The Japanese system of decision-making is often referred to as Japan, Inc., alluding to a blending of political, bureaucratic, and business circles into one unit. This relationship has also been portrayed as the horizontal bar on the letter T with the vertical bar symbolizing the hierarchically structured society that is subservient to its ruling class (Pempel 1987; Broadbent 2002). This paper argues that the Japanese political system is not always quite so rigid. Looking at climate governance, specifically the period during 2001-02 when Japan sought to reposition itself after the Bush Administration's withdrawal from the Kyoto Protocol reveals that public opinion and non-profit organizations were influential forces. Japan is constitutionally a parliamentary democracy, but power has rested primarily with the major ruling party, the Liberal Democratic Party (LDP), the Ministry of Economy, Trade, and Industry (METI, before 2001 called MITI), and business (with the business association Keidanren as its primary mouthpiece). Prime ministerial power is limited not just because Japan is a parliamentary democracy, but because of the strong prevalence of factional politics within the LDP (Orr 1990). Although non-profit organizations are comparatively weak in Japan, they are gradually emancipating.This paper examines the roles of state and non-nation state actors in determining climate policy. Many studies on Japanese politics have used the reactive versus proactive dichotomy. While the Japan-as-'proactive-state' proponents argue that Japan's foreign policy is primarily internally driven (Yasutomo 1995; Anderson 1993; Nester 1990), the 'reactive-state' advocates claim that it is subject to significant foreign pressure (gaiatsu). However, the advocates are divided over whether this is due to international systemic conditions - that is, Japan's dependence on the United States for defense or trade - or whether domestic factors are the cause of Japan's passiveness (Calder 1988; Schoppa 1997; Orr 1990; Sato 1977). Such factors include the strong sectionalism of Japan's bureaucracy, the absence of a powerful central executive, Japan's unique electoral system, and the factionalism of the ruling Liberal Democratic Party (LDP) (Calder 1988); in fact, they seem to include almost anything in the Japanese political system that is peculiar to the Western eye.Since assessments of the 'reactive state' theory diverge significantly, it has to be concluded that the extent of reactiveness or proactiveness by Japan on a particular foreign policy issue depends to a great deal on the respective determinants of a policy issue. They can include vested interests, strategic factors such as energy dependence, foreign policy goals or the level of media attention. If these determinants are weak, then Japan is more likely to be reactive to foreign pressure. Campbell (1992, xxx) argues that the presence (or absence) of a policy sponsor with sufficient resources, drive and skills to push a particular issue forward (or hold it back) is "the single most important 'variable' in determining whether and when a policy change will occur, and sometimes its contents as well".This paper describes the Japanese political system and examines the Japanese policy constituency on climate change to ascertain whether there is a policy sponsor and who this is who is driving the Japanese climate change agenda, and what role non-state actors play in this process. It starts from the premise that different types of policy networks exist in Japan, which span from stable, highly-integrated policy communities with restricted membership to unstable, loosely-integrated issue networks with large numbers of participants (Rhodes and Marsh 1992)... ..PAT.-Unpublished Manuscript [ABSTRACT FROM AUTHOR]