04:12 AM EDT, 05/14/2026 (MT Newswires) -- XPeng (XPEV) is in talks with Volkswagen AG and other automakers about acquiring a factory in Europe to expand its overseas production, the Financial Times reported Wednesday.

Elvis Cheng, XPeng's managing director for northeastern Europe, told the FT's Future of the Car summit on Wednesday that the company is discussing potential factory opportunities with Volkswagen.

Volkswagen has been looking to reduce excess manufacturing capacity in Europe amid weaker demand and rising competition, according to the report.

XPeng did not immediately respond to MT Newswires'request for comment.

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