Xpeng’s January Car Deliveries Drop 34% to 20,011 Units

Xpeng, the Chinese electric vehicle manufacturer, reported a significant decline in its January car deliveries. The company delivered 20,011 vehicles, marking a decline of 34.07% compared to the same month last year. Additionally, this figure represents a 46.65% drop from the previous month.

Reasons Behind the Decline in Xpeng’s January Deliveries

Several factors contributed to this downturn in deliveries. The Chinese automotive market typically experiences a slowdown during January, often termed the traditional off-season. Moreover, changes in government policy reduced support for new energy vehicles (NEVs).

• Introduction of a 5% purchase tax for NEV buyers, down from a previous 10% exemption.
• Expiration of vehicle trade-in subsidies in multiple Chinese cities.
• These changes are currently shifting as China extends subsidies with updated conditions.

Xpeng’s Performance Highlights

Despite the overall decline in January deliveries, the Xpeng X9 multi-purpose vehicle (MPV) demonstrated robust sales. Since its launch, cumulative deliveries of the X9 have reached 51,897 units. The vehicle was initially released on January 1, 2024.

Xpeng also made strides to enhance its market offering in January. The company updated four of its vehicle models, introducing extended-range electric vehicle (EREV) options for two models. Furthermore, Xpeng began pre-orders for the 2026 X9 battery electric vehicle (BEV) last week.

Financial Strategies and Future Goals

Xpeng is also implementing new financing options to attract customers. Starting January 22, the company began offering a 7-year low-interest financing plan in China, competing directly with industry leaders like Tesla and Xiaomi.

Looking ahead, Xpeng has ambitious delivery targets. The company aims to achieve between 550,000 and 600,000 vehicle deliveries in 2026, representing a growth of approximately 28.1% to 39.7% compared to previous figures.

As Xpeng navigates these challenges, its strategic updates and revised goals reflect a commitment to growth in the evolving electric vehicle market.