XPENG teams up with Magna for local EV production in Europe

Published: Sep 15, 2025 10:48

Source: gasgoo

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On September 15, XPENG unveiled plans to localize production in Europe through a strategic collaboration with Magna’s plant in Graz, Austria.

Shanghai (Gasgoo)- On September 15, XPENG unveiled plans to localize production in Europe through a strategic collaboration with Magna’s plant in Graz, Austria. By leveraging Magna's established manufacturing lines, the company aims to accelerate the rollout of its electric vehicles in the region.

The company's first localized project has officially begun in the third quarter of 2025, with the Magna Graz facility rolling off the XPENG G6 and G9 as its initial models. More vehicles from the brand are expected to follow.

XPENG entered Europe in 2021, beginning in Norway, and has since extended its footprint to more than 46 countries and regions worldwide. Between January and July 2025, the automaker sold 18,701 vehicles overseas, marking a 217% year-on-year surge.

In Europe, XPENG's registrations in the first half of 2025 surpassed 8,000 units, with the G6 accounting for two-thirds of the total. The upcoming launch of the P7+, positioned as the world's first AI-powered vehicle, will further showcase the company's latest advancements in smart mobility to European consumers.

By starting local production of the G6 and G9 in the third quarter of 2025, XPENG expects to sharpen its competitive edge in Europe and lay the groundwork for a broader market presence.

Beyond the Magna partnership, XPENG is building a complete value chain in Europe, spanning research and development through to mass production—a milestone in its globalization strategy.

Recently, the company inaugurated its first European R&D hub in Munich. Operating under the motto "In Europe, With Europe," the center is designed to better understand local customer preferences while advancing technology development and localization.

Looking ahead, XPENG plans to expand Magna's production lineup to include a wider range of models—from sedans on dedicated EV platforms to mid-size and compact SUVs, as well as performance-oriented electric cars. Supported by its Munich R&D center, this strategy will broaden XPENG’s European portfolio and address the increasingly diverse needs of local buyers.

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