Suzuki's $13,500 e SKY Aims to Undercut BYD at Its Own Game — With BYD Batteries

Suzuki is preparing to shake up Japan’s tiny but fiercely competitive kei car segment with its first-ever electric kei car, the e SKY, which is set to go on sale November 16. According to Nikkei, the new model will carry a starting price of roughly 2.12 million yen — about $13,500 — positioning it as the most affordable battery-electric vehicle in its class. That's a razor-thin margin below the BYD Racco, which currently holds the crown at 2.145 million yen ($13,600).

What makes the e SKY particularly noteworthy is where its battery comes from. Suzuki has opted for lithium iron phosphate (LFP) cells sourced from BYD’s battery division, a move aimed squarely at keeping costs down. The company also developed a dedicated kei EV platform and electric drive system to squeeze maximum efficiency out of the package. On paper, that effort pays off: Suzuki claims a WLTC range of up to 310 km (192 miles) and a class-leading AC energy consumption figure of 97 Wh/km.

BYD’s Racco lineup offers a useful comparison. The entry-level Racco 200 relies on a 22.4 kWh LFP pack good for 210 km (130 miles) of WLTC range, while the pricier 300 Plus and 300 Premium trims step up to a 35.84 kWh battery delivering up to 320 km (199 miles) — a figure BYD touted as a first for kei EVs. Those higher trims start at 2.398 million yen ($15,200) and 2.497 million yen ($15,800), respectively.

Both the e SKY and the Racco come in well below Nissan’s Sakura, which starts at 2,448,600 yen ($15,000), signaling that Japan's mini EV battlefield is quickly becoming a price war. Suzuki has not yet confirmed whether the e SKY will qualify for government subsidies, but if it secures the same 568,000 yen credit granted to its commercial e-Every kei EV, the e SKY's effective cost could land near that of the Spacia, Suzuki's best-selling gasoline kei car, which starts under$10,000.

BYD, for its part, has ambitious targets in Japan: it aims to move 10,000 Racco units by the end of 2026, having already notched 1,000 orders in the model’s first two weeks on the market. The Chinese automaker also recently marked 10,000 cumulative domestic registrations in the country. With Suzuki now entering the fray — and leaning on BYD’s own battery technology to do it — the battle for Japan’s entry-level EV buyers is only getting tighter.