XPeng Inc. announced on January 13 2026 that it will establish dedicated, localized supply‑chain teams in Europe and ASEAN as part of its “In Local, For Local” strategy. The move follows the company’s 2025 launch of production projects in Austria and Malaysia, and is intended to secure and manage regional supplier resources, streamline operations, and support a fully closed‑loop supply chain in key international markets.
The new teams will work to secure and manage supplier resources, streamline operations, and support XPeng’s goal of building a fully closed‑loop supply chain in key international markets. Pilot production of the P7+ sedan at Magna Steyr’s Graz, Austria, was completed in 2025, with deliveries scheduled to begin in April, while a production hub in Malaysia is slated to begin operations in 2026. These facilities provide the foundation for the localized supply‑chain teams to reduce logistics costs and shorten delivery cycles.
XPeng’s expansion is part of a broader strategy to embed AI across its supply chain, integrate robotics and emerging mobility solutions such as flying cars, and leverage 80 % of its automotive supply‑chain partners. By localizing procurement and production, the company aims to reduce dependence on distant suppliers, improve operational efficiency, and enhance responsiveness to regional demand. The “In Local, For Local” approach also strengthens XPeng’s global industrial ecosystem and positions it to capture a larger share of international sales.
Financially, XPeng reported a narrowed net loss and improved gross margin in its first‑quarter 2025 results, and it is targeting profitability by the fourth quarter of 2025. The company delivered 45,008 vehicles overseas in 2025, a 96 % increase from the previous year, and operates in roughly 60 countries and regions. CEO He Xiaopeng stated that half of XPeng’s sales will come from global markets within the next decade, underscoring the company’s long‑term international growth ambition. A 10 billion‑yuan credit line from ICBC further supports the company’s expansion plans.
Market reaction to the announcement was muted, driven by ongoing progress in China‑EU tariff negotiations, the new credit line, and a leaked sales target that had already influenced investor sentiment. The announcement reinforced confidence in XPeng’s supply‑chain resilience and its ability to scale operations abroad.
XPeng aims to double international deliveries in 2026, expand AI platform monetization, and maintain cost discipline while pursuing strategic partnerships with Volkswagen for E/E architecture development and Amap for robotaxi services. These initiatives signal a continued focus on technology leadership and global market penetration.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.