XPeng has announced on Monday that its first ever European made vehicles have rolled off the production line in Austria.
The news come just a week after the company’s founder and CEO He Xiaopeng teased that the Chinese carmaker was considering building cars locally in Europe while revealing expansion plans for the cheaper Mona series in 2026.
The start of EV manufacturing will allow the Guangzhou-headquartered brand to avoid the European Union’s tariffs on electric vehicles made in China.
Up until now, the company faced a 20.7% extra duty.
To speed up the local production — and instead of building its own EV plant in Europe — XPeng is partnering with the car supplier and manufacturer Magna via its Austrian subsidiary Magna Steyr.
The company has its main production in the city of Graz, Styria’s state capital.
Magna produces several models from German legacy automakers BMW and Mercedes-Benz.
The factory was also responsible for manufacturing the Fisker Ocean SUV, before the company filed for Chapter 11 bankrupcy in mid-2024.
XPeng said on Monday the first batch of G6 and G9 SUVs have already “successfully rolling off the production line” and the plant will be producing additional models “in the future.”
“XPeng plans to produce a wider range of models at the Magna plant, including pure-electric sedans, mid-size SUVs, compact SUVs, and ultra-electric models,” the brand further said.
The Chinese automaker entered Europe in 2021 through Norway. In the past year, XPeng more than tripled its European markets — which include Sweden, Denmark, the Netherlands, Germany, Benelux, France, Portugal, Spain, the UK, among others.
According to the brand, “in the first half of the year, XPeng registered over 8,000 vehicles in Europe, with the G6 serving as the main contributor, accounting for 67% of sales.”
XPeng‘s new P7 and P7+ sedans will also “soon” debut in the continent, following the refreshed versions of the G6 and G9 SUVs.
Last week, the company also announced that it is bringing its cheaper MONA series to Europe. The Mona M03 sedan accounts for over 40% of XPeng’s monthly deliveries in China.
At Germany’s IAA Auto Show last week, XPeng announced that it was opening a R&D center in Munich, its first in Europe. The launch event took place later last week.
XPeng is currently in “more than 46 countries and regions worldwide,” on track to double its presence worldwide year over year — from 30 to 60 markets.
Last week, China’s Ministry of Industry and Information Technology (MIIT) revealed that the G7 SUV will be offered with a hybrid powertrain, making it XPeng‘s second model with this option after the X9 MPV.
The company announced on Monday that the hybrid version of the X9 will debut next month.
