BYD’s Compact EV is Prompting Japan’s Top-Selling Kei Car to Reconsider Its Entire Future | Carscoops
Japan's best-selling Kei car is set to go electric, but BYD’s push into the EV market may disrupt things before it fully launches.
Honda plans to introduce an electric version of the N-Box in Japan by 2027.
BYD's electric Racco will debut in the Japanese market in 2026.
The N-Box has been the best-selling vehicle in Japan for the past three years.
As BYD gears up to launch its all-electric Racco Kei car in Japan, the impact is already being felt. Honda appears to be taking action rather than staying idle. A recent report indicates that the company intends to release an electric variant of its top-selling N-Box by 2027.
This would mark the first time the popular Kei car will be available in a fully electric version in Japan.
The N-Box has consistently topped Japan's vehicle sales for the past three years. Currently, it is only offered with a 658 cc three-cylinder petrol engine that produces either 58 horsepower in its naturally aspirated version or 63 horsepower with a turbo.
Two years ago, Honda launched the third-generation N-Box, and it has continued to lead the market, selling over 206,000 units last year.
What Will Power the N-Box EV?
Details regarding the electric model are still scarce as development is in the early stages. However, if Honda aims to compete with the upcoming BYD Racco, expected in 2026, it will need to meet certain benchmarks.
The Racco features a 20 kWh battery pack, offering an estimated range of about 112 miles (180 kilometers) on a single charge.
According to Nikkei Asia, Honda is currently determining both the range and pricing strategy for the electric N-Box. Notably, this electric model will not replace the existing internal combustion version; rather, it will be offered alongside it, providing customers with options instead of forcing a transition.
Japan’s Slow Shift to EVs
Despite its global reputation for technological advancement, electric vehicles have struggled to gain traction in Japan. Currently, EVs represent approximately 2 percent of new car sales in the country.
Among those that have succeeded, small electric cars like the Nissan Sakura and Mitsubishi eK X are notable, together accounting for about 40 percent of all EV sales in Japan.
Moreover, Honda isn’t the only manufacturer addressing the BYD Racco. Suzuki is also reportedly working on its own electric minicar, though specifics are limited. At this point, it remains uncertain whether Suzuki's vehicle will be built from scratch or based on an existing platform.
Source: Nikkei Asia
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