XPENG assumes control of UK operations

XPENG is set to take direct responsibility for its operations in Britain with the establishment of a national sales company. It marks a shift away from the initial distributor-led model the company used to enter the UK market.

The Chinese electric carmaker has reportedly reached an agreement with its UK distribution partner International Motors (IML) which will see it take over direct control of its sales operations – with IML to continue providing operational support services moving forward.

In a statement, XPENG said the move allows it to take greater responsibility for the strategic and commercial development of its UK business while retaining IML’s established local infrastructure and distribution expertise: “This will combine XPENG’s global scale, technology and investment capability with International Motors’ established infrastructure, while ensuring continuity for retailers and customers.”

The decision comes as XPENG continues to grow its presence in the UK, a market it first entered via a distribution agreement with IML in November 2024. The G6 eSUV was selected as the brand’s first UK model, with the company initially planning to establish 20 dealerships via IML last year. However, the company has since vastly expanded its European line-up; its flagship X9 electric MPV launched in seven European markets in July, and XPENG also unveiled the more affordable L03 at its global brand event in Munich in July.

XPENG has said that the move will enable it to increase investment in its brand, retailer network and customer experience, as well as expand its UK product range. The firm has confirmed that both the X9 and the L03 will form part of its UK lineup moving forward.

“The establishment of our UK National Sales Company marks an important next step in XPENG’s long-term commitment to the market,” said Elvis Cheng, General Manager of XPENG North Eastern Europe. “XPENG recognises International Motors’ important contribution and valuable role in successfully launching XPENG in the UK and creating strong foundations for future growth. By combining direct XPENG leadership and investment with International Motors’ proven local capabilities, we are creating the right structure to scale the brand, strengthen the customer experience and bring our next generation of intelligent vehicles to more customers across the UK.”

William Brown, MD of International Motors, added: “This agreement is good news for XPENG, its retailers and its customers in the UK. It gives the brand greater direct support from XPENG globally, while preserving the continuity, infrastructure and local expertise that International Motors has built over its 50-year history.”

This comes just as Chinese carmakers continue to grow their presence in the UK. In August, electrive reported that Chery is establishing a new R&D centre at the UTAC Millbrook testing site in Bedfordshire. There, engineers will focus on adapting its vehicles to British driving conditions. Chery has said its team will work on areas including vehicle chassis and driver assistance systems, with the centre to eventually expand into autonomous driving and AI.

Info via email