Hijikata, the world No.111, did not lose a service game in the second-round match as Mpetshi Perricard won the key tiebreak points in his 4-6 7-6 (7-5) 7-6 (7-4) win.
There are now no Australians left in the tournament which moves into the quarter-final phase in both the men's and women's sections.
Hijikata, who came through the qualifiers, has a wildcard entry to the Australian Open where he will be aiming to advance beyond his previous best result of reaching the second round in 2023.
The 24-year-old has stated his desire to focus on lifting his world singles ranking above his best position of No.62 in August of 2024, attained after reaching his fourth ATP quarter-final of the season at the Winston-Salem Open.
"I feel like I have got so much more to improve and definitely got a lot of gears I can keep ticking over," he said.
"I feel like I am not even close to playing my best tennis. That's a really positive thing.Â
"I want to do as well as I can in my singles. That is my focus and always has been.
"Whatever my career-high was, I feel like I have a lot more to give."
Hijikata has the 2023 Australian Open doubles title on his resume, achieved with countryman Jason Kubler.
Last year he also made the Wimbledon final when teamed with Dutch doubles specialist David Pel.
This year he is aiming for a second grand slam title with fellow Australian Tristan Schoolkate.
Hijikata broke the Frenchman once in the opening set to take the lead and took the second set to a tiebreaker.
He saved two set points but was unable to clinch a third to take it to a decider.
Mpetshi Perricard improved his serve in a second and third set of high quality.
"I wasn't really getting any looks at second serves. I feel like (his first serve ratio) was quite high," Hijikata said.
"I wanted to take care of my own serve. I didn't get broken today and I feel like that is something to be proud of.
"Credit to him. He came up with some big serves when he had to."
Hijikata was everywhere on court in an all-round display that augurs well for his Melbourne assault.
"I don't want to take any opportunity I have to play at home for granted," Hijikata said.
"It is only a few weeks of the year and I really want to cherish it."
