As Chinese car manufacturers enter the European market, the need for localized production is growing. Today, Austrian contract manufacturer Magna Steyr has announced that XPENG, a Chinese smart electric vehicle manufacturer, has selected the company to assemble two new models for the European market.
Serial production of the XPENG G6 and G9 electric crossovers will begin in Q3 2025, marking the start of a long-term collaboration for future models.
For nearly 20 years, Magna has supported Chinese automakers with complete vehicle engineering, and since 2018, with domestic manufacturing and assembly services. This newly awarded program marks the first complete vehicle assembly with a Chinese OEM out of Magna’s operations in Graz, Austria, aligning with XPENG’s commitment to European localization.
“We are thrilled to collaborate with XPENG, marking a significant milestone as our first Chinese OEM partner here in Europe,” said Roland Prettner, President Magna Complete Vehicles. “This partnership underscores our commitment to innovation and flexibility in meeting the evolving needs of the automotive industry. By leveraging our extensive experience and state-of-the-art facilities, we are well-positioned to support XPENG’s ambitious goals for the European market.”
Magna is a key strategic partner for OEMs that are looking to expand their presence within the region. With its range of capabilities, including being a world leader in brand independent contract manufacturing, Magna offers comprehensive automotive expertise, flexibility, and experience working with a wide range of OEMs. Due to this positioning, Magna is able to provide tailored and swift support to automotive manufacturers.
“Our partnership with Magna fits perfectly in our vision and strategy to strengthen our European capabilities,” said Brian Gu, Vice Chairman and President of XPENG. “It is a first step in our growth in Europe as we have a long-term commitment to Europe.”
With over 125 years of vehicle manufacturing expertise, Magna has established a global network of partners and suppliers. The company has developed more than 40 complete vehicles and derivatives and produced more than 4 million vehicles.
