Xpeng has taken a huge step in its European journey. The Chinese EV maker has started building its G6 and G9 SUVs right here in Europe, at Magna Steyr’s well-known factory in Graz, Austria. It’s a big move that shows just how serious Xpeng is about growing in Europe and making its cars easier and faster to get into the hands of local buyers.
The Graz facility isn’t just any factory. It has a long history of producing cars for some of the biggest names in the industry, from BMW to Mercedes-Benz and Jaguar Land Rover. Now, it’s where Xpeng will put together its best-selling G6 – which already makes up two-thirds of the brand’s European sales – and the larger G9 SUV. With over 8,000 Xpengs already registered in Europe in the first half of 2025, local production should help the company push those numbers even higher.
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Why Xpeng Is Building in Europe
Shipping cars from China works, but it comes with longer delivery times, higher costs, and sky-high tariffs. By building in Austria, Xpeng can shorten the supply chain, adapt faster to European regulations, and maybe even pass savings on to customers. It also means buyers won’t have to wait as long for their G6 or G9 to arrive at their local showroom.
But Xpeng’s plans don’t stop with just two SUVs. The company is preparing to roll out more models in Europe, including the new P7+ liftback, along with future sedans, compact SUVs, and high-performance EVs. Xpeng is also pushing its “AI car” concept, which ties in with advanced software features and even futuristic projects like humanoid robots and flying cars that it showcased at the Munich Motor Show.
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More Than Just Manufacturing
To make sure its European lineup fits local tastes and rules, Xpeng recently opened an R&D centre in Munich, Germany. This hub will allow engineers to tweak features and develop technologies that match European expectations. With both manufacturing in Austria and R&D in Germany, Xpeng is showing it’s here for the long run, not just as an exporter, but as a true player in Europe’s EV industry.
FAQ
Q: Which Xpeng models are now being built in Europe?
A: The G6 and G9 SUVs are the first to roll off the line at Magna Steyr’s Graz factory in Austria.
Q: Why is local production such a big deal for Xpeng?
A: It reduces shipping and import costs, speeds up delivery times, and makes it easier to meet European safety and emissions standards.
Q: What’s special about the Graz factory?
A: It’s run by Magna Steyr, which has decades of experience building cars for premium brands like Mercedes-Benz, BMW, and Jaguar Land Rover.
Q: Will Xpeng build more cars in Europe?
A: Yes. The company is planning to add models like the P7+ liftback and expand into other vehicle types, including compact SUVs and high-performance EVs.
Q: What else is Xpeng doing in Europe besides building cars?
A: It opened a research and development centre in Munich to fine-tune its vehicles for European buyers and showcased new models and tech at the Munich Motor Show.
