The reason why the Hirohito gimmick was scrapped
The word from backstage is that Kenzo and Hiroko Suzuki talked Vince McMahon into nixing the Hirohito gimmick due to the potential backlash it would have with WWE's loyal Japanese fans. WWE makes a lot of money off its tours to the region, and offending them with such a gimmick would not be worth it.
Suzuki will now likely move to SmackDown, although, was originally scheduled to be in RAW's main-event in a title feud with Benoit.
Some sources claim that this was a thoroughly-planned angle by WWE, and Benoit and Jericho were announced as being from the US to create US vs. Japan feuds with Hirohito. Both men were expected to work high-profile feuds with Suzuki's Hirohito character, although plans have been scrapped. It is not known how highly he'll be pushed on SmackDown!
[Source: PWTorch.com Newsletter]
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