Japan's Mini-Car Market

While car sales in general are shrinking, sales of tiny 660cc kei cars will top two million in Japan this year.
Despite the success Japanese carmakers have achieved overseas, they are not having an easy time of it at home. Though there is a glut of models on the market, and the economy continues to improve, regular car sales are in a slump—they fell 6.2% in October, the 16th consecutive year-on-year monthly decline.
But one segment of the market is bucking the trend—that's the tiny cars known as kei. Annual sales of these mini-vehicles, with maximum engine capacity of 660cc and dimensions no bigger than 3.8 yards by 1.6 yards, are set to hit a record 2 million units in 2006. The growth of this category has been spectacular: In 1997, kei accounted for 24% of Japan's total auto sales; this year, the figure will be 35%.
While the reasons for the rise of the kei car are numerous (see related story), one big factor has been more attractive styling and improved specs. Here's a selection of some of Japan's more eye-catching mini-cars.