The eighth generation BJ Familia was introduced on 9 June 1998 and released on 29 September 1998 as a 1999 model. Body styles included a four-door sedan and a five-door S-Wagon (sold as the Protegé5 in the United States and Canada, 323F in Europe, and as the Astina NU in some Asian countries). In Japan there was also a traditional five-door light van (station wagon for commercial use) sold under the Familia nameplate, but this car was simply a rebadged Nissan. A 4EC automatic transmission and two five-speed manual transmissions were available. All-wheel drive is optional.

The Japanese Mazda Familia had all-wheel drive as an option. In North America, the ES's engine was still 1.8 liters, but for the eighth generation it was a smaller version of the 626's engine (the FP) rather than the sportier engine shared with the Miata which had been used previously. The rear disc brakes of the ES were downgraded to drums.