BYD’s expansion into low-cost electric mobility is taking shape with the debut of the Racco, a compact mini EV unveiled at last month’s Japan Auto Show. Designed specifically for overseas markets, the Racco will launch first in Japan, where kei cars remain a major segment and accounted for roughly a third of all new vehicle sales last year.
Slightly larger than BYD’s Dolphin Surf, the Racco measures 3,395 mm in length, 1,475 mm in width, and 1,800 mm in height—closely matching the footprint of the Nissan Sakura EV, Japan’s best-selling electric car. The boxy, upright vehicle includes four doors, with sliding doors at the rear, and is powered by a 20 kWh LFP Blade battery pack expected to deliver around 180 km (112 miles) of range. Pricing has not yet been announced, but the model is projected to start at around 2.5 million yen ($18,000) in Japan.
If brought to Europe, the Racco could become one of the market’s most affordable EVs, with a potential price tag under £15,000 ($20,000). This would position it against models such as the Dacia Spring (£14,995) and the Leapmotor T03 (£15,995), while undercutting BYD’s own entry-level Dolphin Surf, which currently starts at £18,650 ($24,300).
Speaking to Autocar, BYD vice president Stella Li suggested that the Racco may eventually enter the European market depending on regulatory developments. “In Japan, we are already launching a kei car; we will be very interested to follow the EU regulation,” Li said. She added that “If there’s some space, we can bring that car here.” The regulation she referred to is the proposed “E-car” category championed by European Commission president Ursula Von der Leyen, who argues Europe should have efficient and economical EVs to strengthen local competition.
For now, BYD is prioritizing the expansion of its hybrid lineup in Europe. The Seal U, which has become Europe’s best-selling plug-in hybrid through September, will be the first vehicle produced at the company’s new factory in Turkey, part of BYD’s strategy to enhance competitiveness through local manufacturing.
