Chinese Automaker Enters Electric Minicar Market: How Will Japanese Manufacturers Respond?
China-based BYD Co., the world’s largest electric vehicle manufacturer, has launched its Racco electric minicar in the Japanese market.
China's BYD Co., the world's top electric vehicle manufacturer, has entered the Japanese electric minicar market with its Racco model. The move has caught the attention of Japanese manufacturers, who are feeling a heightened sense of urgency in their own development capabilities. The Racco is specifically tailored for the Japanese market, where it boasts a long driving range of up to 320 kilometers and is available for purchase starting at ¥1.99 million, with government subsidies factored in.
Its high body rigidity, power sliding doors, and various storage spaces add to its appeal. Japanese automakers are reportedly feeling "incredibly scared" by BYD's move, as the electric minicar category in Japan is unique and subject to tax breaks based on vehicle body size. Despite the challenge of installing charging equipment in apartment buildings, regional areas with a higher proportion of detached houses present a more favorable environment for EV adoption.
Japanese manufacturers like Suzuki Motor Corp. are now set to launch their first electric minicar this autumn, aiming to capitalize on the growing interest in EVs spurred by rising gasoline prices.
Written by urgent.news from The Japan News by The Yomiuri Shimbun's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
