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Volkswagon to invest $700M into Chinese EV carmaker Xpeng

Jul 26, 2023

Auto show, Wuhan, China. Photo: Getty Images

Volkswagen AG plans to invest $700 million in Xpeng Inc. and jointly develop electric vehicles in China.

Why it matters: The automaker is seeking to boost struggling sales in the world's largest auto market.

Details: VW is expected to hold a 4.99% stake in the Chinese company and is getting an observer board seat.

  • The German auto giant also said that its Audi brand signed an agreement with its long-term Chinese partner SAIC Motor Corp Ltd. to expand its EV offering.

Separately: Nissan told investors this morning it would refocus on boosting flagging sales in China, now that it's finalized an up to $633 million investment in Renault's EV unit, Ampere.

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