(Updates prices as of midday trading recess)

By Kevin Buckland

TOKYO, April 3 (Reuters) - Japan's Nikkei share average

slumped to an eight-month low on Thursday after U.S. President

Donald Trump revealed a broad set of reciprocal tariffs,

including a larger-than-anticipated 24% levy on Japanese goods.

The Nikkei fell as much as 4.6% in early trading,

diving to 34,102.00 for the first time since August 7. By the

midday recess, losses had eased somewhat, with the index down 3%

at 34,673.69.

Of the Nikkei's 225 components, 206 were in the red and just

19 showed gains.

The broader Topix lost as much as 4.3% before

recovering slightly to trade 3.3% lower.

"We thought tariffs would be 10%, maybe 20%, but instead

they were a whopping 24%," said Kazuo Kamitani, an equities

strategist at Nomura Securities.

"Call it the Trump tariff shock," he said. "The market is

firmly in risk-off mode."

Banks were the worst performers among the Tokyo

Stock Exchange's 33 industry groups, sliding 7.2%, as a sharp

decline in bond yields both domestically and internationally

darkened the outlook for income from lending and investing.

Regional lender Resona Holdings ( RSNHF ) was the

worst-performing stock in the Nikkei, with a 9.5% slump.

Chip-sector heavyweights saw significant sell-offs. Tokyo

Electron ( TOELF ), a chip-making equipment manufacturer,

dropped 4.2%, while Advantest ( ADTTF ), a chip-testing equipment

maker and Nvidia ( NVDA ) supplier, slumped 3.3%.

A rally in the safe-haven Japanese yen exacerbated

losses for the country's numerous exporters.

The Tokyo bourse's automaker sub-index dropped

4.5%, with shares of Toyota Motor ( TM ) sliding 5.2%.

In a rare respite among Trump's aggressive tariff measures,

the latest levies will not be added on top of a separate 25%

duty on car exports to the United States that is set to take

effect later in the day.

Following Trump's tariff announcement, Japanese Trade

Minister Yoji Muto said that he will consider various options to

determine what is best for the country.

"Though some market participants are expecting quick

deals (with Washington), negotiations could take time,"

particularly since the White House has targeted non-tariff

barriers to trade like VAT, said Norihiro Yamaguchi, an

economist at Oxford Economics.

"The equity market is unlikely to bounce back given

heightened uncertainties."