The European Union’s war with Chinese car manufacturers, which, with the help of state subsidies, are trying to dominate European soil, has been going on for a long time. New regulations on tariffs on cars imported from China have made it even more difficult for Chinese cars to dominate Europe. Therefore, some have already started production of their cars in Europe (BYD, Chery and Dongfeng), and XPeng may soon do the same.
XPeng, like other Chinese brands, wants to expand its international business in order to increase exports from 10% to 11-12% this year. XPeng already sells in the Netherlands, Norway, Sweden, Denmark and Germany, and plans to enter other European markets, including France, Italy and the UK. The company intends to increase its investment in technological innovation, as customers demand more high-tech features when choosing their cars.
Two months ago, the company’s management pointed out that it plans to hire an additional 4,000 people this year and invest $482 million in the development of artificial intelligence and the next level of autonomous driving. However, after 10 years of development, XPeng also plans to launch a flying car, an eVTOL aircraft for vertical take-off and landing, but which can be a full-fledged road car. The aircraft should reach the market in the last quarter of this year.
In 2023, VW invested 700 million dollars in the Chinese car manufacturer XPENG, becoming the owner of nearly 5% of the company, with which it agreed a partnership on the production of two models of this German brand. Both models will hit the market in 2026.
Source: XPeng
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