XPENG Reports February EV Deliveries

The February delivery figure represents a 23.76% decrease from January 2026 and a 49.9% drop compared to the previous year. This decline is largely attributed to the seasonal slowdown caused by the Chinese New Year holiday, which fell in mid-to-late February. The broader Chinese EV market experienced a challenging start to 2026. A price war has intensified, evolving into a "financial war" with manufacturers like Tesla, BYD, and NIO offering extended low-interest financing to attract buyers. This comes as a full purchase tax exemption for new energy vehicles ended, being replaced by a 50% exemption. In comparison to its rivals, XPeng's February performance was mixed. NIO reported delivering 15,159 vehicles under its main brand, a 65.8% year-over-year increase, bringing its group total to 20,797 for the month. Li Auto delivered 26,421 vehicles, a slight 0.6% increase from the previous year, ending an eight-month streak of year-over-year declines. While navigating the domestic slowdown, XPeng is accelerating its global expansion. In February, the company began shipping its new P7+ smart EV to 18 countries, marking a significant step in its international strategy. The P7+ made its European debut at the Brussels Motor Show with a starting price of €43,990, with deliveries expected to begin in 25 European markets in April. XPeng is also pushing forward with technological advancements. The company is set to unveil its 2nd Generation Vision-Language-Action (VLA) model on March 2nd. This AI-driven system is designed to provide a more human-like driving experience. To broaden its market appeal, XPeng is implementing a "one car, two powertrains" strategy. Models like the new P7+ and the X9 are offered as both all-electric (BEV) and extended-range electric vehicles (EREV), which feature a gasoline engine to charge the battery. This approach aims to address range anxiety and cater to a wider range of customers, particularly in markets with developing charging infrastructure. The company's focus extends beyond cars to a broader "Physical AI" concept, which includes the development of humanoid robots and flying cars. CEO He Xiaopeng has stated a goal for the "IRON" humanoid robot to begin mass production by the end of 2026.