XPeng Motors Seeks to Mitigate Tariff Impact by Producing in Europe

TapTechNews August 27th news, Bloomberg reported today that He Xiaopeng said XPeng Motors is seeking to mitigate the impact of import tariffs by manufacturing cars in Europe.

In the interview session after tonight's press conference, regarding whether XPeng Motors will build a complete vehicle factory in the overseas market, He Xiaopeng said: Currently only in the process of looking for cooperation. We didn't say to build a factory overseas. Wouldn't it be better if there is a partner?

Bloomberg said that XPeng's current site selection in the EU is in the initial stage, and the company expects to establish production capacity in an area with relatively low labor risk. In addition, He Xiaopeng also said that efficient software collection has become the key to the intelligent driving function of the car, and XPeng Motors also plans to establish a large data center in Europe.

He Xiaopeng insisted that although after the tariff increase, some profits from European countries will decrease, the big plan of XPeng Motors to go global will not be affected by the tariff increase.

TapTechNews reported in July that XPeng Motors responded to the EU's electric vehicle tariff measures, saying that the company is actively evaluating the feasibility of establishing local manufacturing capacity in Europe and taking appropriate measures to meet market demand. All current consumers waiting for delivery and future customers who place orders before the new tariff takes effect will not be affected by any price increase.