XPeng becomes the latest Chinese automaker to establish an European R&D center in Germany, as it continues to expand in the Old Continent.
The announcement was made on Monday, at the IAA Auto Show. Its first R&D center in Europe will be located in Munich and is set to officially open this week.
The company’s founder and CEO He Xiaopeng reaffirmed plans to begin local production in Europe to avoid the tariffs imposed by the European Commission on imported electric vehicles from China.
The new R&D center becomes the Guangzhou-based company’s ninth global R&D hub, according to the brand, after Sillicon Valley and San Diego, in the United States.
“It demonstrates our full-stack, self-developed AI capabilities. XPeng doesn’t just build cars, we are creating smart and sustainable mobility experiences for global users,” founder and CEO He Xiaopeng stated.
The chief executive noted that “the new Munich R&D center demonstrates our strong commitment to creating these experiences together with Europe,” adding that it will lead to “deepening partnerships, driving local innovation, and serving European users with cutting-edge mobility solutions.”
Beijing-based Li Auto and Xiaomi have also established new R&D centers in Europe’s largest auto market. Both have opened their hubs in Munich as well.
While Li Auto announced the move in January, Xiaomi has not yet officially mentioned the site, while it keeps hiring BMW veterans such as former designer Kai Langer.
Shanghai-based EV maker Nio established its design headquarters just outside the Bavarian city in June 2015, and currently has two R&D centers in Germany — in Munich and Berlin.
XPeng entered Germany in March 2024, with its G6 and G9 SUVs and the P7 sedan.
The company has refreshed both SUVs in China earlier this year, and in July opened orders for the new iterations across several European markets — including Germany.
Last month, XPeng launched the new P7 in its domestic market — which is debuting in Europe at the IAA Munich Auto Show.
Besides the G6, G9 SUVs and P7 sedan, XPeng is also showcasing its P7+ model at the IAA.
The model, which the company calls “the world’s first AI-defined vehicle,” is set to “launch in Europe soon,” after only being available in China.
“Since our first appearance at IAA Mobility in 2023 as an emerging Chinese EV brand, XPeng has returned in 2025 having quickly grown into the world’s sixth-largest EV player,” President Brian Gu stated.
Gu added that the brand is now present in “over 46 markets and will continue expanding globally, delivering innovative products and smart technologies to help accelerate the shift to sustainable mobility.”
Regarding its European markets, XPeng has expanded to Czech Republic, Slovakia and Benelux recently, and will enter Latvia, Lithuania and Estonia, Hungary, Slovenia and Croatia soon.
The company aims to more than double the number of countries it operates in from 30 to 60 this year while doubling annual vehicle deliveries to over 380,000 vehicles.
In August, it has delivered a record 37,709 units across the globe. The brand is less than 110,000 vehicles away from reaching its 2025 sales target of 380,000 units.
XPeng aims to roll out mass-produced L4-level autonomous driving vehicles by the end of 2026, as it prepares to launch Robotaxi trials in China.
The company also estimates to start mass production of its humanoid robot “IRON” in 2026.
