Chinese electric vehicle maker XPeng used the stage at IAA Munich 2025 to showcase its ambitious global expansion plans while also offering a glimpse into the future of mobility with its flying car program.
Founded in Guangzhou in 2014, XPeng entered Europe in 2021 and has since tripled its exports, now operating in 46 countries. Vice chairman and president Brian Gu said the company delivered 271,615 vehicles through August 2025, a 252% increase compared with the same period last year. At this pace, Gu projected XPeng would reach profitability by the fourth quarter of 2025.

The company’s strategic partnership with Volkswagen, which currently provides XPeng’s electrical and electronics architecture for China-market vehicles, has expanded to include plug-in hybrid and internal combustion models. Industry watchers are keen to see if the collaboration will extend beyond China.
XPeng also highlighted its progress in autonomous driving. A demonstration video showed vehicles navigating themselves from the production line to an outdoor delivery area. Founder He Xiaopeng said robotaxi trials with mass-produced Level 4 vehicles would begin in China in 2026, with the same technology integrated across XPeng’s global lineup by the fourth quarter of that year.

On the performance front, the company unveiled its second-generation flagship P7 sports sedan. The model delivers 0–62 mph in 3.7 seconds, a top speed of 143 mph, and 585 horsepower. XPeng also claimed the P7 set a global distance record for mass-produced EVs, covering 2,461 miles in 24 hours and outperforming rivals including Xiaomi YU7, Mercedes-Benz CLA, and Porsche Taycan.
The most eye-catching announcement came from XPeng’s flying car division, AEROHT. After 12 years of R&D and an investment of $600 million, the company says it has developed seven prototype generations. Its modular ‘Land Aircraft Carrier’ has already secured more than 6,000 orders and will make its public debut and maiden overseas flight in Dubai in October 2025. Customer deliveries are expected to begin in late 2026. XPeng forecasts flying cars could account for 20% of the global automotive market within two decades and positions itself to become the industry’s largest player.
NEW LAUNCH | BMW, E.ON Launch Germany’s First Vehicle-to-Grid Service