BYD, a Chinese electric vehicle manufacturer, is set to introduce its first kei car, a type of small automobile that is extremely popular in Japan. The kei car, which was recently spotted during a road test, has a distinctive boxy shape with folding side doors, similar to other kei cars on the market. According to reports, the vehicle will be powered by a 20 kWh battery, with a WLTC range of 180 km (112 miles), and will be priced at around 2.5 million yen ($18,000), making it competitive with other kei cars on the market, such as the Nissan Sakura.
The introduction of BYD’s kei car is significant, as the kei car market in Japan is highly competitive and dominated by Japanese automakers such as Honda, Nissan, and Mitsubishi. However, BYD’s use of its proprietary Blade LFP batteries is expected to give the company a cost advantage, allowing it to offer its kei car at a lower price point than its competitors. This could pose a significant challenge to established kei car manufacturers, particularly given BYD’s reputation for producing high-quality, affordable electric vehicles.
The kei car market in Japan is substantial, with 1.55 million units sold last year, making up around 40% of all new car sales. The best-selling kei car in Japan last year was the Honda N-Box, which was followed closely by other models from Honda, Nissan, and Mitsubishi. BYD’s entry into this market is expected to shake things up, particularly among younger buyers who are less loyal to traditional Japanese brands and more open to affordable, environmentally friendly options.
BYD already sells a number of electric vehicles in Japan, including the Seal, Dolphin, and Atto 3 SUV, and the company recently introduced the new Sealion 7 midsize electric SUV, which retails for 4.95 million yen ($34,500). With the introduction of its kei car, BYD is poised to make a significant impact on the Japanese electric vehicle market, and its competitors are taking notice. As one Suzuki salesman noted, “Young people do not have a negative view of BYD. If the company introduced low-cost models in Japan, it would pose a serious challenge.” Overall, BYD’s kei car is expected to be a game-changer in the Japanese electric vehicle market, offering a affordable, efficient, and environmentally friendly option for consumers.