XPENG Kick-Starts Local EV Production in Malaysia, Marking Strategic Milestone in ASEAN Expansion

Rhea-AI Summary

XPENG (NYSE: XPEV) announced a strategic partnership with Malaysian manufacturer EP Manufacturing Berhad to launch localized EV production in Malacca, with mass production scheduled to begin in 2026.

This will be XPENG's third global localized production project and second in Asia-Pacific, designed to integrate production, sales, charging services, and user operations across Europe and APAC. From January to November 2025, XPENG's overseas deliveries reached 39,773 units, a 95% year‑on‑year increase, and its overseas network spans 52 countries with 321 outlets. The collaboration aims to tailor intelligent EVs for Malaysian and ASEAN consumers and support Malaysia's NEV industrial ecosystem and job creation.

Positive

• Overseas deliveries 39,773 units Jan–Nov 2025 (+95% YoY)
• Mass production in Malaysia scheduled to begin in 2026
• Third global localized production project; second in Asia‑Pacific
• Integration with sales, charging services, and user operations
• Network reach of 321 overseas outlets across 52 countries
• Partnership leverages EPMB's over 40 years manufacturing experience

Negative

• None.

Key Figures

Overseas deliveries 39,773 units XPENG overseas deliveries Jan–Nov 2025, +95% YoY

Global coverage 52 countries/regions Sales and service network as of Jan–Nov 2025

Overseas outlets 321 outlets XPENG overseas sales and service locations

November deliveries 36,728 vehicles November 2025 deliveries, +19% YoY

YTD deliveries 391,937 units Cumulative deliveries Jan–Nov 2025, +156% YoY

Q3 deliveries 116,007 vehicles Total deliveries Q3 2025, +149.3% YoY

Q3 revenue RMB20.38bn Total revenues Q3 2025, +101.8% YoY

Cash & equivalents RMB48.33bn Cash, equivalents, restricted cash, ST investments, time deposits at Sep 30, 2025

Market Reality Check

$18.99 Last Close

Volume Volume 6,414,315 is about half the 20-day average of 12,340,939, suggesting a muted pre-news setup. low

Technical Price at $18.99 is trading below the 200-day MA at $20.70 and 32.74% under the 52-week high.

Peers on Argus

Peers showed mixed moves: LI -0.99%, NIO -1.95%, STLA -0.93%, F +0.66%, while RIVN +9.51%. XPEV’s -1.04% pre-news move did not align with a clear sector-wide trend.

Historical Context

Date	Event	Sentiment	Move	Catalyst
Dec 01	Delivery update	Positive	-2.2%	Reported November deliveries growth and strong year-to-date volume expansion.
Nov 17	Earnings report	Positive	-10.3%	Q3 results showed surging deliveries, revenue growth and improved margins.
Nov 05	Earnings call notice	Neutral	-4.0%	Announced timing and access details for upcoming Q3 earnings call.
Oct 31	Delivery update	Positive	+0.5%	Record October deliveries and expansion into seven new international markets.
Oct 30	AI event announcement	Positive	-1.0%	Announced XPENG AI Day focused on Physical AI and robotaxi technology.

Pattern Detected

Recent history shows XPEV often trading lower after seemingly positive operational or financial updates, indicating a pattern of negative or muted price reactions to good news.

Recent Company History

Over the last few months, XPENG highlighted rapid growth and international expansion. October and November 2025 delivery releases showed strong volume gains, including 42,013 October deliveries and cumulative 355,209+ units year-to-date, alongside new market entries. Q3 2025 results reported robust revenue growth and improved margins, yet shares dropped 10.32% the next day. Today’s Malaysia localization news continues the global expansion theme, adding ASEAN manufacturing to prior Europe and Asia-Pacific initiatives.

Market Pulse Summary

This announcement details XPENG’s move to localized EV production in Malaysia, adding a third global project and strengthening its ASEAN presence. It complements prior expansion that produced 39,773 overseas deliveries and a network spanning 52 countries with 321 outlets. Investors may focus on how this partnership supports scaling volumes, margins, and regional competitiveness, while also monitoring future delivery updates, financial results, and execution milestones for the Malacca facility.

Key Terms

NYSE financial

"XPENG (the "Company", NYSE: XPEV, HKEX: 9868) has officially entered"

A large, regulated marketplace where stocks and other securities are listed and traded, acting like a global auction house that matches buyers and sellers and helps determine share prices. It matters to investors because listing and trading there provide liquidity, price discovery, and regulatory oversight—making it easier to buy or sell holdings and giving companies a visible platform that can affect credibility and access to capital.

robotaxi technical

"unveiling Physical AI applications including VLA 2.0, Robotaxi, and Next-Gen IRON"

A robotaxi is a self-driving vehicle designed to transport passengers without a human driver. It operates autonomously, using sensors and computers to navigate roads and pick up riders, similar to a taxi service but without a driver. For investors, robotaxis represent a potential shift in transportation, promising lower costs and new opportunities in mobility services.

AI-generated analysis. Not financial advice.

KUALA LUMPUR, Malaysia, Dec. 15, 2025 /PRNewswire/ -- XPENG (the "Company", NYSE: XPEV, HKEX: 9868) has officially entered into a strategic partnership with Malaysian manufacturing group EP Manufacturing Berhad ("EPMB") to launch localized production initiatives in Malacca, Malaysia. This collaboration, with mass production set to begin in 2026, marks XPENG's third project of its kind globally and its second in the Asia-Pacific region.

Following the company's manufacturing projects in Indonesia and Austria, the new facility in Malaysia is designed to synergize with XPENG's existing operations in Europe and other Asia-Pacific markets, forming an integrated ecosystem encompassing localized production, sales, charging services, and user operations to accelerate deep market penetration.

Through this partnership, XPENG will leverage EPMB's extensive local manufacturing expertise, proven production capacity, and deep market knowledge to produce advanced intelligent EVs tailored to Malaysian and ASEAN consumer needs. Localized production will enable XPENG to deepen its integration into the regional market, enhance responsiveness, and strengthen its competitive edge.

The collaboration aligns with the Malaysian government's vision for a green economy and the development of high-end manufacturing capabilities. It is expected to contribute to the upgrading of Malaysia's new energy vehicle (NEV) industrial ecosystem and create skilled employment opportunities locally.

"Establishing local production project in Malaysia is a significant milestone in XPENG's global strategy and underscores our long-term commitment to the ASEAN region," said James Wu, Vice President, XPENG. "EPMB's proven capabilities and shared vision make them an ideal partner. This initiative allows us to be closer to our customers, accelerate market responsiveness, and systematically introduce our intelligent technologies, driving forward our mission of 'Democratizing Technology' on a global scale."

"We are thrilled to partner with XPENG, a global leader in smart EV technology," said Hamidon bin Abdullah, Founder and Executive Chairman of EPMB. "This strategic alliance combines EPMB's over four decades of automotive manufacturing excellence and local insights with XPENG's cutting-edge intelligence and electrification innovations. Together, we are committed to delivering high-quality, intelligent EVs to Malaysian consumers and supporting the nation's sustainable industrial ambitions."

XPENG has been rapidly expanding its global footprint. From January to November 2025, the Company's overseas deliveries reached 39,773 units, reflecting a 95% year-on-year increase. Its sales and service network now spans 52 countries and regions worldwide, with 321 overseas outlets. The Malaysia production project will synergize with XPENG's existing operations in Europe and other Asia-Pacific markets, forming an integrated ecosystem encompassing localized production, sales, charging services, and user operations to accelerate deep market penetration.

About EP Manufacturing Berhad (EPMB)

EPMB is a diversified investment holding group with core businesses in automotive manufacturing and engineering. With over 40 years of experience as a Tier 1 supplier to international automotive brands, EPMB possesses mature quality control systems, extensive component manufacturing expertise, and a verified vehicle assembly facility in Malacca. The Group is committed to advancing Malaysia's manufacturing landscape through strategic partnerships and innovation.

About XPENG

Founded in 2014, XPENG is a leading AI-driven mobility company that designs, develops, manufactures, and markets Smart EVs, catering to a growing base of tech-savvy consumers. With the rapid advancement of AI, XPENG aspires to become a global leader in AI mobility, with a mission to drive the Smart EV revolution through cutting-edge technology, shaping the future of mobility. To enhance the customer experience, XPENG develops its full-stack advanced driver-assistance system (ADAS) technology and intelligent in-car operating system in-house, along with core vehicle systems such as the powertrain and electrical/electronic architecture (EEA). Headquartered in Guangzhou, China, XPENG also operates key offices in Beijing, Shanghai, Silicon Valley, and Amsterdam. Its Smart EVs are primarily manufactured at its facilities in Zhaoqing and Guangzhou, Guangdong province.

XPENG is listed at the New York Stock Exchange (NYSE: XPEV) and Hong Kong Exchange (HKEX: 9868).

Contacts:
For Media Enquiries: XPENG PR Department
Email: pr@xiaopeng.com

View original content:https://www.prnewswire.com/news-releases/xpeng-kick-starts-local-ev-production-in-malaysia-marking-strategic-milestone-in-asean-expansion-302641921.html

SOURCE XPENG

FAQ

When will XPENG (XPEV) begin mass production in Malaysia?

Mass production at the Malacca facility is scheduled to begin in 2026.

How many overseas vehicles did XPENG (XPEV) deliver in Jan–Nov 2025?

XPENG reported 39,773 overseas deliveries from January to November 2025, a 95% YoY increase.

What does the XPENG and EPMB partnership mean for Malaysian EV production?

The partnership establishes localized production in Malacca to produce intelligent EVs tailored for Malaysia and ASEAN markets.

How will the Malaysia project fit into XPENG's global operations (XPEV)?

The Malaysia facility will synergize with XPENG's Europe and APAC operations, integrating production, sales, charging, and user services.

How extensive is XPENG's current overseas sales and service network?

XPENG's overseas network covers 52 countries with 321 overseas outlets.

Does the XPENG Malaysia project reference local economic or government goals?

Yes; the collaboration aligns with Malaysia's green economy and NEV industrial ecosystem development, including job creation.