The BYD Racco, the company's first electric kei car, is set to launch this summer and has already generated significant hype. With its unique design and functional features, the Racco is poised to disrupt the Japanese market, which has historically been dominated by domestic brands such as Honda, Suzuki, and Nissan.
Kei cars are a popular choice in Japan due to their affordability and compact size, making them ideal for navigating tight city streets. The BYD Racco's tall, upright design may seem unconventional at first, but it provides surprisingly spacious interior space that is both practical and functional.
The electric minicar has already stolen the spotlight at several industry events, including last year's Japan Mobility Show, where it was showcased as the first kei car made by an automaker outside of Japan. This move marks a significant turning point for BYD, which is now poised to take on the country's seemingly unpenetrable auto market.
Historically, domestic brands have had little competition from overseas manufacturers in the Japanese kei car segment. However, with BYD's entry into the market, this dynamic is set to change. The company's reputation as a leading EV manufacturer has given it a strong foundation to challenge the status quo.
Ahead of its Summer 2026 launch, BYD opened a dedicated website for its first electric kei car, sharing new details and unveiling the interior for the first time. This strategic move is likely aimed at generating buzz around the Racco and building anticipation among potential customers.
The dimensions of the BYD Racco are comparable to those of the Honda N-Box, Japan's best-selling vehicle for the fourth consecutive year. Measuring 3,395 mm in length, 1,475 mm in width, and 1,800 mm in height, the kei car is designed to be both compact and spacious.
BYD's light vehicle development director, Yang Buyi, has stated that he aimed to design the Racco as the best minicar of its shape. The result is an 'EV-exclusive' Super Tall x Sliding Door design that caters to a wide range of users, from families with children to young couples.
The interior of the BYD Racco features a clean, minimalist design inspired by the company's 'ocean aesthetics' theme. A floating touchscreen infotainment system sits at the center, alongside a smaller driver cluster. This attention to detail suggests that BYD has put significant thought into creating an enjoyable driving experience.
Powered by a single front motor and a 20 kWh LFP battery, the kei car is expected to deliver around 180 km (112 miles) WLTC range. With pricing starting at approximately 2.5 million yen ($16,300), the Racco is likely to be competitive with other electric kei cars sold in Japan.
The launch of the BYD Racco website has generated significant interest on social media, with some users expressing their willingness to trade in their current Honda N-Box for an EV. This level of enthusiasm suggests that the Racco may have a strong following among potential customers.
BYD's entry into the Japanese electric kei car market is a significant shift in the industry, with potential implications for traditional automakers.
