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🇫🇷 France /Economy & Trade

China's BYD Challenges Japan's Kei Car Market with New Electric Model

From Le Figaro · () French

Translated from French, summarized and contextualized by DistantNews.

At a glance

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  • Chinese automaker BYD has launched its first "kei" car, the "Racco," in Japan, targeting the popular mini-vehicle segment.
  • This marks the first time a foreign manufacturer has entered this niche market, traditionally dominated by Japanese brands like Toyota and Honda.
  • The "Racco" is priced from 2.1 million yen and aims to offer practicality and enjoyment to Japanese consumers, with actress Alice Hirose featured in its advertising campaign.

Chinese automotive giant BYD is making a bold move into Japan's highly competitive "kei" car market with the launch of its electric "Racco" model. These ultra-compact vehicles, ideal for Japan's narrow streets, account for roughly 40% of new car sales in the country. BYD's entry is significant as it is the first foreign manufacturer to challenge this segment, which has long been the exclusive domain of Japanese automakers.

The "Racco," priced from 2.1 million yen (approximately 11,290 euros), stands at 180 centimeters tall and is being promoted with the help of popular Japanese actress Alice Hirose. BYD Japan President Liu Xueliang expressed the company's ambition to deliver a practical vehicle and unprecedented enjoyment to customers across Japan through their technology.

Historically, foreign carmakers have struggled to gain substantial market share in Japan. Despite BYD's efforts, including opening 77 sales points nationwide, Japanese giants like Toyota and Honda command around 80% of the mini-car market, according to Bloomberg Intelligence. The "kei" car category, derived from the Japanese term for light vehicles, holds a special place in the Japanese automotive landscape, even attracting attention internationally.

We want to bring a practical vehicle and unprecedented enjoyment to all people across Japan through our technology.

— Liu XueliangThe president of BYD Japan spoke at the car's launch ceremony in Tokyo, expressing the company's goals for the Japanese market.
DistantNews Editorial

Originally published by Le Figaro in French. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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