March 27 (Reuters) - Japanese stocks saw a significant

outflow of foreign funds in the week through March 22 as

investors became more cautious ahead of next week's anticipated

U.S. tariff hikes and their potential disruption to Asian supply

chains.

Foreigners sold Japanese stocks for an eighth consecutive

week, totalling 1.21 trillion yen ($8.06 billion) last week,

following net disposals of about 1.81 trillion yen in the

previous week, according to data from Japan's Ministry of

Finance.

U.S. President Donald Trump announced on Wednesday a 25%

tariff on imported cars and light trucks starting next week, a

move expected to drive up prices, hamper production, and

significantly impact Japan's auto sector.

These foreign outflows last week contrasted with a 1.68%

gain in the Nikkei share average, which still trades

below its 200-day exponential moving average, hovering around

38,150 points.

Cross-border investors also divested Japanese bonds during

the week, snapping a three-week buying streak. They offloaded

1.8 trillion yen worth of long-term bonds, marking their highest

weekly net sales since December 21.

Additionally, they withdrew 713.2 billion yen out of

short-term bills.

At the same time, Japanese investors scooped up about 272.1

billion yen worth of foreign stocks, registering their fifth

weekly net purchase in six weeks.

In foreign bond markets, Japanese market participants shed a

net 207.1 billion yen worth of long-term bonds, extending net

sales into a third successive week.

($1 = 150.1400 yen)