TOKYO, April 1 (Xinhua) -- Business sentiment among major manufacturers in Japan deteriorated for the first time in four quarters, reflecting a sharp drop in the auto sector caused by production cuts, the Bank of Japan (BOJ) Tankan survey showed Monday.

The key index measuring confidence among companies such as those in the auto and electronics sectors stood at plus 11, against plus 13 in the previous survey for December, according to the quarterly survey for March.

The reading represented the percentage of companies reporting good business conditions minus those reporting the opposite.

Confidence took the biggest hit among automakers with a drop of 15 points to plus 13, reflecting production disruptions caused by a safety scandal engulfing Toyota Motor Corp. group companies.

Meanwhile, large nonmanufacturers, including the service sector, benefited from a revival of inbound tourism and the passing of higher costs on to consumers, the central bank said.

The current business condition for large nonmanufacturers came to plus 34, up from plus 32 in the previous survey in December, improving for the eighth straight quarter to hit its highest level since 1991, the BOJ said.

Looking ahead to the next three-month period, both manufacturers and nonmanufacturers are less optimistic, with their indexes worsening to 10 and 27, respectively, it added. Enditem

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