HomeBusinessJapan-China Partnership Unveils EV Brand, Targets Kei Car Market by 2027

Japan-China Partnership Unveils EV Brand, Targets Kei Car Market by 2027

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A new electric vehicle venture is set to emerge in the Japanese market, courtesy of a collaboration between Chinese automaker Chery Automobile and several Japanese automotive firms. The newly established brand, EMTA, aims to launch its first model, an electric kei car, by 2027, tapping into one of Japan’s key vehicle segments.

EMT Co., headquartered in Yokohama, is leading the partnership which includes notable companies such as Autobacs Seven and Anest Iwata, in addition to a battery manufacturer and other partners. The strategy for the EMTA brand involves planning and marketing in Japan, while the design and manufacturing processes will occur in China. The vehicles are expected to feature advanced digital capabilities, including wireless software updates, integration with smartphones, and support for automated driving functions.

The focus on kei cars is strategic as they represent over one-third of new vehicle sales in Japan, appealing to the daily needs of drivers who prioritize efficiency over long-range capabilities. The compact size and practicality of kei cars make them an ideal platform for electric mobility, reducing concerns related to driving range. EMT also plans to leverage selected Autobacs stores as potential sales venues and is aiming to introduce three more electric vehicle models by 2029. There are also considerations for future manufacturing within Japan and potential market expansion overseas.

This initiative unfolds amid a competitive landscape in Japan’s kei EV market. Chinese competitor BYD is set to introduce its Racco kei EV designed for Japanese consumers, while Nissan Motor has broadened its Sakura lineup with a more affordable variant. Concurrently, Suzuki Motor is gearing up to launch a kei EV within the current fiscal year, and Honda Motor is developing an electric version of its popular N-Box model, expected to hit the market in 2028.

The influx of new players underscores the growing momentum in Japan’s small electric vehicle sector. Automakers are racing to capture the attention of cost-conscious urban drivers, further intensifying the competition in this burgeoning market.

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