Small-Car Prices Soar in Japan

Car prices in Japan have climbed by roughly one-third over the past 10 years, according to The Nikkei, which cites data from the country’s Ministry of Internal Affairs and Communications.

The agency says the average prices of Japan’s most popular cars fitted with engines displacing 1.5 liters or less rose 18% to 2 million yen ($17,400) over the period. Prices for compact cars with slightly smaller engines grew an average 30%.

Retail prices on cars with engine displacements between 1.6 liters and 2.0 liters have soared 50% to an average 3.2 million yen ($27,800) since 2008, according to the ministry.

The Nikkei notes that recently redesigned models in Japan carry prices 15%-20% higher than the vehicles they replace. The newspaper attributes much of the price hikes to advanced safety systems.