Volkswagen finalizes $700 million investment in XPeng Motors

XPeng Motors announced the completion of Volkswagen's substantial $700 million investment in the company. That translates into a 4.99% stake in XPeng Motors.

In addition to the substantial investment, Volkswagen also secured an observer seat on XPeng Motors' board of directors. While this might give them a front-row view of XPeng's operations, it remains unclear how much influence they can exert on the Chinese automaker's decision-making processes.

The collaboration between the two companies extends beyond financial investments, with plans to jointly develop two electric vehicles for China's mid-size car market by 2026. XPeng Motors touts its full-stack self-developed capability, highlighting its role in providing the platform and technology, while Volkswagen handles engineering research, design, and manufacturing.

Source (Chinese)

Reader comments

    Nothing yet. Be the first to comment.

    FEATURED