XPeng’s globalization accelerates again
Author | Wang Xiaojuan
Editor | Zhou Zhiyu
“I look forward to seeing Xpeng's overseas sales, partnerships, and empowerment reach a 1:1 ratio with the Chinese market, or even higher, in the next three, five, and ten years.”
This is the clear goal set by He Xiaopeng, Chairman and CEO of Xpeng Motors, for Xpeng’s globalization process. In his view, 2026 will be a year of rapid growth for Xpeng Motors, with overseas market growth surpassing that of the domestic market.
To achieve all this, Xpeng needs a comprehensive boost to its overseas market development.
On January 13th, Xpeng announced its plan to establish independently operated local supply chain teams in Europe and ASEAN markets by 2026, to support and deepen the layout and operation of overseas supply resources and improve supply chain responsiveness.
After deploying the supply chain,Xpengwill form a full-system localized layout in Europe covering production, supply chain, and after-sales. The benefits of such deep deployment are evident: significantly shortening vehicle delivery times so local consumers can get their cars faster, and effectively reducing import tariff costs to enhance product price competitiveness.
Before this, Xpeng’s global strategy showed a clear “Southeast Asia–Europe” dual-line approach. 2025 became a key watershed in its overseas expansion: from Indonesia to Austria, then to Malaysia, three major overseas production bases were established in just half a year.
Indonesia, Xpeng's first overseas production base, played a role as a trial. In July 2025, the right-hand drive Xpeng X9 will officially begin production in Jakarta, Indonesia, starting at 990 million Indonesian Rupiah (about 440,000 RMB), targeting Southeast Asia's largest automotive market.
Progress in the European market is also rapid. In September 2025, Xpeng cooperated with the Magna plant in Graz, Austria, leveraging its existing mature production lines to promote local production of EVs in Europe. The first batch of locally produced Xpeng G6 and G9 models have successfully rolled off the assembly line.
The Malaysia project carries deeper strategic intentions. Malaysia has a mature auto industry chain, convenient regional logistics, and experience in right-hand drive car production for multiple ASEAN countries, making it an ideal hub for Xpeng to cover the entire Southeast Asian market.
At the end of last year, Xpeng officially announced its signing with Malaysia’s EPMB Group, officially launching its local production project in Malaysia. According to the plan, the Xpeng G6 will go into production in Malaysia by the end of March 2026, and the X9 (including the X9 extended-range version) is scheduled to go into production in May 2026.
Localized production directly addresses the two major pain points of high tariffs and long supply chain cycles. For example, in the ASEAN market, import duty on a car could be as high as30%—50%, while localized production can significantly reduce this cost. Also, a shorter supply chain means faster market response and quicker adjustment of products to local demand.
Meanwhile, Xpeng’s globalization is also reflected in R&D. In September 2025, the Xpeng Motors R&D Center in Munich, Germany officially opened, its first in Europe and the company’s ninth worldwide.
Synergy between R&D and production is already evident. In the European market, for instance, Xpeng uses the Munich R&D center to gather local user needs, then carries out local production at the Graz plant in Austria, forming a “R&D + production” strategic loop in Europe. This model ensures products are better adapted to local market needs.
Recently, He Xiaopeng also visited the U.S. for a business trip to experience smart driving and made a bet with the local R&D team. He also said in a previous interview that in the second half of 2026, Xpeng will bring its autonomous driving capabilities to the global market.
Currently, Xpeng is accelerating the global launch of extended-range models. After entering the “pure electric + extended-range” dual-technology path, in markets where charging infrastructure is sufficient, Xpeng can focus on pure electric models, while in regions like Southeast Asia with less developed infrastructure, extended-range models will be a strategic focus.
With deeper localization strategies, Xpeng Motors’ overseas sales are surging. From January to December 2025, Xpeng Motors delivered 45,008 units in overseas markets, a year-on-year increase of 96%. This data demonstrates Xpeng’s strong expansion momentum abroad.
Since last year, emerging car companies like Xpeng have reached monthly sales of 30,000 units, but industry competition requires that these companies reach higher scales in order to compete at the top table, and the vast overseas market is their shared choice.
He Xiaopeng’s goal of “more than half of sales coming from overseas within the next ten years” is gradually becoming reality. With the deepening of localized production abroad, Xpeng Motors’ global competitiveness will further improve.
With the mass production at the Malaysia plant in 2026 and the establishment of the European supply chain team, Xpeng’s globalization strategy will enter a new stage. At the same time, the story of Chinese cars overseas is upgrading from the old script of “selling products” to an epic of “global manufacturing” with deep involvement in the global industry chain.
The road ahead is long, but the direction is already clear.
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