The top seeded Indian, who is making a comeback to the competitive tennis after a six-month injury break, lost 2-6 6-4 5-7 to his unseeded rival in the hard court event.
Yuki paid the price for not being able convert any of the five breakpoints he got in the third and decisive set.
However, the Indian, who is now ranked 283, had a lot of positives to take from the tournament, where he managed to win three matches.
The Delhi lad, who featured in top-100 around this time last season, had played two Challenger level events -- Stockton and Tiburon -- before coming here but fell in the first rounds of both.
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