The smallest BYD yet
While the Kei car segment is dominated by Japanese manufacturers like Honda, Suzuki, Daihatsu, and Nissan, Chinese brand BYD is taking the fight to them with the unveiling of an electric Kei car at the Japan Mobility Show. BYD have been selling passenger EVs in Japan since 2023, and the Racco is their first foray into the small kei car segment, so far mostly populated with internal combustion vehicles.
The BYD Racco sports the typical boxy proportions associated with kei cars; a short hood, almost steep windshield leading to a high roof, flat sides, sliding doors, and a sheer back end with minimal overhang. The lack of a grille up front instantly identifies it as an EV, and the connected tail lamps with a backlit BYD logo in the middle differentiate it from other kei cars in the market. It is expected to be powered by a 20kWh lithium iron phosphate (LFP) battery pack offering 111 miles of range.
BYD
What are kei cars?
Kei cars are a Japanese mainstay, born out of necessity and shaped by legislation. This ultra-compact segment was introduced by the Japanese government in 1949, encouraging manufacturers to build small, cheap, and efficient cars for the masses. Kei is short for the Japanese word keijidōsha, which literally means ‘light automobile’. Their dimensions and engine size are strictly regulated, while offering tax breaks, low insurance costs, and other subsidies. These diminutive cars are affordable to buy and run, easy to drive in crowded cities, and extremely popular — accounting for about a third of passenger car sales in the country.
Honda
Cracking the Japanese market won’t be easy
Japanese sales of BYD’s regular-sized electric cars have been less than ideal so far, and the Chinese manufacturer is hoping that their tiny kei car will do a better job of attracting cost-conscious buyers of these ultra-compact vehicles, especially considering the dearth of electric options in the competitive segment. While foreign players have historically struggled to secure a foothold in the Japanese car market, industry experts and government officials alike acknowledge that Chinese manufacturers have a head start in the EV space, while Japanese brands have focused on developing hybrid tech. If priced right, the BYD Racco’s uniqueness may just catch the public’s attention, allowing it to leave a mark in the kei car space.
