Japanese businesses increased capital investment at a faster pace in the first quarter of this year just as U.S. President Donald Trump¡¯s administration touted the coming tariff campaign that kicked off in March.

Capital expenditure on goods excluding software gained 1.8% in the three months through March from the previous quarter, when such outlays rose by 1.3%, the Finance Ministry reported Monday. The reading compares with a 1.4% gain in corporate investment reported in the preliminary reading of Japan¡¯s gross domestic product. The latest data will be factored into a revised GDP report due for release on June 9.

Compared with a year ago, investment including software increased 6.4%, beating the median estimate of a 3.8% gain. Profits rose 3.8% from a year earlier and sales advanced 4.3%.