A significant collaboration between Japanese automotive players and Chinese automaker Chery Automobile has given rise to a new electric vehicle brand aimed at Japan’s market, with the first model scheduled to hit the road in 2027. Operating from Yokohama, EMT Co. introduced the EMTA brand, focusing on creating a compact electric kei car, a segment that holds substantial sway in Japan’s automotive landscape.
This joint venture unites multiple entities, including Japanese firms Autobacs Seven and Anest Iwata, alongside Chery Automobile, a battery manufacturer, and other partners. EMT has outlined its strategy, which includes planning and marketing the kei EV in Japan, while the design and manufacturing will occur in China. The company aims to integrate advanced digital features into its vehicles, such as wireless software updates, smartphone connectivity, and support for automated driving capabilities.
Highlighting the strategic importance of kei cars, executives pointed out that these vehicles account for over one-third of new car sales in Japan, making them an appealing entry point for electric vehicles. As these cars are predominantly used for short daily commutes, concerns about driving range are lessened, positioning them as ideal candidates for electrification.
EMT is also exploring the possibility of utilizing select Autobacs stores as sales outlets and has plans to introduce three more electric vehicle models by 2029. Looking ahead, the company is considering manufacturing operations in Japan and potential expansion into international markets.
This initiative emerges amid intensifying competition in Japan’s kei EV sector. Chinese automaker BYD is set to release its Racco kei EV tailored for Japan, while Nissan Motor has broadened its Sakura lineup by introducing a more affordable version. Additionally, Suzuki Motor is planning to launch a kei EV within the current fiscal year, and Honda Motor is working on an electric variant of its well-liked N-Box model, slated for a 2028 release. The influx of competitors underscores the growing momentum in Japan’s small electric vehicle market, as automakers vie to capture the attention of budget-conscious urban drivers.