Markets in Asia closed higher on Monday, despite news that Takata had filed for bankruptcy, as oil prices gained more than 1%.
The Nikkei 225 gained 20.68 points, or 0.1%, to 20,153.35
The Hang Seng Index hiked 201.84 points, or 0.8%, to 25,871.89.
Auto parts manufacturer Takata has filed for bankruptcy in Japan and the U.S. Faulty air bags produced by Takata have resulted in the largest-ever product recall in the auto industry, with at least 17 deaths linked to the scandal. Shares of the company have been suspended from trade on the Tokyo Stock Exchange and were set to be de-listed on July 27.
Japan automakers closed mixed following statements from Toyota and Nissan, among others, which said it could be difficult to recover recall costs from Takata. Toyota shares closed down by 0.4%, but Nissan shares were 0.2% higher.
Meanwhile, shares of Toshiba closed down by 3.1% following news the stock had been reassigned to the second section of the Tokyo Stock Exchange from the first section.
Against the yen, the U.S. dollar trended higher to fetch 111.38 yen, compared with around 111.2 last week.
On the economic calendar for Monday, Hong Kong trade data for the month of May was expected late afternoon local time.
Australian markets inched ahead, buoyed by gains in their consumer staples and utilities sub-indexes.
Glencore on Friday raised its offer to buy Rio Tinto's Australian coal assets. The latter earlier said it had selected a bid from Yancoal, a Chinese-owned company. Rio Tinto's Australia-listed shares finished the session higher by 1.3% at 59.570 Australian dollars each.
Fitch Ratings downgraded commodity trader Noble Group's long-term foreign currency issuer default rating to "CCC" from "B-." Shares of the company are listed on Singapore's stock exchange, which is closed today.
In energy news, oil prices climbed on the back of the weaker dollar, although U.S. crude continued to trade below the $45 mark. Brent crude rose 1.3% to trade at $46.11 U.S. a barrel and U.S. West Texas Intermediate advanced 1.2% to trade at $43.53.
In other markets
Markets in Singapore were shuttered for the end of Ramadan.
The CSI 300 added 42.51 points, or 1.3%, to 3,668.09
In Taiwan, the Taiex index hiked 136.26 points, or 1.3%, to 10,513.96
In Korea, the Kospi index gained 10.06 points, or 0.4%, to 2,388.66
In New Zealand, the NZX 50 regained 41.86 points, or 0.6%, to 7,595.50
In Australia, the ASX 200 eked up 4.29 points, or 0.1%, to 5,720.16
