Chinese electric vehicle manufacturer Xpeng plans to expand its manufacturing partnership with Magna Steyr by adding a fourth vehicle program to its European production operations in Graz, according to statements from senior company executives.
The move builds on Xpeng’s existing collaboration with the Austrian contract manufacturer, which currently produces the G6 and G9 electric SUVs as well as the P7+ electric sedan for European markets.
While the company confirmed that a fourth model will be added to the production line, it has not disclosed which vehicle will be selected.
Expanding European Manufacturing
Xpeng began local production of the G6 and G9 in Graz in September 2025 as part of its strategy to strengthen its presence in Europe.
Earlier this year, the P7+ joined the production program, expanding the range of Xpeng vehicles assembled for customers in the region.
The localization strategy comes as Chinese automakers seek to establish manufacturing operations closer to European consumers amid evolving trade policies and tariffs affecting imported electric vehicles.
Brian Gu, vice chairman of Xpeng, recently highlighted the company’s commitment to local production in Europe.
“For XPENG, local manufacturing is a key part of our long-term commitment to Europe. With the P7+ recently rolling off Magna’s production line in Graz, Austria, and our collaboration now expanding to a fourth vehicle program, it is exciting to continue building on this momentum,” Gu said in a LinkedIn post.
Fourth Model Yet to Be Confirmed
Shortly after Gu’s comments, Xpeng chairman and chief executive officer He Xiaopeng confirmed that a fourth vehicle is planned for production in Graz.
“Glad to see our strong partnership with Magna continue to grow. From the G6 and G9 to the recently rolled-off-line P7+, and soon our 4TH model to be produced in Graz, we stay the course to localize production in Europe,” He said.
The company has not identified the model, prompting speculation about which vehicle could join the European production lineup.
Among the possibilities is the X9 electric multi-purpose vehicle, which recently became available for order in Germany and is scheduled for deliveries this month. The seven-seat model features an 800-volt electrical architecture and is positioned as a premium people mover.
Mona Series Also Considered
Another potential candidate is a vehicle from Xpeng’s Mona lineup, which was developed with ride-hailing company Didi.
The Mona M03 electric sedan was initially launched in China and has not yet entered European markets. Xpeng has previously indicated plans to introduce the Mona brand in Europe.
Industry attention has also focused on the upcoming Mona L03, a compact electric coupe-SUV expected to be unveiled for European audiences later this year.
At the Financial Times Future of the Car Summit in London, Xpeng Europe Chief Executive Officer Elvis Cheng said the company plans to introduce the Mona series to Europe during an event in Munich in July.
Broader European Strategy
Cheng also indicated that Xpeng is evaluating additional manufacturing partnerships in Europe as it seeks to expand production capacity in the region.
Among the potential partners being considered is Volkswagen, which holds a strategic investment in Xpeng.
The latest expansion underscores the growing importance of localized manufacturing for Chinese automakers seeking to strengthen their position in Europe’s increasingly competitive electric vehicle market.
