GUANGZHOU, China: Xpeng will establish dedicated and localised supply chain teams in Europe and Asean in 2026.
The Chinese automaker said this move deepens the company’s “In Local, For Local” strategy, building on its existing overseas production, research and development (R&D), service, and data infrastructure to form a complete operational closed-loop in key international markets.
Following the launch of localised production projects in Europe and Southeast Asia in 2025, the new independent supply chain teams will be tasked with securing and managing regional supplier resources, enhancing operational efficiency, and dramatically improving supply chain responsiveness.
The formation of localised supply chain teams marks the latest step in Xpeng’s systematic overseas strategy.
The company has already laid a comprehensive foundation with three overseas production projects, a European R&D center, a Middle East parts warehouse, and plans for local data centres.
This new initiative completes the “localisation loop,” integrating production, R&D, service, data, and now, supply chain management.
The strategy is delivering strong results.
In 2025, Xpeng’s overseas deliveries soared to 45,008 units, a remarkable 96% year-on-year increase.
The brand is now present in 60 countries and regions worldwide.
“We are confident that in the next 10 years, half of Xpeng’s sales will come from global markets,” said Xpeng chairman and CEO He Xiaopeng.
The localised supply chain structure is designed to create tangible benefits.
This includes cost reduction - by fostering local procurement and supporting production hubs in locations like Malaysia for Asean and Austria for Europe, Xpeng will significantly lower logistics and transportation costs.
Other benefits are efficiency and experience - leveraging experience from its Middle East parts hub, the teams will optimise regional logistics networks.
This will shorten delivery times and accelerate after-sales service, directly enhancing customer satisfaction and supporting further global growth.
Beyond physical localisation, Xpeng is driving intelligent transformation by deploying AI (artificial intelligence) across the supply chain.
Pilot applications in team management and quality monitoring are underway, and the company is sharing low-cost AI inspection solutions and operational expertise with partners.
