Chinese electric vehicle manufacturer Xpeng, headquartered in Guangzhou, Guangdong, says it is ready to enter the Philippine market and compete with the biggest names in the industry. The move adds another Chinese EV brand to a local market that already includes several competitors from China, such as BYD, as well as Japanese incumbents that dominate overall auto sales.

During a recent immersion activity in Guangzhou, Xpeng Southeast Asia General Manager Sam Chu said the brand's upcoming launch, set for September, is the best time to enter the country, given that its lineup is "better prepared."

Mr. Chu also said Xpeng believes the Philippine market has already reached a "turning point in electrification" and recognizes local demand for smart electric vehicles. Electric vehicles still account for a small share of total vehicle registrations in the country, and charging infrastructure remains limited outside major urban centers, factors that any new entrant will have to navigate.

"I do know that our brand vision is physical AI (artificial intelligence) for all, and it enables consumers around the world to experience mobility through intelligent technology, and we're going to provide more choice for customers in the Philippine market with very competitive prices," he said during a presentation to media.

L03, X9

Xpeng Philippines, the brand's local subsidiary, will make its debut next month with the formal unveiling of its initial two-model lineup. It comprises the compact crossover L03, with an indicative price of less than P2 million, and the premium people mover X9, which will be priced below P4.5 million.

The crossover is expected to go toe to toe with the Tesla Model Y, while the MPV will go against the likes of the Denza D9 and Zeekr 009 — rivals that, like Xpeng, are Chinese brands expanding internationally as competition in China's domestic EV market intensifies.

The company is also set to put up six sales outlets in the Philippines by the end of the year, with the locations expected to be revealed during the official brand introduction.

Regional Expansion

Xpeng's entry into the Philippines forms part of its expansion roadmap in Southeast Asia (SEA). Xpeng Vice-President James Wu said the company's plan to be present in the region, which has a combined population of around 600 million, is a strategic move for the brand, also given the region's proximity to China.

He also stressed his familiarity with the market, having lived in Southeast Asia for three years, which allowed him to learn the buying dynamics of customers.

"I know the culture, and I feel the people from Southeast Asia in general like new things, trendy things, and new technologies. They're willing to pay a little premium to enjoy those new technologies, and this fits our strategy perfectly because we're basically born to do that. We're born to create new technologies and put those technologies into our vehicles and introduce them to the SEA market," Mr. Wu added.

Xpeng currently operates two manufacturing facilities in Southeast Asia, located in Indonesia and Malaysia, as part of its long-term commitment to the region. The company is also analyzing whether it needs to add more.

"We're committed to this region for the long term because we have invested in our people, (allocated capital), and worked on the localization of production. So, without doubt, Southeast Asia is a key market for us, as well as a long-term, strategically important market," Mr. Wu noted.

The executive also revealed that Xpeng plans to bring extended-range vehicles into the fray and is eyeing the introduction of its advanced end-to-end, vision-to-action autonomous driving architecture, VLA 2.0, in Southeast Asia. Regulatory approval for such driver-assistance features varies by country in the region, which typically shapes how and when they can be rolled out.

Recently, Xpeng globally debuted the G9L, with the model positioned as the marque's flagship offering in the premium five-seater segment. It will be available in battery-electric and extended-range versions.

The Guangzhou tour also allowed participants to see VLA 2.0 in real-world conditions via a public-road experience. Participants likewise learned about Xpeng's manufacturing capacity during a factory tour, where they saw firsthand near-100% automation, AI-driven visual quality control, and integrated front/rear "gigacasting" that reduces body weight while improving crash safety.