China’s Xpeng Partners With Magna to Produce EVs in Austria

Chinese electric vehicle maker Xpeng Inc. has launched its first production line in Europe by partnering with Austrian contract manufacturer Magna Steyr.

The tie-up will see Xpeng leverage Magna’s Graz plant in southern Austria to produce its cars, and the first batch of G6 and G9 sport utility vehicles have rolled off the production line, Xpeng said Monday.

By localizing manufacturing, Xpeng should be able to avoid tariffs levied on Chinese EVs that the European Union introduced in 2024. The additional charge on products from cooperating automakers is set at 20.7%, and as high as 35.3% for some other ...