Chinese electric vehicle manufacturer Xpeng Motors is charging into the European market, officially expanding its presence into Switzerland, Austria, Hungary, Slovenia, and Croatia. This move signals a significant push in the automaker’s global strategy.
Switzerland Becomes Xpeng’s Latest European Hub
Switzerland is the latest destination in Xpeng’s European journey. The company has teamed up with Hedin Group, a prominent European mobility service provider, to introduce the 2025 Xpeng G6 and G9 models. Enthusiasts in Switzerland can look forward to the P7+ arriving in the first half of 2026. This expansion builds on Xpeng’s initial foray into Europe, which began with Norway in 2021. Today, Xpeng’s sales and service network spans over 46 countries and regions worldwide.
Austria, Hungary, Slovenia, and Croatia Join the Fold
Come October 2025, Austria will officially welcome Xpeng. The brand plans to replicate its successful authorized dealer model from Germany, starting with dealerships in major cities like Vienna, Salzburg, Graz, and Klagenfurt. Xpeng aims for 10 Austrian locations by the end of 2025, growing to 20 by 2026. Simultaneously, Xpeng is broadening its Southeastern European footprint by entering Hungary, Slovenia, and Croatia. A joint venture between AutoWallis Group and Salvador Caetano Group will spearhead operations in these three nations.
Local Production and R&D for a Stronger European Presence
Driving this aggressive expansion is a strategic manufacturing partnership with Magna’s factory in Graz, Austria. This collaboration marks a significant milestone, allowing for local production of Xpeng vehicles. It’s a smart play to sidestep potential EU tariffs and solidify a European presence. The G6 and G9 models are slated to be the first off the Graz assembly line in the third quarter, making Magna’s factory the first to assemble complete vehicles for a Chinese automaker. Interestingly, Volkswagen has also been tapping Xpeng for autonomous driving brains, showcasing the depth of Chinese EV expertise.
In the first half of 2025, Xpeng already sold over 8,000 vehicles across Europe. To further bolster its efforts, the company recently opened its first European R&D center in Munich, Germany. This center will be crucial in developing new models, including sedans and SUVs, specifically tailored for European production. This move underscores Xpeng’s commitment to the European market and its ambition to compete with established players and other Chinese giants like BYD, which also plans to enter Europe. With Xpeng hitting the one-million vehicle milestone, their expansion seems well-timed to capitalize on growing global EV demand. The move also puts global pressure on established players like Tesla, even as Tesla battles for market share in China.
Overall, Xpeng’s strategic expansion into these five new European markets, coupled with local production and dedicated R&D, positions the company for significant growth and underscores the increasing influence of Chinese EV manufacturers on the global automotive landscape. The competitive landscape is heating up, with brands like Nio’s Firefly also making moves in Europe.
