Key facts
- BYD has launched its all-electric Racco kei minicar in Japan.
- The Racco is priced under ¥2 million after subsidies.
- The Racco has a minimum range of 210 kilometers.
- Kei cars account for nearly 40% of new vehicle sales in Japan.
- Gas-powered kei cars can sell for as little as ¥1.2 million.
Chinese automaker BYD has entered the Japanese market with the launch of its all-electric Racco kei minicar, challenging the long-standing dominance of domestic manufacturers in this unique vehicle segment. The Racco, priced competitively at under ¥2 million with subsidies, offers a minimum range of 210 kilometers. This positions it as a strong contender against established models like the Nissan Sakura, which has a shorter range and a higher starting price.
Kei cars, known for their affordability and compact size tailored to Japan's narrow streets, represent nearly 40% of the country's new vehicle sales. New gasoline-powered models can be found for as little as ¥1.2 million. BYD's entry with an electric option underscores the growing international competition in Japan's automotive sector, particularly in the burgeoning EV market.