Austria is the new gateway for Chinese cars to Europe. This is far from small experiments with low-end cars, as Leapmotor did with Stellantis. This time, the stakes are really being raised. Xpeng, a respected manufacturer of excellent electric SUVs and electric super sports cars, will produce its cars in Austria thanks to the industrial collaboration just perfected with Magna SteyrOr rather, it will co-produce them based on pre-assembled parts from China: certainly the engines, almost certainly the entire bodyshell in its raw state, the upholstery, the electronics, and a substantial portion of the components. Everything will be completed in Austria and will be shipped to Europe and beyond.
The focus is on luxury. Tesla and the Germans are in the crosshairs.
Xpeng, a giant that operates under the banner of quality has already set foot in the Old Continent by selling over 8 thousand cars in the first six months of this year, with the lion's share played by the compact SUV G6Magna Steyr is little known to most, but it enjoys a high regard in the automotive world. It is a benchmark even in pure technology. Its premium-class car production for third parties also includes some super-luxury Mercedes models.
Steyr, when it was entirely Austrian owned and the automotive division was called Steyr Puch, was the creator and producer, among other things, of the Fiat all-wheel drive transmission. Panda 4x4Qualities that have not changed with the dissolution in the 90s of the industrial conglomerate Steyr (weapons, cars, motorcycles and much more) with the sale of the automotive sector to the Canadian Magna but with the maintenance of the entire industrial structure and related assets on Austrian soil, Graz. The European version of the new alliance with Xpeng will probably be produced there as a first step. G9 SUV, the G6's bigger brother, destined to threaten both Tesla and future models from leading German manufacturers.
All the ingredients for the challenge. And more to come.
For the success of the new Euro-Chinese alliance, all the ingredients for success are there. Starting from the profitability which, there's no point in hiding it, could derive from the underlying gimmick that inspired the operation: the neutralization of duties. But there's much more behind it: green light for excellent technology, for design that can certainly be calibrated to European tastes and above all for a content-to-price ratio which could represent a major problem for attempts to revive the European industry in the sector.
It will perhaps be the definitive consecration of the new anti-tariff strategy for Chinese cars in Europe: a network of alliances With the best in the industry, we wanted to replicate, if possible, the motorcycle innovation pioneered by Japanese company Honda in the 80s and 90s. The Japanese giant came to Italy, built a factory with us in Atessa, Abruzzo (thanks in part to subsidies from the Cassa per il Mezzogiorno), and there produced highly successful models, such as the legendary Transalp enduro, with absolutely "Japanese" mechanical qualities and therefore unbeatable quality. The factory is still fully operational today, supported by a European design center located in Rome.
It doesn't end here. According to reliable sources, Magna Steyr is also about to set up aparallel alliance with another leading Chinese manufacturer, GAC Motor. Meanwhile, the Xpeng-Magna ASteyr deal could beat the Chinese giant's Western campaign to the punch. BYD, which is planning to build its cars in Hungary and Türkiye.
