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New EV Brand Unveiled by Japan-China Venture, Electric Kei Car by 2027

A new electric vehicle brand, EMTA, is set to debut in Japan, targeting the nation’s compact kei car market, with its first model expected in 2027. The initiative is a result of a collaboration between Japanese automotive companies and China’s Chery Automobile, aiming to tap into one of Japan’s most popular vehicle segments. EMT Co., based in Yokohama, is spearheading this venture, which involves partners such as Autobacs Seven and Anest Iwata, alongside Chery and a battery manufacturer.

The EMTA brand plans to introduce a compact electric kei car, a strategic move considering that kei cars make up over a third of new vehicle sales in Japan. This segment is particularly appealing for electric vehicles due to their typical use for short daily commutes, which alleviates concerns about driving range. While the design and manufacturing of these vehicles will occur in China, the planning and marketing are set to be conducted in Japan. The company promises advanced digital features in their vehicles, including wireless software updates, smartphone integration, and support for automated driving.

As part of their strategy, EMT is considering utilizing selected Autobacs stores as potential sales outlets and aims to roll out three additional electric vehicle models by 2029. The company also has future plans to potentially manufacture in Japan and explore international markets. This move comes amid increasing competition within Japan’s kei EV market, which is witnessing a surge in interest from various automakers.

The competitive landscape is heating up with other automakers joining the fray. Chinese automaker BYD is poised to introduce its Racco kei EV tailored for Japan, while Nissan has expanded its Sakura lineup with a more affordable version. In addition, Suzuki is preparing to launch a kei EV within the current fiscal year, and Honda is working on an electric variant of its popular N-Box model, slated for release in 2028.

This influx of new entries underscores a growing momentum in Japan’s small electric vehicle market as automakers vie to appeal to budget-conscious urban drivers. The trend reflects a broader shift towards sustainable mobility solutions, as manufacturers seek to carve out their share of the burgeoning electric vehicle market in Japan and beyond.

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