The electrification of China’s auto market continues to bring in big numbers for domestic manufacturers.
XPeng, one of several Chinese EV automakers reported a 172% increase in delivery of its Smart EV’s for August — shipping 7,214 of its electric SUVs and sedans.
The company’s sedan remains its top seller, with XPeng shipping over 6,000 cars versus only 1,049 of its compact SUV.
To date, the company has tripled auto sales year-on-year. It delivered nearly 46,000 vehicles through August — a 334% increase.
The sales boost comes as Chinese policymakers have mandated that a certain number of vehicles sold by the nation’s automakers must be battery-powered. Every year, manufacturers must earn a certain set number of points, awarded on EVs that are produced.
The goal of the mandate is to have electric vehicles make up 40% of all car sales by 2030.
Despite the tailwinds and the positive sales figures, shares of the company’s stock fell in trading on concerns over a shift in the company’s production facilities. XPeng recently moved all of its manufacturing to a wholly-owned Zhoaqing facility, which impacted some of the company’s planned deliveries of its G3 SUV.
XPeng is also launching a new family sedan in September, and will begin deliveries of the new model in October.
In August, the Company began to transition production for the G3 SUV to G3i, the mid-cycle facelift version of G3, to its wholly-owned Zhaoqing Smart EV Manufacturing Base. As a result, some planned deliveries of the G3 were affected in August. The Company expects to start deliveries of the G3i to start in September.
On September 15, the Company plans to officially launch the P5 family sedan, its third production model, with deliveries starting in October.
Shares of XPeng’s stock were trading at $41.66, down 87 cents, or roughly 2% in mid-day trading on the New York Stock Exchange.