(2 of 3)
The crowd found another target in the President Hotel, operated by Japan Air Lines. Watching from their windows, Japanese guests were understandably shaken as security forces hurled back wave after wave of rioters. On one occasion, an enormous crowd advanced toward the nearby square but was finally dispersed by troops in scout cars.
One young rioter told a Western journalist: "Don't worry, this is not against you. It's against the Japanese." In the opinion of many Indonesians, however, it was not so much an anti-Japanese demonstration as an outpouring of Indonesian grievances. "The Tanaka visit," observed a leading Jakarta editor, "was merely the detonator."
Among the feelings it detonated were outrage over the corruption of government officials and the ostentatious life-style of the rich generals. The students resent the special privileges held by the Chinese residents, who work harder and live better than most native Indonesians. They are also angry that the nation's new-found wealth (derived from oil, which during the past year has jumped in price from $4 per bbl. to $10.80) has not bettered the lives of the Indonesian masses, whose per capita income is only $95 per year. In addition, the rioting obviously reflected a general dislike of the country's growing number of Japanese businessmen, who often strike Indonesians as ruthless, arrogant and aloof. "Is it really necessary," asks one official mildly, "for them to have Japanese barbershops here?"
More Mixing. While riots raged around them, Premier Tanaka and President Suharto went through the motions of a formal meeting, assuring each other of their intention to "further strengthen the friendship and cooperation between the two countries." More specifically, they discussed their $2 billion-per-year trade. When Suharto asked for a firm commitment of 500,000 tons of artificial fertilizer, Tanaka hinted that this would depend on how much Indonesian oil Japan could expect (out of the 1.4 million bbl. that Indonesia currently produces per day). Such trade is essential to both countries, and details of the barter were left up to experts to settle.
Suharto assured Tanaka that his government continued to welcome Japanese investment. But he gently implied that the Japanese would do well to try to mix a little more with the local people, work a little less hard and maintain a somewhat lower profile; Tanaka agreed. For his part, Tanaka gave his blessing to two huge Japanese enterprises planned in Indonesia: a $700 million natural-gas project in East Kalimantan and North Sumatra, and the $500 million Asahan hydroelectric power and aluminum smelter development. He emphasized that Japan would continue to provide Indonesia with one-third of the $600 million in aid supplied by a consortium composed of Japan, the U.S. and Western Europe.