China’s Xpeng expands Mona brand beyond borders

September 09, 2025 (MLN): Xpeng plans to launch its mass-market Mona brand in overseas markets next year, intensifying competition with Chinese peers and established global automakers in the electric vehicle (EV) sector.

CEO He Xiaopeng told CNBC on Tuesday that international expansion is moving faster than expected, adding for the first time that the company is open to acquiring other EV makers.

The Mona brand debuted in China last year with the Mona M03 electric coupe, starting at an aggressive 119,000 yuan (under $17,000).

Xpeng will launch Mona-branded cars in Europe next year, before expanding further in 2026, as CNBC reported.

“In 2026 you can expect a variety of Mona products launched into the Chinese and European markets, as well as in rest of the world,” He said, noting they would be “proven and excellent vehicles.”

These cars are expected to be cheaper than higher-end models like the P7 and G6.

The move comes as Chinese automakers expand rapidly in Europe, where firms like BYD have gained ground, challenging traditional players including Mercedes, BMW, and Volkswagen.

Tesla, meanwhile, continues to face declining sales in the region.

Xpeng began global expansion in 2020 with Norway, later entering Germany and France.

Originally targeting a presence in 60 countries by the end of 2025, the company has already surpassed that goal.

At the IAA Mobility auto show in Munich, Xpeng showcased the upgraded Next P7 for the first time in Europe.

However, challenges remain. European Union tariffs on China-made EVs have prompted companies to consider local manufacturing. Xpeng has expressed interest in producing in Europe but has not set a timeline.

Domestically, competition in China’s EV market has escalated into a price war, drawing intervention from regulators to curb excessive rivalry, known as “neijuan.”

He warned that only a handful of Chinese automakers will survive, saying the collapse of weaker players is already underway.

Xpeng has previously pursued selective acquisitions, such as buying the EV development business of ride-hailing firm Didi in 2023.

Now, He says the company is open to more deals: “I think if we have the opportunity then we want to acquire some companies. For us it’s a good thing to do. Manufacturing companies, EV companies are always possible.”

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