The Toyota iQ "microcar" has been named Japan's car of the year, giving the automaker a potential tool to lure buyers away from BMW's Mini brand, the award organizer said Tuesday.

PSA Peugeot Citroen won the import car of the year with its Citroen C5 sedan, the award's organizer said on its Web site. A committee of 65 auto-industry writers and consultants decided on the winners.

Toyota may tout the award in advertisements for the 1-liter iQ as it bids to boost sales amid slumping auto demand. Sales have fallen for three straight months in Japan and for 12 months in the U.S.

The iQ, which carries three adults with space for a child or luggage, is due to go on sale domestically Nov. 20. It costs between ¥1.4 million and ¥1.6 million. BMW's Mini One starts at ¥2.08 million. Daimler's twin-seat Smart ForTwo goes for a base price of ¥1.76 million.

Measuring just less than 3 meters, the iQ is slightly longer than the 2.4-meter Smart ForTwo and shorter than Japanese minicars, including the Daihatsu Move.