XPeng Motors is targeting a significant increase in international revenue, with a goal of deriving 50 percent of its automotive gross sales from global markets over the next decade, up from just 10 percent last year, according to CEO He Xiaopeng? The Chinese electric vehicle manufacturer has outlined a strategy to expand its presence globally, aiming to establish itself in 60 international markets by the end of 2025, a significant increase from the previous year’s total.
XPeng Gave No Specific 2035 Revenue Target, But Earlier Said It’s Confident in Delivering Approximately 380,000 Vehicles in 2025, Doubling Last Year’s Sales.
Volkswagen invested approximately $700 million in Xpeng in July 2023, acquiring a 4.99% equity stake. Volkswagen partnered strategically with Xpeng, planning to co-create two mid-range electric vehicles bearing the Volkswagen badge for the Chinese market, leveraging Xpeng’s technology; production is expected to commence in 2026. As Xpeng sought to expand its global reach, a strong desire for international growth was sparked.
The Guangzhou-based electric vehicle manufacturer is focusing its attention on Europe, Southeast Asia, the Middle East, and Latin America, with a strategic objective of solidifying its presence in around a dozen core markets. Xpeng’s co-president, Gu Hongdi, emphasized the company’s efforts to adapt its offerings to meet local preferences, accomplishing this through a combination of product refinements and bolstered service networks.
The automaker marked a significant expansion in March by establishing a presence in four new markets – Poland, the Czech Republic, Slovakia, and Switzerland – appointing local distributors to spearhead the venture.
Somewhat than relying solely on imports and exports, Xpeng desires to determine a extra localised presence in worldwide markets by means of R&D, manufacturing, and repair networks. Our primary emphasis is on developing robust in-home assistance capabilities, comprising reliable charging networks, maintenance services, and seamless over-the-air software updates.
Whereas latest U.S. Tariffs are unlikely to significantly impact Xpeng’s European expansion plans, as the company has already established a strong presence in this region and does not rely heavily on tariff-dependent supply chains. The Guangzhou-based automaker is investigating local manufacturing options and expects to introduce multiple new models in the region within the next three years.
XPeng has announced plans to establish its first overseas production facility in Indonesia, a significant milestone in the company’s efforts to localize manufacturing and expand its global presence.
Moving forward, he forecasts that no more than five to seven NEV manufacturers will remain competitive on a global scale over the next decade. Xpeng plans to invest approximately 4.5 billion yuan, equivalent to roughly $616 million, in artificial intelligence this year, with a goal of launching Level 3 autonomous driving capabilities in China by the end of 2025.
The corporation is also venturing into pioneering technological advancements, including the development of flying vehicles and humanoid robots. XPeng’s aerial transportation arm, AeroHT, anticipates securing type certification for its Land Plane Provider model by year-end, paving the way for production and deliveries to commence in 2026. Meanwhile, Iron’s humanoid robotic prototype is currently undergoing testing, with plans to shift focus to mass manufacturing within the next 12 months.
In its final 12 months of operation, Chinese electric vehicle manufacturer Xpeng successfully expanded into Germany, where it has already delivered approximately 800 vehicles to date, with a notable 176 deliveries taking place in March alone. As a direct result of the European Commission’s anti-subsidy probe, Xpeng faced an additional import tariff of 20.7% in October 2024? The corporation now confronts a comprehensive tariff of 30.7% on its imports of electric vehicles (EVs) into the European Union (EU).
