You are here

Tokyo: Nikkei slips as Toyota reels from Trump threat, Fast Retailing fall

40775400 - 05_12_2016 - JAPAN-STOCKS-MARKETS.jpg

[TOKYO] Japan's Nikkei share average dropped on Friday as automakers dragged after incoming US President Donald Trump threatened to slap punitive taxes on Toyota cars imported into the United States from Mexico, while Fast Retailing weighed on the market.

The Nikkei fell 0.3 per cent to 19,454.33. For the week, it was up 1.8 per cent.

Fast Retailing Co dived 6.7 per cent and contributed a hefty negative 109 points to the benchmark index after saying that same-store sales at its Uniqlo clothing outlets in Japan fell 5 per cent in December from a year earlier.

Toyota Motor Corp fell more than 3 per cent at one point after Mr Trump threatened to impose heavy taxes on the automaker if it builds its Corolla cars in Mexico for the US market.

Market voices on:

Toyota later trimmed the drops and ended 1.7 per cent lower.

Other Japanese carmakers also fell, with Honda Motor Co and Nissan Motor Co falling 1.9 per cent and 2.2 per cent, respectively.

The broader Topix dropped 0.2 per cent to 1,553.32 and the JPX-Nikkei Index 400 fell 0.2 per cent to 13,928.49.