BYD, the Chinese electric vehicle maker, is pushing deeper into Japan with the Racco, a small EV unveiled in late July that drew more than 1,000 orders in its first few weeks, according to the company.

The launch targets Japan’s largest vehicle segment.

More than 1.6 million small cars and trucks were sold there last year, accounting for more than a third of new vehicle sales.

Honda Motor Co., Suzuki Motor Corp., and Daihatsu Motor Co. held a combined market share of about 80%.

The Racco starts at 2 million yen, or about US$12,600, after 150,000 yen (US$940) in government incentives.

This year’s subsidy changes favored Japanese, European, and US models, leaving some rival small EVs in Tokyo priced as low as 1.2 million yen (US$7,500).

The launch also puts BYD up against Nissan Motor Co.’s Sakura, which is among local rivals benefiting from larger subsidies.

The linked report described the Sakura as Japan’s best-selling EV, but it did not establish a like-for-like post-subsidy price comparison in Tokyo.

BYD has sold about 7,400 passenger cars in Japan since entering the market in 2023, including 3,742 battery EVs last year, versus Toyota Motor Corp.’s 4,227.

🔗 Source: Bloomberg

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