Xpeng Starts Local Car Production In Europe, These Two Models Become First

Xpeng factory in Austria. (Photo: CNevpost)

JAKARTA Car manufacturers from China continue to spread their wings to the European market, and Xpeng is one of the most aggressive players. This brand is now officially starting local production in Europe, a strategic step that is expected to be able to strengthen market share while reducing the high tariff burden.

Citing a CNevpost report, Monday, September 15, Xpeng's first European production project has officially started at the Magna factory in Graz, Austria.

The first two models to leave the assembly line are Xpeng G6 and G9, the report reads.

In the future, this facility will produce more models, including sedans based on pure electric platforms, medium to small SUVs, and hybrid vehicles.

Xpeng deepens its presence in Europe with a more complete product portfolio and accelerates global expansion through China's smart manufacturing, Xpeng said.

Interestingly, this factory is not a new facility. Xpeng utilizes Magna's production line, a giant Canadian automotive parts giant that has long operated in North America, Europe and Asia. The facility used is under Magna Steyr, a subsidiary of Magna which is known as a contract manufacturer for various global automotive brands.

The partnership with Magna is considered in line with Xpeng's long-term vision to strengthen its production base in Europe. "Magna Steyr operates more than 110 factories across Europe and is ready to provide full support for OEM from China," said Roland Prattner, President of Magna Steyr, in an interview with Chinese media in 2023.