TOKYO (Reuters) – Honda (NYSE:) Motor will begin selling a miniature electric van aimed at the Japanese delivery industry in October, the Japanese automaker said Thursday, joining an increasingly crowded part of the market.
The small electric commercial van will have a range of 245 km (152 miles), the company said in a statement. It will be classified as a “Kei” car, that is, low-power, low-tax domestic cars.
The launch of the new model comes as Japan’s second-largest automaker by sales separately plans to start selling an electric passenger car next year.
Honda is a powerhouse in Japan’s vast kei microcar market. Its N-Box model has long been a leader in the Japanese passenger car market.
Micro Kei vehicles are extremely popular among businesses and households for delivering agricultural produce, parcels and other goods in urban areas and rural Japan, partly due to their relatively low price.
The implementation will take place a few months after Toyota Motor Co. (NYSE:) has delayed the launch of a small electric van it is developing with Suzuki Motor and Daihatsu following Daihatsu’s safety testing scandal.
Mitsubishi Motors (OTC:) Corp relaunched its Minicab EV small commercial van in December 2023.