This Tiny Chinese EV Hopes To Tackle Japan's Massive Kei Car Market

At this year's Japan Mobility Show, a convention where automakers and technology companies show off the latest and greatest in what's coming for the Japanese market, BYD, a Chinese company primarily known for EVs, showed off a curious little car: the Racco. The Racco EV looks adorable on its own, but the vehicle's mission is much more serious.

The shape and size of the car denote that it will strike right at Japan's own kei car market, the niche industry centered around Japan's tiny iconic city cars, although it's safe to say the popularity of kei cars has certainly expanded beyond the borders of Japan. BYD hasn't given any specifications yet, but it will likely fit within the bracket to be legally defined as a kei car, which is a maximum of 63 horsepower.

As for the battery, nobody knows for sure yet, but it's expected to be a 20-kilowatt-hour one with a maximum range of around 112 miles. For comparison, the Nissan Sakura, another electric kei car that some hypothesize the Racco will likely be in pitched competition with, has a 20-kWh battery and can reach about 111 miles on a full charge. The Sakura debuted an optional solar panel accessory at the same show.

Honda, during the announcement of its N-One electric kei car (another Racco competitor), noted that kei car sales account for upwards of 40 percent of Japanese car sales. BYD will have extremely tough competition whenever the Racco hits the market. It will have to prove itself on specs and price rather than name recognition. Local brands like Nissan, Honda, Toyota, and Mitsubishi have been making kei cars for decades and have an established customer base. 

BYD hasn't given the world the information it needs (like price) to make a value judgment on the Racco. It certainly looks the part when it comes to kei cars, but can it compete against the likes of Japanese domestic market juggernauts? That's yet to be seen. Given the fact that it's directed squarely toward the Japanese market, it goes without saying that the United States won't get a look at the Racco (at least not anytime soon). Still, time will tell whether or not it makes a splash in Japan.