Japanese equities declined after China reported a slowdown in imports' growth in June. Nikon Corp tumbled more than 7% as Intel Corp decided to invest in another Japanese chip-making equipment manufacturer. Oil and gas sector was the top-performer on lingering oil supply worries, with Showa Shell Sekiyu climbing 1.76%. Meanwhile, financials followed bearish trend, dropping by 1.19%. Aozora Bank, Mizuho Financial Group and Shinsei Bank all decreased 1.59%, 1.53% and 1.02%, respectively.