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BYD’s first electric kei car is almost here, and it already looks like a hit

The Racco, BYD’s first electric kei car, will go on sale this summer, but it’s already generating hype. BYD declared that a “small EV revolution” has begun after revealing the interior and a few more details ahead of its launch.

Meet the BYD Racco, an electric kei car for everyone

BYD is preparing to enter a new segment with its first kei car, set to launch in a few months. Kei cars are the vehicle of choice in Japan because they are affordable and small enough to drive around tight city streets.

While the funky, boxy design isn’t the prettiest, it is functional. With a tall, upright design, kei cars can be surprisingly spacious and practical on the inside.

We got out first at the BYD Racco at last year’s Japan Mobility Show. The electric minicar stole the spotlight as the first kei car made by an automaker outside of Japan.

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Domestic brands such as Honda, Suzuki, and Nissan have historically dominated the segment, with little to no competition from overseas brands. That’s about to change this summer.

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The BYD Racco EV debuts at the Japan Mobility Show (Source: BYD)

BYD, the world’s leading EV manufacturer, is about to take a crack at Japan’s seemingly unpenetrable auto market.

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.

Measuring 3,395 mm in length, 1,475 mm in width, and 1,800 mm in height, the BYD Racco is about the size of the Honda N-Box, Japan’s best-selling vehicle for the fourth consecutive year.

“I wanted to design this to be the best minicar of its shape,” BYD’s light vehicle development director, Yang Buyi, said. As such, the Racco features an “EV-exclusive” Super Tall x Sliding Door design that’s perfect for families with children, married couples, young couples, and everyone in between.

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BYD Racco EV interior (Source: BYD)

The interior is based on BYD’s “ocean aesthetics” theme with a clean, minimalist design. Like many of BYD’s other vehicles, the floating touchscreen infotainment system sits at the center, alongside a smaller driver cluster.

Powered by a single front motor and a 20 kWh LFP battery from BYD’s FinDreams, the kei car is expected to deliver around 180 km (112 miles) WLTC range.

BYD has yet to reveal prices, but the Racco is expected to start at about 2.5 million yen ($16,300), putting it on par with the Nissan Sakura and Mitsubishi eK X EV, two other electric kei cars sold in Japan.

After launching the new Racco website on Tuesday, BYD’s kei car quickly began attracting attention on social media. One said they were willing to trade in their current Honda N-Box for an EV, while others noted, “It’s got more hype than any BYD model out there.”

According to previous reports, Japanese automakers are already preparing for the arrival of BYD’s first electric kei car later this year.

Reuters report in October claimed a handful of government officials and auto industry leaders admitted BYD represented” a much-needed wake-up call for Japanese automakers that have been focused primarily on hybrid tech.”

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Avatar for Peter Johnson Peter Johnson

Peter Johnson is covering the auto industry’s step-by-step transformation to electric vehicles. He is an experienced investor, financial writer, and EV enthusiast. His enthusiasm for electric vehicles, primarily Tesla, is a significant reason he pursued a career in investments. If he isn’t telling you about his latest 10K findings, you can find him enjoying the outdoors or exercising