3RD LD: Kan, Obama form stronger bond amid China's rising power+

YOKOHAMA, Nov. 13 Kyodo -
Prime Minister Naoto Kan and U.S. President Barack Obama on Saturday agreed on
the need to further consolidate security and economic ties between the two
countries, at a time when Japan's relations with China and Russia have turned
chilly over territorial issues.
Kan and Obama underscored that the Japan-U.S. security alliance, which marked
its 50th anniversary this year, is the cornerstone of peace and stability in
the Asia-Pacific region, when they met bilaterally in the morning in Yokohama
just before the start of a two-day summit of Asia-Pacific countries.
''For peace and stability in this region, the presence of the United States and
its military is more important and this recognition has been shared by me and
many people in the country, as well as our neighboring countries,'' Kan told
reporters after the meeting.
During the hour-long meeting, Kan said he expressed his gratitude to Obama for
''supporting Japan throughout'' when its ties with ''China and Russia have
recently had some problems.''
Obama, who spoke to the press with Kan, said five decades of the alliance has
proved that ''Japan and the United States are stronger when we stand
together.''
''The commitment of the United States to the defense of Japan is unshakeable,''
Obama said.
The leaders made the remarks when Japan has been drawn into a diplomatic spat
with China over the ship collisions in September near a chain of disputed
islands in the East China Sea, and that with Russia after President Dmitry
Medvedev made a trip earlier this month to one of the islands claimed by Japan,
located off Hokkaido.
On the economic front, Kan and Obama discussed how to rely less on China for
the production and supply of rare earth minerals, used to manufacture a range
of high-tech products, following its recent unannounced constraints on exports.
The leaders reached a final agreement on the launch of high-level talks on
energy and resources as part of their efforts to diversify the supply of the
minerals and develop alternative materials.
Japan and the United States, along with many other developed countries, have
expressed concerns over export restrictions on rare earths by China, which
controls almost all of global output.
China has restricted shipments of the minerals to Japan since late September,
after the ship collisions near the Senkaku Islands, although Beijing has
steadfastly denied imposing an embargo.
Free trade was also high on the agenda in the meeting between Kan and Obama, as
is the case in the summit of the Asia-Pacific Economic Cooperation in the port
city near Tokyo.
Kan said he explained that Japan is ''steering significantly toward opening
itself up,'' and Obama welcomed Japan's decision earlier this week to enter
consultations with countries interested in becoming part of a U.S.-backed
multilateral trans-Pacific free trade agreement.
Obama also voiced support for reforming the U.N. Security Council and Japan's
bid to become a permanent member.
''I reiterated our long-standing view that Japan stands as a model of the kind
of country we would want to see as a permanent member of the Security
Council,'' the president said.
Among other things, Kan and Obama agreed to accelerate talks on what to do
about Tokyo's expenditures for U.S. military bases in Japan in fiscal 2011 and
later.
Kan also told Obama about Japan's assistance to Afghanistan, including the
possibility of sending Self-Defense Forces medical officers to the war-torn
country, according to Japanese officials.
But Kan and Obama apparently did not step up the debate on the relocation of
the U.S. Marine Corps Futenma Air Station in Okinawa Prefecture, as official
campaigning began Thursday for the prefecture's gubernatorial election on Nov.
28.
The relocation plan, agreed by Tokyo and Washington in May this year, is the
hottest issue in the election, with the two major candidates calling for moving
the base outside of the prefecture.
Although Kan's predecessor Yukio Hatoyama had resolved to transfer the U.S.
base outside of Okinawa, the two countries ended up agreeing to keep it within
the southern prefecture under the accord, which has met strong opposition from
the local people.
Hatoyama had angered the United States with his attempts to review the form of
the alliance. But Kan, who became prime minister in June, has sought to smooth
ties with Washington.
''After the election, I will make again utmost efforts'' toward the relocation
based on the accord, Kan quoted himself as telling Obama.
Obama, who is in Japan for the second time since taking office in January 2009,
invited Kan to visit the United States next spring.
Kan accepted the invitation, saying that the two countries will release a joint
statement on the long-standing security alliance when he visits the United
States next time.
==Kyodo