Carro has raised US$60 million in a funding round led by Cool Japan Fund, Japan’s sovereign wealth fund. The investment aims to bolster the demand for Japanese cars across the Asia Pacific region, where Carro operates. Aaron Tan, cofounder and CEO of Carro, highlighted the reliability and advanced technologies of Japanese cars, including fuel cell innovations and superior safety features, as key factors in their market appeal.
The capital injection will be used to showcase Japan’s advanced automotive technologies and increase the market share of Japanese Plug-in Hybrid Electric Vehicles (PHEVs). The demand for both used cars and new PHEVs is expected to grow, particularly in Southeast Asia, driven by economic expansion, a rising middle-income population, and government subsidies for electric vehicles in countries like Indonesia and Thailand.
Kenichi Kawasaki, president, CEO, and COO of Cool Japan Fund, stated that the investment aims to reinforce the value of Japanese cars by highlighting their advanced technologies. Cool Japan Fund, established in 2013, focuses on expanding overseas demand for Japanese products and services, contributing to Japan’s economic growth.
Founded in 2015, Carro has become Asia Pacific’s largest online used car marketplace, transforming car buying and selling with proprietary pricing algorithms and AI-enabled solutions. The company, headquartered in Singapore, transacts over 100,000 vehicles annually across seven markets and offers a range of services, including auto fintech, digital insurance brokerage, and aftersales service.
