Japanese equities experienced a setback, with the Nikkei 225 index sliding 1.1% to close at 39,542.01 points. At the forefront of this decline were chip stocks and heavy industry shares, notably Advantest, which fell 4.7%, and Kawasaki Heavy Industries, which dropped 4.6%. This downturn was primarily driven by investors opting to lock in profits amidst the uncertainty surrounding US tariff policies.