BYD is doubling down on its Japanese expansion this summer, launching the Racco—the company’s first model developed exclusively for the Japanese market. Positioned as a direct challenger in the “Kei” (minivehicle) segment, the Racco is expected to carry a competitive price tag of approximately 2 million yen (US$13,000).

BYD’s aggressive entry is already shaking up the domestic landscape, forcing long-time leaders to pivot:

• Nissan is playing defense by launching a budget-friendly version of its Sakura this summer, slashing 150,000 yen off the price to stay competitive at 1.9 million yen.
• Honda is expanding its electric footprint with the Super-One compact EV in late May, building on the foundation of the N-One e:.

While Japan has traditionally been slow to adopt EVs, BYD’s localised approach—combined with rising fuel prices—could be the catalyst that finally shifts Japanese consumers toward electric mobility.

[Source: BYD]