Country Reports on Terrorism 2008 - Japan

Japan bolstered its border security and enhanced national counterterrorism measures in coordination with the United States. Japanese immigration officials strengthened their capability to identify suspicious travelers upon entry into Narita International Airport through fingerprinting and facial recognition technology. Using the Biometric Immigration Control System, officials denied entry to roughly 860 travelers during the year for offenses such as prior deportation and fake passports. In July, the Japanese Foreign Ministry's International Counterterrorism Cooperation Division extended the pilot Immigration Advisory Program with the U.S. Department of Homeland Security (DHS) for one additional year. The program, which embeds DHS officers at Narita, was viewed by the Japanese government as an effective way to prevent improperly documented air passengers from boarding U.S.-bound flights. Tokyo also worked to ensure the integrity of Japanese travel documents to reduce the risk of travelers using fake passports under the expanded VISA Waiver Program.

Japanese authorities collaborated with U.S. officials to increase U.S. access to database records and fingerprints of known or suspected terrorists. As a VISA Waiver Program country, Japan held discussions with U.S. counterparts to widen database and biometric record exchanges on known and suspected terrorists under Homeland Security Presidential Directive (HSPD)-6. The Japanese Government also educated travelers on the Electronic System for Travel Authorization through media spots and briefings to major domestic travel agencies.

Japan likewise took steps to strengthen port and shipping security. Under the Container Security Initiative, Japanese authorities worked with U.S. officials embedded at Japanese ports to review ship manifests and to screen suspicious containers. Japan and the United States agreed in July to launch a pilot project under the Megaports Initiative Program, which provides for scanning of containers to detect radiological material. Japan was in the process of procuring necessary equipment, such as radiation portal monitors. Japan also continued collaboration with the U.S. on science and technology for homeland security through the U.S.-Japan Framework Initiative for a Safe and Secure Society.

Inside Japan, the NPA and the Public Security Intelligence Agency (PSIA) continued to monitor the activities of Aum Shinrikyo, renamed Aleph, and its splinter group, Hikari no Wa. In December, PSIA filed a request with the Public Security Examination Commission, a Justice Ministry-affiliated decision-making board, to maintain surveillance of Aleph and Hikari no Wa for an additional three years. PSIA has monitored Aum since 2000 under the Organization Control Law, a measure that allows the Agency to conduct on-site facility inspections and to obtain quarterly operational reports from the group. Both groups continued to perpetuate the ideology of Aum founder and sarin gas attack planner Chizuo Matsumoto, aka Shoko Asahara. PSIA inspections revealed that many original Aum members continued to hold leadership positions in the groups, and that Aum facilities maintained portrait photos and video teachings of Asahara.

Japan also reached beyond its borders to fight terrorism. Japan is the second largest contributor to Iraq reconstruction, with $1.5 billion in grants, $3.5 billion in concessionary loans, and $6.9 billion in debt relief. Japanese Air Self Defense Force transport aircraft operated out of Kuwait in support of Operation Iraqi Freedom but ended its mission in December. Japan remained an active partner in Operation Enduring Freedom (OEF) and a key international contributor to Afghan stabilization and reconstruction. Japan has pledged more than $2 billion in reconstruction aid since 2002 and continued construction on the 114 kilometer stretch of the southern ring road between Kandahar and Herat. The Maritime Self Defense Force continued to conduct refueling operations in support of OEF in the Indian Ocean and has provided more than $150 million of fuel to U.S. and coalition vessels since 2003.

In October, Japan participated in the fourth annual U.S.-Japan-Australia trilateral strategic dialogue on counterterrorism, as part of the Trilateral Strategic Dialogue, which aimed to coordinate regional activities. Japanese officials chaired a specialist working group on border security and took part in discussions on Chemical, Biological, Radiological, and Nuclear weapons (CBRN), law enforcement capacity building, and counter-radicalization.

Japan assisted counterterrorism capacity building in developing countries through seminars, workshops, and training. In January, Japan hosted the Seminar on Promotion of Accession to International Counterterrorism Conventions and Protocols for the fifth consecutive year. Tokyo promoted information sharing and provided implementation guidance to participants including Fiji, Papua New Guinea, and several members of the Association of Southeast Asian Nations (ASEAN). In May, Japan joined the United States, Australia, and the Southeast Asia Regional Centre for Counterterrorism at the Southeast Asian Bioterrorism Workshop in Kuala Lumpur to augment the crisis management and counter-CBRN capabilities of several ASEAN participants. Japan also assisted third country law enforcement personnel by dispatching experts and accepting trainees. The Japanese Coast Guard (JCG), for example, provided capacity building services and training seminars to authorities from states that border the Strait of Malacca. Since 2002, Japan has offered technical assistance to support local police in Indonesia and has provided training to coast guard counterparts from the Philippines. Beyond Southeast Asia, Japan dispatched three JCG members to Oman and Yemen in December to assist local officials in addressing piracy concerns in waters off the Horn of Africa.

Japan contributed to counterterrorism capacity building through membership in multilateral fora. In April, Japan participated in the Sixth Asia-Europe Meeting (ASEM) Counterterrorism Conference, where members shared threat assessments and discussed ways to increase counterterrorism capacity-building. During the ASEM Summit in October, Japan joined other members in condemning terrorism and reaffirming commitment to the UN Global Counterterrorism Strategy. Under Japan's G8 presidency, Japan issued calls to improve information sharing, strengthen the security of land, sea, and air transportation and maintain momentum on the G8 Counterterrorism Action Group. Also under Japan's stewardship, participants held the G8 Bioterrorism Experts Group workshop in the United States (May) and in Germany (June).

Japan undertook measures to combat terrorist financing. Under the Law for Prevention of Transfer of Criminal Proceeds, Japan expanded the scope of businesses and professions under the previous law's jurisdiction. Under the Foreign Exchange and Foreign Trade Law, Japanese financial institutions must confirm the identity of customers sending 100,000 yen or more overseas. For domestic remittances, financial institutions must identify the originators of wire transfers over 100,000 yen. To help stem the flow of terrorist financing to al-Qa'ida and the Taliban, Japan also took steps to freeze assets of individuals and entities listed under UN Security Council Resolution 1267.

Japan became the 22nd country to undergo a comprehensive Financial Action Task Force (FATF) Mutual Evaluation; it had difficulty meeting FATF recommendations specific to financial institutions. FATF made a number of findings regarding Japan's illicit finance practices, including the low number of money laundering prosecutions (225 in 2006). It noted that Japan's established mechanism for freezing terrorist assets did not cover the potential use of domestic funds or other means of support for listed terrorist entities and did not allow Japan to freeze terrorist funds expeditiously. FATF also found that Japanese law had no requirements for financial institutions to establish and maintain procedures, policies, and internal controls to prevent illicit finance.