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Chery, a major Chinese automaker, and Autobacs Seven, a Japanese auto parts retailer, will collaborate to launch an EV brand in Japan in 2027. This partnership aims to expand China’s presence in Japan’s growing EV market.
Chinese automaker Chery and Japanese auto parts retailer Autobacs Seven will jointly launch an electric vehicle brand in Japan starting in 2027, marking a significant cross-border collaboration aimed at expanding China’s presence in Japan’s EV market.
The partnership was announced on May 11, 2026, with plans to introduce a new EV brand in Japan next year. Chery, ranked 12th globally in new vehicle sales in 2025, will work with Autobacs Seven, which operates approximately 1,200 stores worldwide, to sell and distribute the vehicles. The collaboration is part of broader efforts by Chinese automakers to penetrate Japan’s emerging EV segment, which is expected to grow as Japan accelerates its shift toward electric mobility. Details about the specific models, production facilities, or branding strategies have not yet been disclosed. The announcement underscores China’s expanding role in the global EV industry and Japan’s openness to foreign entrants in its domestic market.
Why It Matters
This development is significant because it signals increased foreign competition in Japan’s EV market, traditionally dominated by Japanese automakers. It also highlights China’s growing influence in global automotive markets, especially through collaborations with local companies. For consumers, this could mean more EV options and potentially competitive pricing in Japan. For the industry, it indicates a shift toward international partnerships to accelerate EV adoption and manufacturing capabilities.
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Background
In recent years, Chinese automakers like Chery have gained international recognition, ranking 12th globally in 2025 vehicle sales. Japan’s EV market is expected to expand rapidly as government policies and consumer preferences shift toward electric vehicles. Autobacs Seven, a well-established Japanese retailer with a global footprint, has been exploring partnerships to diversify its offerings amid changing automotive trends. Previous efforts by Chinese automakers to enter Japan have faced regulatory and market entry challenges, but collaborations like this suggest a new approach focused on joint branding and distribution.
“Chery and Autobacs are aiming to jointly sell EVs in Japan from 2027, marking a strategic move to tap into Japan’s growing EV market.”
— Risako Kojima, Nikkei Asia
“The collaboration reflects China’s expanding role in global EV markets and Japan’s openness to foreign automakers entering its domestic segment.”
— Ryusuke Hanada, Nikkei Asia
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What Remains Unclear
It is not yet clear what specific models will be offered, how the joint branding will be structured, or whether local production facilities will be established in Japan. Details about the scale of the rollout and potential regulatory hurdles remain unclear as the partnership develops.
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What’s Next
Further details are expected to be announced as the partnership progresses, including specific vehicle models, manufacturing plans, and marketing strategies. The companies may also clarify regulatory compliance and distribution channels ahead of the 2027 launch.
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Key Questions
What types of electric vehicles will Chery and Autobacs offer in Japan?
Details about specific models have not been disclosed yet. It is expected that the initial offerings will include passenger EVs tailored to Japanese consumer preferences.
Will the vehicles be manufactured in Japan?
This has not been confirmed. It is possible that manufacturing could occur locally or be imported from China, depending on regulatory and economic considerations.
How does this partnership impact the Japanese EV market?
This collaboration introduces a new competitor in Japan’s EV segment, potentially increasing options and driving competitive pricing, which could accelerate EV adoption.
Are there regulatory hurdles for Chinese automakers entering Japan?
While Japan maintains strict automotive regulations, the partnership’s success will depend on compliance with safety, emissions, and import standards, which are still being navigated.
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