South Korean Media: Hyundai Motors Chasing BYD in the Japanese Market!
On April 21, South Korea's JoongAng Economic published an article stating that Hyundai Motor from South Korea and BYD from China entered the Japanese market almost simultaneously, both aiming to establish themselves as environmentally friendly automakers. However, sales data since their entry into the Japanese market in 2022 show that Hyundai's performance has been somewhat lagging behind BYD's.
Looking back at the sales figures of both companies over the past three years in Japan, Hyundai recorded 526 units in its first year, 392 units in 2023, 618 units in 2024, and 1,169 units in 2025—although sales have shown growth, they have not attracted widespread attention. In contrast, BYD maintained a relative advantage, selling 1,446 units in 2023, 2,223 units in 2024, and 3,879 units in 2025. Recent sales data for the first two months of this year also indicate that BYD is on an upward trend: combined sales for Hyundai in January and February were approximately 135 units, while BYD’s combined sales reached around 850 units.
However, with planned reforms to Japan’s electric vehicle subsidy policy set for 2026, the strategic differences between the two companies are expected to become even more pronounced. First, prior to the subsidy reform, the price of BYD’s ATTO 3 was significantly lower than that of Hyundai’s Ioniq 5. But this year, as the gap in subsidies widens, the Hyundai Ioniq 5 has become a more cost-effective option. Especially in Japan, where the Casper EV has become a trending topic, consumer expectations for it have risen sharply—this is further confirmed by its impressive sales figures in January and February.
Since subsidies play a crucial role in purchasing electric vehicles, it is expected that there will be a significant difference in the subsidy amounts received by Hyundai and BYD in 2026. This is because Hyundai, leveraging its technological edge in hydrogen infrastructure, is eligible for subsidies ranging from 1 million to 1.3 million yen, whereas BYD receives only half of that amount. This disparity stems from BYD’s cost-efficiency strategy and insufficient investment in infrastructure. As a result, BYD plans to expand its product lineup this year by introducing plug-in hybrid vehicles in the Japanese market, focusing on the popular "hybrid" models beloved by Japanese consumers.
Comparing their sales strategies in Japan, Hyundai adopts an online sales model based on offline experiences, while BYD emphasizes high localization and has announced plans to deploy 100 physical stores within its offline network. Meanwhile, Hyundai combines online purchasing with offline shopping experiences to create a hybrid sales model, which explains why its number of physical stores is far fewer than BYD’s.
In summary, the current subsidy gap is likely to present a major opportunity for Hyundai in Japan. Despite being at a disadvantage in price competitiveness compared to BYD, Hyundai’s vehicles stand a better chance of gaining real-world purchase advantages through the support of government subsidies.
Original source: toutiao.com/article/1863043439193098/
Disclaimer: The views expressed in this article are solely those of the author.