BYD Auto has launched its first plug-in hybrid vehicle (PHEV) in Japan, as China’s largest automaker brings its challenge to Japanese automakers in a new segment of their home market. Since it launched sales operations in Japan in 2023, BYD has mainly focused on selling battery electric vehicles (BEVs), which represent a very small segment of the country’s auto market.

PHEVs are also a small, but fast-growing segment of the Japanese market, while most hybrid vehicles sold in the country are non-plug-in hybrid-electric vehicles (HEVs). Toyota and Lexus sold a combined 752,000 HEVs in Japan in the first ten months of 2025, accounting for close to 60% of their domestic sales, compared with 17,100 PHEVs and just 1,700 BEVs.

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BYD launched its Sealion 6 PHEV model in Japan in early December, featuring the company’s latest DM-i hybrid system, which provides quiet and smooth acceleration while offering low fuel consumption for long-distance driving. The front-wheel-drive (FWD) model is priced at JPY 3,982,000 (US$ 25,690), while the four-wheel-drive (4WD) version costs JPY 4,488,000 (US$ 28,950).

The company currently sells the Atto 3, Dolphin, Sealion 7 and Seal BEVs in Japan and plans to add a new battery-powered mini-vehicle in the country by mid-2026.

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