICY nun nentuzn ASSISTANCE to PAKISTAN --an TOKYO 923 2 Isannar texn sl_ VISIT a JAPAN- as nzrurv FOREIGN HIHISTEA to raunstnu aun TOKYO anisIIaa REVIEU or SAHPLING nun ANALYTICAL PRACTICES AT IDRAI nun AEPAOCESSING PLANT ronvo 1125 mour 552921331 nausrarzn REVELATION or JAPANESE xrunr CONTROL on SENSITIVE NUCLEAR EOUIPHENT --as touvo assa mour to PLANTS --II TOKYO 1513a lcour asllaznu1_ sursauanus TO snulcanzur anurs --aa TOKYO Inns cour IEIIHIAUI sarzsuanos arvanacuzs to ERRICNHEII annrs --au TOKYO 12552 Icnur USIJAPAN usscussnnus on PACIFIC assuu srsur FUEL STORAGE TOKYO 14 11 us DELEGATION VISIT to TOHAI nuns - Ia tuxvu 14 3 NON-PROLIFERAYIOH VIEHS OF JAPANESE OFFICIALS missus to PUBLISHED ARTICLES runnsnuttzn av POUCH to air I --ll TOKYO 1 53 I can Gills ll HULTILATERAL on snrsounans annuacass n1 ens CENTRIFUGE IILATEAAL nun TAILATEAAL Discussions --as TOKYO 14552 33 151331 JAPANESE REPAOCESSING nun anus vac OFFER Tonvo 1 511 Icour as 15 n _ JAPANIAUSTAALIA nuscus5 ous on CONSTRUCTION or a ans CERTAIFUGE PLANT 1_ VITH 1n gnaw run roLLnqus an TO OUESTIONS nausea IR PARA I REFTEL m1 USING sang suaraan NOTATIONS DECLASSIFIED Authority 6 817 Department of btate INGUMING TELEGRAM TONYO IAITS O2 OF US 23I32I1 JAPANESE OFFICIALS VIEU POLICY AS TOO STRICT IN TERHS OF FAILINC TO RECOCNIEE NUCLEAR ENERGY AS THE ONLY READILY AVAILARLE ALTERNATIVE ENERGY SOURCE IN SOHE OF THE ADVANCED INDUSTRIAL IN PARTICULAR JAPANESE ENERGY POLICY ENPHASIEES DIVERSIFICA- TION IN ORDER TO REDUCE AN ALNOST DEPENDENCE ON EO OIL EVEN IF THE DIVERSIFICATION LEADS TO HIGHER COSTS AS THE PRICE OF ENERGY SECURITY JAPAN IS NON SECOND ONLY TO THE IN TERNS OF INSTALLED NUCLEAR CAPACITY AND IS TRYING TO NDVE TOUARD NANING ITS NUCLEAR ENERGY INDUSTRY INDIGENOUS TO A LARGE EXTENT EXCEPT FOR THE INPORTATIDN OF URANIUN IN ITS RILATERAL RELATIONSHIP NITH THE JAPAN SEENS EOUAL TREATNENT UITN VESTERN EJROPE AND JAPAN- ESE OFFICIALS OFTEN HAVE INDICATED THAT THE SINGLES OUT JAPAN FOR ENCESSIVEIY NARSH TREATHENT IY IN THE PAST YEAR OR SO THE TONE OF SUCH VIEVS HAS NDOERATED AS THE U S HAS REDUCED EFFORTS TO USE JAPAN AS AN EAANPLE OF INPLENENTATIOH OF ITS INTERNATIONAL COHPAIGN AND HAS DROUGHT JAPAN HORE FREOUENTLY INTO ADVANCE CONSULTATIONS THE REOUIRENENTS OF THE NNPA SEEN TO HAVE SEEN COUPLIED NITH IN JAPAN ALTHOUGH NOT NITHOUT REGISTER- ING OF JAPANESE OFFICIALS ROTH GDVERNNENT AND PRIVATE HAVE EXPRESSED HOPE THAT THE NHPA VOULD RE ANEHDED IN THE FUTURE TO NAHE ITS EFFECTS NORE THEY DO NOT CONSIDER THE ACT TO BE PARTICULARLY FLEXIBLE EXCEPT PERHAPS FOR THE LATITUDE GIVEN NPT COUNTRIES IN RENEGOTIA- ION OF THEIR IILATERAL NUCLEAR AGREENENTS NO TINE LIHIT SETI THERE IS NO OUESTIDN IUT THAT THE JAPANESE LDOH UPON NUCLEAR POLICY AS CHANGEASLE AND UNPREDICT- ABLE AND IN FACT THERE IS THE HOPE EXPRESSED THAT IT HILL CHANGE AGAIN IN FAVOR OF OTHER COUNTRIES OF COURSE THERE IS NO HAY FDR THEN TO EVALUATE UHETHER SUCH CHANGES UILL RE SECRET Authority 15 0 II I I PAGE 51 ACTION COHP-OI TOHYO IASTS OJ OF US ZSOTJOI ELSA INFO OCT-O1 ARA-IL EUR-12 NEA-OS ADS-DO DES-OS L-OJ DOE-1T SS-15 SAC-OZ A-OZ IIOJ ZJGIDII 12 RSOZIIE AUG IO FH ANEHBASSY TOHYO TO SECSTATE NASHDC PRIORITY IESO INFO AHENRASSY RONN ANENSASSY ORAEILIA ANENDASSY OUENOS AIRES ANEHEASSY CANBERRA ANCONSUL FRANKFURT AHENSASSY LONDON AHENBASSY NADRID AHENRASSY NEH OELHI AF-HBASSY OTTANA AHENEASSY PARIS AHENOASSY SEOUL SECTION OH OF US TOHYO OR JAPAN HAS ACCEPTED AND ADHERED TO CURRENT U S NON- PROLIFERATION POLICY TO THE EXTENT THAT IT UNDERSTANDS OR IS INFORHED OF THE POLICY AIDE-T SONETIHES UNDER PROTEST E G NS-ID APPROVALSI THE RECENT INCIDENT NHICH THREAT- ENEO THE CUT-OFF OF NLCLEAR EXPORTS FROH THE U S TO JAPAN BECAUSE THE NRC NIGHT HARE A DETERNINATION THAT ALL OF JAPAN NUCLEAR FACILITES NERE NOT UNDER IAEA SAFESUAROS INSPECTIONISPECIFICALLY THE HEN NINGYO TOGE GAS CENTRIFUGE EHRICHHENT PILOT PLANTI IS A CASE IN POINT HHERE THE JAPAN- ESE THOUGHT THAT THEY HERE CARRYING OUT THE OBLIGATIONS OF THEIR NPT SAFEGUARD AGREEHENT NITN THE IAEA IN GOOD FAITH SECRET OUT IN EFFECT HERE TOLD OTHERNISE BY THE S ALTHOUGH JAPAN DOES NOT HAVE THE LEGAL AND REGULATORY FRANENORH TO CARRY OUT A STRICT EXPORT CONTROL PROGRAN FOR SENSITIVE NUCLEAR TECHNOLOGY AND EOUIPNEHT IT HAS RESPONOED AND AFFIRHATIVELY TO DAR EXPORTS NHEN ALERTEO BY THE U S TO POTENTIALLY DANGEROUS SITUATIONS II E NITH INDIA AND PAHISTANI TO OUR HNONLEOGE JAPAN HAS HOT TRIED TO SUBVERT ITS ONN STRONG NUCLEAR NON-PROLIFERATION POLICY FOR ECONONIC GAIN AS HAS BEEN THE CASE IN A FEN OTHER ADVANCED NATIONS THE JAPANESE LOOH UPON THE U S AS THEIR STRONGEST AND NOST INPORTANT ECONONIC NILITARY AND POLITICAL ALLY AND ACCEPT U S NUCLEAR POLICY LARGELY IN THIS CONTEXT THAT IS LIKE THE U S THEY NISH TO OEFUSE NON-PROLIFERATIOH ISSUES TO PREVENT THEN FROH SEING ELEVATED TO A EHOTIONAL LEVEL VHICH NIGHT AFFECT ADVERSELY OTHER PARTS OF THE RELATIONSHIP FURTHERHORE JAPAN DEPENOS ON THE U S AS ITS HAJOR SUPPLIER OF EHRICNNENT SERVICES AND SOHE NUCLEAR POVER PLANT COHPONENTS AND ALSO GUYS SOHE NATLRAL URANIUN IN THE U S THEREFORE JAPAN UOULO NOT SN TD RISH A CUT-OFF OF SUCH SUPPLIES CY TOO OPPOSITION TO U S POLICIES NHICH RESULTED IN A CONDITION COHTRARY TO A PROVISION OF THE OILATERAL AGREEHENT OR OF THE NNPA THESE FACTORS HARDLY ACCEPTANCE OF U S POLICY SINCE THEY ARE NEGATIVE IN CHARACTER HOHEVER THERE HAVE SEEN SONE SPECIFIC ACTIONS INITIATEO BY THE U S NNICH HAVE ACTED TO GAIN NHOLE-HEARTEO JAPANESE SUPPORT NE THINH INNEDIATELY OF THE SUCCESSFUL TASTEX PROGRAM FOR IHPROVING SAFEGUAROS AT REPROCESSING PLANTS THE RECENTLY INITIATEO HULTILATERAL PROGRAH FOR ESTABLISHING SAFEGUARDS PROCEDURES FOR GAS CENTRIFUGE ENRICHNEHT PLANTS AND THE SUCCESSFUL CONCLUSION OF THE JAPANESE GENERAL- LY PLAYED A CONSTRUCTIVE AND USEFUL ROLE EVEN IF NOT AGREE- SECRET Departmem of State DECLASSI FIED - INBUMING TELEGRAM TOHYO IITTJ O3 OF US IZOJSOE ING TO A L U S INFCE INITIATIVES ALSO THE JAPANESE HAVE ACCEDED TO JOINING THE U S IN PERFORHING THE PACIFIC SPENT FUEL STORAGE STUDY OUT NITHOUT COHNITING TNEHSELVES TO PARTICIPATION IN THE CONSTRUCTION OF AN ACTUAL FACILITY --D NE HAVE ADORESSEO ALREADY THE FACTORS NHICH INPEDE ACCEPTANCE OF POLICY THE JAPANESE CERTAINLY NOJLO LIKE TO SEE CHANCES NADE IN THAT POLICY FOR EXANPLE GENERIC APPROVAL OF NO-ID TRANSFERS NOULD RENOVE A FESTERING THORN NNICH ADVERSELY AFFECTS ALL OTHER PARTS OF THE NUCLEAR RELATIONSHIP AS RECENT CABLES HAVE REPORTED JAPANESE PLANS FOR BUILDING A COHNERCIAL REPRO- CESSING PLANT APPEAR TO BE IN A STATE OF FLUX BUT IF THE DECISION IS HADE TO PROCEED NITH SUCH A PLANT IT NILL BE DONE ONLY NITH THE ASSURANCE THAT THE NILL CHANGE ITS POLICY SUPPORT THE CONCLUSIONS OF INFCE IN REGARD TO REPROCESSING AND NILL NOT STAND IN HAY AT THE SAHE TINE THE JAPANESE ARE REALISTIC ENOUGH TO REALIIE THAT U S DONESTIC POLICY IN REGARD TO REPROCESSING PROBABLY HILL HAVE TO CHANGE ALSO RELATED TO THIS IS DISIRE TO SEE THE U S TAHE A HORE POSITIVE AND FORTHCONIHO STANCE TONARO THE INTERNATIONAL PLUTONIUH STORAGE CONCEPT JAPAN ALSO NOULD LINE TO SEE THE NRC RELIEVED OF ITS EXPORT CONTROL RESPONSIBILITIES NE HAVE CONNENTED ALREADY ON THE EVOLVING RELATION- SHIP RETNEEN THE U S AND JAPAN DURING THE PAST TNOYEARS AND ON THE NEGATIVE INPACT OF THE NNPA THIS POINT ALSO HAS BEEN COVERED ALHOST ALL OF THE DISCUSSION NERETOFORE IS RELATED TO PAGE BI TOHYO IABTS BI OF OS ACTION CONP-BI INFO OCT-OI ARA-II EUR-12 EA-IO ADS-HO NRC-B2 DOE-1T A-O2 OSEIIO IJOIOBI 12 RJBZIIE AUG BB EN ANENBASSY TOHYO TO SECSTATE NASHOC PRIORITY IISI INFO ANENBASSY BDNN ANENBASSY ORASILIA ANENBASSY OOENOS AIRES AHENBA SY CANBERRA AHCOHSUL FRANHFURT ANEHBASSY LONDON ANENBASSY NADRID ANENBASSY NEN DELHI DTTAUA ANENBASSY PARIS ANENOASSY SEOUL SECTION OI OF OS TOKYO THE PERCEIVED RELIAHILITY OF THE U S AS A SUPPLIER OF NUCLEAR FUEL IN ALL ENERGY NATTERS JAPAN IS HOST REIUCTANT TD RELY ON A SINGLE SUPPLIER EVEN IF THAT SUPPLIER IS CDNSIOEREO RELIAHLE IN SONE TINE FRANE THE SUSPENSION OF U S ENRICHNENT SUPPLY CONTRACTS IN 1571 HAS A FACTOR IN JAPAN TO CONTRACT UITN EURODIF FOR A PORTION OF ITS SEPARATIVE HORN REOUIRENEHTS IN THE AND TO ENBARN ON A VIGOROUS INDIGENOUS URANIUN ENRICHNENT PROGRAN JAPAN HAS BECONE ALHOST INDEPENDENT OF THE U S AND OTHER COUNTRIES IN TERNS OF NUCLEAR EOJIPNENT SUPPLY FOR L1GNT HATER OUT PROBABLY COJLD STILL FRON THE TRANSFER OF ADVANCED FAST BREEDER TECHNOLOGY AND EOUIPNENT THE INTERNATIONAL FUEL GANH CONCEPT AS PROPOSED BY THE U S SEEHS TO BE OF LITTLE INTEREST OT JAPAN SINCE IT NOULD NOT REALLY APPLY TO SITUATION IN THE EVENT OF A CUT-OFF OF SUPPLY BY A COUNTRY SUCH AS THE U S JAPAN HAS A NUNBER OF RESEARCH PROTECTS ON SAFEGUAROS BEING CARRIED OUT FOR THE IAEA INCLUDING ASPECTS OF THE NULTILATERAL TASTER PROORAN NHICH OF ITSELF IS DESIGNED FOR ENNANCEHENT OF IAEA SAFEGUARDS ALSO JAPAN HAS VORHEO HARD TO INCREASE THE NUNBER OF JAPANESE NATIONALS ON THE STAFF INCLUDING THE RECENT APPOINTNENT OF H IHANOTO TO SENIOR SAFEGUARDS POSITION THE CURRENT U S EFFORT TO DEVELOP IAEA SAFEGUARDS PROCEDURES FOR GAS CENTRIFUGE PLANTS HAS STRONG JAPANESE SUPPORT AND HE EXPECT THAT JAPAN NILL HE A NAJOR CONTRIBUTOR AND PARTICIPANT IN ANY PROGRAN NHICH EVOLVES FRON THE DISCUSSIONS NON GOING ON JAPAN IS ALSO ONE OF THE NAJDR IN RECOVER PROCRAN NHICH NILL PROVIDE THE IAEA NITH THE CAPABILITY OF RENOTE SURVEILLANCE OF SENSITIVE NUCLEAR FACILITIES BELIEVE THAT THIS OUESTION IS NOT NITHIN OUR PURVIEN SEVERAL INTENSIVE NEETINGS HAVE BEEN HELD VITH THE GOJ ON NEGOTIATION OF A NEV BILATERAL AGREENENT THE JAPANESE PREFER TO LOOH UPON THIS AS A SERIES OF DISCUSS- IONS BUT IT IS OUITE CLEAR THAT THE NOROING OF AN ACCEPT- ABLE AGREENENT HAS BEEN EVOLVING STEADILY THE GOJ HAS BEEN EXPLICIT IN STATING NONEVER THAT IT HILL NOT ENTER INTO A NEH AGREENENT UNTIL EURATON HAS DONE LIHEVISE IDR PERHAPS UNTIL IT IS CERTAIN THAT THE EURATON AGREEHENT NILL BE CONSUNNATEDI DESIN IS NUCH NORE FANILIAR NITH THE STATUS OF THE NEGOTIATIONS AND THE RENAINING OBSTACLES THAN IS THE ENBASSY AND HE DEFER TO THE JUOGNEHTS IN THIS REGARD SO FAR THE GOJ HAS NOT NAOE A CONTENTIOUS ISSUE OF THE NNPA REOUIRENENT FOR A NEH AGREENENT BUT ALNOST SECRET SECRET Department of State INBUMING TELEGRAM TOKYO IIBTJ OI OF US T303331 CERTAINLY NOULO DO SO IF AN ATTENPT HERE NADE TO FORCE JAPAN TD AN AGREENENT BEFORE EURATON DOES --H NE DO NOT OF ANY SPECIFIC INSTANCES DURING THE PAST YEARS NHERE U S NON-PRDLIFERATION POLICY HAS TO A 1053 OF SALES OF NATERIALS OR SERVICES HOST SALES FRON THE U S ARE UNDER LONG-TENN GOVERNNENT OR PRIVATE CONTRACTS AND HE ARE NOT AUARE OF ANY OF THESE BEING ABROGATEO AT ONE TIHE THERE APPEARED TO BE THE POTENTIAL FOR LOSS OF SALES OF HIGHLY ENRICHED URANIUN FUEL FOR RESEARCH REACTORS NHEN THE U S ADOPED A POLICY OF GRADUAL NOVENENT TOVARD FUEL NITH LONER ENRICHNENT AND ULTINATELY TONARO THE USE OF IEU HESS THAT 2D PERCENT U-RJSI HDUEVER THE JAPANESE HAVE NOT SOUGHT OTHER SUPPLIERS AND IN FACT HAVE ENTERED INTO A JOINT DEVELOPNENT EFFORT HITN THE U S TO PERFECT EHRICHNENT FUELS IN THIS INSTAHCE THE U S TOOH SPECIAL STEPS TO CONTINUE TO SUPPLY JAPAN NITH HEU AS AN INTERN UHICN HAS GREATLY APPRECIATED BY THE RESEARCH REACTOR OPERATORS uL AS POINTEO OUT IN A NUMBER OF PLACES ABOVE PASSAGE OF THE NNPA HAS HAD BOTH POSITIVE AND NEGATIVE EFFECTS ON NON-PRO IFERATION POLICY RELATIONS BETNEEN THE TNO COUNTRIES HERE AT A LON EBB DURING THE PERIOD IN NHICN THE NNPA HAS BEING FORNULATED IN CONGRESS NITH THE TOHAI NORA ISSUE STILL FRESH AND THE JAPANESE FEARED THE HORST ON THE PASSAGE OF NNPA HONEVER THE PASSAGE AND TATION OF THE ACT ONEROUS AS IT HAS TO JAPAN DENONSTRATEO THAT NHAT CONSIDERED PREVIOUSLY AS THE UNPREDICTABLE VAGARIES OF U S NUCLEAR POLICY HAD BEEN CODIFIED BY LAN AND THAT CHANGING LANS IS NORE DIFFICULT THAN CHANGING POLICIES- THUS NE BELIEVE THAT THE JAPANESE NORE OR LESS DECLASSIFIED Aulhorily u Tulle PAGE 61 TOKYO 14873 05 OF DE 2363442 ACTION INFO OCT-51 EUR-12 ADS-GB DES-55 ACDA-12 SS-15 A-BZ 103 332126 2394352 12 2332412 AUG 85 FM AMEMBASSY TOKYO TO SECSTATE WASHDC PRIORITY 1252 INFO AMEMBASSY BONN AMEMBASSY BRASILIA AMEMBASSY BUENOS AIRES AMEMBASSY CANBERRA AMCONSUL FRANKFURT AMEMBASSY LONDON AMEMBASSY MADRID AMEMBASSY NEW DELHI AMEMBASSY OTTAWA AMEMBASSY PARIS AMEMBASSY SEOUL SECTION 05 OF 05 TOKYO 14373 SECRET ARE RESIGNED TO LIVING WITH THE NNPA AND ADJUSTING THEIR OWN POLICIES AND PROCEDURES ACCORDINGLY UNLESS IT APPEARS INBUMING TELEGRAM 6253 THAT A CONCERTED MOVE TOWARD LIBERALIZATIDN OF THE ACT TAKES PLACE IN THE UNFORTUNATELY THE ADUSTMENT OF GOJ POLICY MAY WELL TEND TOWARD PUTTING A GREATER DISTANCE BETWEEN THE TWO COUNTRIES IN THE RELATIONSHIP ALTHOUGH THIS PROBABLY WILL NOT BE A NEAR-TERM WE DOUBT THAT THE DECLINE IN THE SHARE OF SALES OF MENT SERVICES OF ITSELF HAS HAD AN ADVERSE AFFECT ON THE U S ABILITY TO SPECIFICALLY INFLUENCE NUCLEAR RATHER THE OVERALL STRINGENCY OF THE NON- PROLIFERATION POLICY HAS ADVERSELY AFFECTED INFLUENCE ON JAPAN IN CONCERT WITH A LARGE NUMBER OF OTHER COUNTRIES SO THAT JAPAN TOGETHER WITH THE OTHER COUNTRIES PERHAPS FEELING SOME SAFETY IN NUMBERS ARE NOW MORE INCLINED TO CHALLENGE OR AT LEAST DEBATE THE MERITS OF INFCEI OF COURSE WAS THE FORUM WHERE THE DEBATE TOOK PLACE FIRSTI AND NOW THE SECOND NPT REVIEW CONFERENCE PROVIDES ANOTHER VEHICLE FOR REACTION --M JAPAN APPEARS TO UNDERSTAND THE NEED FOR THE EXPORT CRITERIA BUT OUESTIONS THE MANNER IN WHICH THEY ARE FOR EXAMPLE THERE HAVE BEEN LONG DELAYS IN THE APPROVAL OF FUEL SHIPMENTS TO JAPAN IA PROBLEM THAT MAY BE PERHAPS THE MOST STARTLING EVENT CONCERNING THE EXPORT CRITERIA WAS THE POSITION ON THE SHIPMENT OF FUEL TO CASE DISAPPROVED BY THE NRC BUT OVER- RULED BY THE PRESIDENT AND SUBMITTED TO THE CONGRESS FOR ULTIMATE DECISION THE APPARENT LACK OF COHERENCE WITHIN THE USGI COUPLED WITH U S INTENTIONS OF SUPPLYING FUEL TO A NDN-NPT COUNTRY WHICH HAD A NUCLEAR DEVICE AND WHICH DID NOT HAVE FULL-SCOPE SAFEGUARDS IN PLACE WAS TOO MUCH FOR THE AVERAGE JAPANESE TO WHEN SUCH RESTRICTIONS AS MB-IB APPROVALS AND APPROVALS FOR SHIPMENT OF REACTOR FUEL TO JAPAN CONTINUE TO BE STRICTLY ENFORCED NOTWITHSTANDING WORDS ALONG THESE LINES FROM MORE SOPHISTICATED GOJ OFFICIALS WE BELIEVE THAT THEY FULLY UNDERSTAND THE REASONS AND THE NEED FOR THE HOWEVER THEY MAY USE THE ARGUMENT TO THEIR ADVANTAGE IN THE EVENT THAT RESTRICTIONS ON EXPORTS TO JAPAN SHOULD OCCUR IN THE FUTURE FOR SOME UNPREDICTABLE MANSFIELD SECRET National 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