Chinese electric vehicle maker Xpeng plans to establish independently operated localized supply chain teams in Europe and ASEAN markets in 2026, as part of a broader effort to strengthen overseas operations and support its long-term strategy for local production abroad, Chinese financial media outlet Yicai reported on Tuesday.
The initiative is aimed at improving supply chain responsiveness, deepening deployment of local supply resources and enhancing operational efficiency in overseas markets, the report said. Xpeng did not disclose further details on the size or structure of the planned teams.
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The move builds on Xpeng’s accelerating push into overseas manufacturing. In December, the company signed an agreement to begin local vehicle assembly in Malaysia, marking its second localized production project in the Asia-Pacific region and its third globally, with mass production scheduled for 2026.
The Malaysia project follows Xpeng’s first overseas manufacturing initiative, launched in Indonesia in July, where the company began assembling vehicles and producing its X9 multi-purpose vehicle. The Indonesian facility was described by the company as a key step toward localizing production closer to fast-growing regional markets.
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In Europe, Xpeng has also advanced its manufacturing footprint. Last week, the automaker completed trial production of an updated version of its P7+ sedan at a facility in Austria.
