Tesla’s Chinese rival Xpeng signs partnership with UAE’s Ali&Sons

Tesla’s Chinese rival Xpeng Motors said on Thursday that it has established a strategic partnership with UAE-based Ali&Sons and added Italy to its Europe plans, as part of the electric vehicle (EV) maker’s broader strategy to expand into international markets.

The partnership adds to Xpeng’s growing network of global partnerships with dealers in Egypt (RAYA), Azerbaijan (SR Group), Jordan (T Gargour and Fils) and Lebanon (Gargour Asia SAL) markets.

“The new markets we announced today are recognised globally as the nucleus for EV growth, which makes this the natural and forward-thinking next step in our expansion into the EMEA market,” Alex Tang, GM of International Markets at Xpeng said in a statement

Xpeng said multiple models will go on sale in the five Middle East and North African countries starting in the second quarter of this year.

The EV maker will offer the G6 and G9 sport utility vehicle (SUV) models in UAE from Q3 2024, while deliveries of the P7 sedan and G9 SUV will start in Jordan and Lebanon from the second quarter and in Egypt from the third quarter.

The company started deliveries of the P7 sedan and G9 SUV in Israel and Azerbaijan in late 2023.

“The partnerships will enable Xpeng to bring its latest Smart EVs to local consumers with branded showrooms, after-sales support, and comprehensive guidance through each stage of the buying process,” the electric carmaker said in the statement.

The partnerships mark several ‘firsts’ for Xpeng on its road to globalisation, with the UAE being the first market in the GCC region, Azerbaijan as the company’s first market in Central Asia and Egypt as the company’s first market in Africa.

The electric car firm also expanded its European market plans to include Italy. It had previously said it was planning to expand into Germany, the UK and France.

Xpeng advances UAE’s smart mobility strategy

Meanwhile, the partnership with Ali&Sons comes as the UAE is accelerating the adoption of electric cars in the country in a bid to increase the share of EVs to 50 per cent of total cars on its roads by 2050.

“We are shifting to eco-friendly transport systems and are pleased to see our EV market growing steadily as we plan to increase the share of electric and hybrid vehicles to 50 per cent of total vehicles on our roads by 2050,” Suhail Al Mazrouei, the UAE’s Minister of Energy and Infrastructure said at the COP28 climate change summit in Dubai last December.

“To achieve this goal, we are constantly expanding our EV network and infrastructure to make EVs more appealing to customers. We aim to have a total of 914 EV charging stations by the end of 2023, and 10,000 chargers by 2030.”

The UAE electric car market has grown exponentially over the years, driven by government-led initiatives that are advancing infrastructure and installing electric charging stations. It is projected to grow at an annual rate of 27.2 per cent between 2023 and 2027.

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