Lotte Rental enters Japan's short-term car rental market in partnership with Orix Auto

Lotte Rental is entering Japan's short-term car rental market. The company plans to help Korean travelers rent vehicles in Japan without worrying about language barriers, unfamiliar insurance systems, or the prospect of accidents and breakdowns.

Lotte Rental announced Wednesday that it has signed a business partnership with Orix Auto, the operator of the Orix Rent-A-Car brand in Japan, and launched a rental car service in Okinawa. Lotte Rental's headquarters will manage the reservation and payment systems, while its Japanese subsidiary will handle Korean-language customer support on the ground. Partner company Orix Auto will supply the vehicles and overall rental operations infrastructure.

Japan's short-term car rental market is concentrated in major tourist cities such as Okinawa, Sapporo and Fukuoka. Okinawa in particular is one of the most consistently popular Japanese destinations among Korean tourists. Koreans account for roughly 20 percent of foreign visitors to Okinawa, and the island's regional characteristics — similar to those of Jeju Island — mean demand for rental cars runs higher than for public transit. Lotte Rental said those factors made Okinawa its choice for the company's Japanese market entry.

Customers can complete the entire process — from booking to payment — on the Lotte Rent-A-Car website, in the same way they would for a domestic rental. Once in Japan, they travel using Orix Auto's vehicles and infrastructure, guided by Lotte Rental staff dispatched from Korea.

Lotte Rental says its biggest differentiator is having Korea-dispatched staff stationed on-site to provide full Korean-language support from vehicle pickup through return. Although customers drive Orix Auto vehicles, Lotte Rental serves as the first point of contact for all emergencies — accidents, breakdowns and any other issues — so customers never need to contact the local rental company directly. Dispatched staff are available around the clock.

The service also includes a Collision Damage Waiver (CDW) — a full-coverage insurance arrangement that minimizes out-of-pocket costs in the event of an accident — along with a Rental Assurance Package (RAP) and an unlimited Electronic Toll Collection (ETC) pass that works like Korea's Hi-Pass on Japanese expressways, eliminating the hassle of on-the-spot payments and post-trip settlements.

To mark the Okinawa launch, Lotte Rental is offering customers who travel during the August peak season discounts of up to 38 percent by vehicle class, along with a 20,000-won ($14) discount coupon for a short-term Jeju Island rental. Customers renting a van for three days (72 hours) can pay 510,000 won — a discount of about 290,000 won off the regular price of roughly 800,000 won. Special promotional rates will also be available in September and October.

Four vehicle classes are available: compact, compact hybrid, compact SUV and van. Compact-class rentals start at 260,000 won for a 72-hour booking. Prices are comparable to those of existing Korean-run rental operators in Okinawa and may vary with the exchange rate. All prices include insurance and ETC.

Reservations and payment are available by clicking "Overseas Booking" on the Lotte Rent-A-Car website or app. The mobile app is available starting Wednesday, with the website option to follow on Monday.

"Backed by a proven local partnership and Korean-language service, we will help Korean tourists travel in Japan as conveniently and confidently as they do at home," a Lotte Rental official said. "We will expand our overseas short-term rental service in tandem with the Okinawa launch to strengthen our competitiveness in the global car rental business."

Meanwhile, Lotte Rent-A-Car recently topped the car rental category of the 2026 Korean Standards Premium Brand Index (KS-PBI) for the 18th consecutive year. The KS-PBI is a brand-value assessment model jointly developed by the Korean Standards Association and Seoul National University's Business School.