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TL;DR

Chery, a leading Chinese automaker, will collaborate with Japanese auto parts retailer Autobacs Seven to launch a new EV brand in Japan in 2027. The partnership aims to expand China’s EV footprint in Japan’s growing market.

Chinese automaker Chery and Japanese auto parts retailer Autobacs Seven will jointly introduce an electric vehicle brand in Japan starting in 2027, marking a strategic move to expand China’s EV presence in the Japanese market.

The partnership was announced on May 11, 2026, with plans to sell EVs through Autobacs’ approximately 1,200 stores worldwide, primarily in Japan. Chery, ranked 12th globally in new vehicle sales in 2025, aims to leverage Autobacs’ extensive retail network to enter Japan’s EV market. The collaboration signifies a broader effort by Chinese automakers to expand their footprint in Japan amid increasing demand for electric vehicles. The specific models, branding, and production details are yet to be disclosed, and it remains uncertain whether the vehicles will be manufactured locally or imported from China.

Why It Matters

This development is significant because it marks one of the first major collaborations between a Chinese automaker and a Japanese retailer to sell EVs in Japan. It reflects China’s growing confidence in its EV technology and ambitions to penetrate markets traditionally dominated by Japanese and Western brands. For Japan, the partnership could accelerate local EV adoption and introduce more competitive options, potentially reshaping the domestic EV landscape. The move also signals increased cross-border cooperation in the automotive sector amid geopolitical and economic shifts.

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Background

Chinese automakers have rapidly expanded globally, with Chery ranking 12th in worldwide new vehicle sales in 2025. Japan’s EV market is growing but remains relatively closed to foreign brands, with domestic manufacturers leading the industry. Autobacs Seven, a major retailer with a global presence, has been exploring opportunities to diversify its offerings by including EVs. This announcement follows broader industry trends of Chinese companies seeking to establish a foothold in key international markets, including Japan, which has traditionally been resistant to foreign auto brands due to longstanding preferences for domestic and European vehicles.

“We are excited to partner with Autobacs to bring our EV technology to Japan. This collaboration represents a strategic step in our global expansion efforts.”

— A spokesperson for Chery

“Partnering with Chery allows us to offer innovative electric vehicles to our customers and expand our product lineup in the rapidly growing EV segment.”

— A representative from Autobacs Seven

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What Remains Unclear

It is still unclear which specific models will be launched, whether vehicles will be produced locally or imported, and how the partnership will navigate regulatory and market challenges in Japan. Details about the branding strategy and sales channels are also yet to be announced.

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What’s Next

Next steps include detailed planning of product lineup, finalizing manufacturing or import arrangements, and regulatory approvals. The companies are expected to provide further updates as the launch date approaches, with commercial sales targeted for 2027.

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Key Questions

Will the EVs be manufactured in Japan or imported from China?

The specific manufacturing arrangements have not been disclosed; it remains uncertain whether vehicles will be produced locally or imported from China.

What models will be launched in Japan?

Details about the models and specifications are still under development and have not been publicly announced.

How will this partnership affect the Japanese EV market?

This collaboration could introduce more competition, accelerate EV adoption, and provide consumers with new options, potentially reshaping the domestic market landscape.

Is this the first Chinese automaker to enter Japan’s EV market?

While Chinese automakers have expanded globally, this marks one of the first major joint ventures specifically targeting Japan’s EV market, signaling a new phase of cross-border cooperation.

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