TOKYO (Kyodo) -- Tokyo stocks dropped Thursday morning, led by auto shares after U.S. President Donald Trump said an additional 25 percent tariff on all automobiles will be imposed next week.

The 225-issue Nikkei Stock Average shed 353.26 points, or 0.93 percent, from Wednesday to 37,674.03. The broader Topix index was down 12.31 points, or 0.44 percent, at 2,800.58.

The U.S. dollar weakened to the lower 150 yen zone in Tokyo, as the yen, seen as a safe-haven asset, was bought on growing concern over the global economy following Trump's announcement on auto tariffs, dealers said.

At noon, the dollar fetched 150.17-19 yen compared with 150.53-63 yen in New York and 150.40-42 yen in Tokyo at 5 p.m. Wednesday.

The euro was quoted at $1.0775-0777 and 161.81-86 yen against $1.0747-0757 and 161.66-76 yen in New York and $1.0786-0787 and 162.23-27 yen in Tokyo late Wednesday afternoon.

The stock market was dragged down by auto shares, while heavyweight semiconductor-related issues also tracked overnight declines in their U.S. counterparts on the Nasdaq index.

But losses were limited by some investors buying shares to secure dividend rights before the end of the business year on Monday, brokers said.