Following the European Union’s increase in tariffs on Chinese electric vehicles (EVs), Chinese automaker Xpeng is considering opening its own factories directly in Europe.
This move was announced by the company’s founder and CEO, He Xiaopeng, at the Paris Motor Show.
The European Commission recently imposed tariffs as high as 35.3% on Chinese EV imports, citing government subsidies that give Chinese manufacturers an unfair advantage over European brands. However, He Xiaopeng believes European carmakers shouldn’t fear competition from China. “We can collaborate and grow together,” he emphasized, adding that Xpeng is now exploring options to produce directly in Europe, whether through local partnerships or their own manufacturing facilities.
Xpeng has already launched two new models in Europe this year, steadily establishing itself as a premium EV brand. By producing vehicles in Europe, Xpeng could avoid the steep tariffs, making its cars more appealing to European consumers. Additionally, with the increasing demand for eco-friendly options, Chinese electric vehicles offer an affordable alternative for environmentally-conscious European drivers.
Affordable and Impressive
Xpeng recently surprised the market with the launch of its new model, the Mona M03, which boasts an impressive range at a surprisingly low price. The base version of the Mona M03 starts at just €15,000 (excluding VAT), almost half the price of the entry-level Tesla Model 3. This version, known as the 515, offers a range of up to 515 kilometers.
