New program marks the first Chinese automaker to localize production in Magna's complete vehicle operations in Europe
Magna to assemble two fully electric vehicle models
Serial production is set to begin in Q3 2025

AURORA, Ontario, Sept. 15, 2025 (GLOBE NEWSWIRE) -- As Chinese car manufacturers enter the European market, the need for localized production is growing. Today, Magna has announced that XPENG, a Chinese smart electric vehicle manufacturer, has selected the company to assemble two new models for the European market. Serial production of these new smart electric vehicles will begin in Q3 2025, marking the start of a long-term collaboration for future models.

For nearly 20 years, Magna has supported Chinese automakers with complete vehicle engineering, and since 2018, with domestic manufacturing and assembly services. This newly awarded program marks the first complete vehicle assembly with a Chinese OEM out of Magna's operations in Graz, Austria, aligning with XPENG's commitment to European localization.

"We are thrilled to collaborate with XPENG, marking a significant milestone as our first Chinese OEM partner here in Europe," said Roland Prettner, President Magna Complete Vehicles. "This partnership underscores our commitment to innovation and flexibility in meeting the evolving needs of the automotive industry. By leveraging our extensive experience and state-of-the-art facilities, we are well-positioned to support XPENG's ambitious goals for the European market."

Magna is a key strategic partner for OEMs that are looking to expand their presence within the region. With its range of capabilities, including being a world leader in brand independent contract manufacturing, Magna offers comprehensive automotive expertise, flexibility, and experience working with a wide range of OEMs. Due to this positioning, Magna is able to provide tailored and swift support to automotive manufacturers.

"Our partnership with Magna fits perfectly in our vision and strategy to strengthen our European capabilities," said Brian Gu, Vice Chairman and President of XPENG. "It is a first step in our growth in Europe as we have a long-term commitment to Europe."

With over 125 years of vehicle manufacturing expertise, Magna has established a global network of partners and suppliers. The company has developed more than 40 complete vehicles and derivatives and produced more than 4 million vehicles.

To learn more about Magna's complete vehicle capabilities, visit www.magna.com/products/complete-vehicles/.

INVESTOR CONTACT

Louis Tonelli, Vice President, Investor Relations

louis.tonelli@magna.com │ 905.726.7035

MEDIA CONTACT

Tracy Fuerst, Vice President, Corporate Communications & PR

tracy.fuerst@magna.com │ 248.761.7004

ABOUT MAGNA INTERNATIONAL

Magna is more than one of the world's largest suppliers in the automotive space. We are a mobility technology company built to innovate, with a global, entrepreneurial-minded team of over 164,000 employees across 338 manufacturing operations and 106 product development, engineering and sales centres spanning 28 countries. With 65+ years of expertise, our ecosystem of interconnected products combined with our complete vehicle expertise uniquely positions us to advance mobility in an expanded transportation landscape.

For further information about Magna (NYSE:MGA, TSX:MG), please visit www.magna.com or follow us on social.

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Magna Awarded Vehicle Assembly Business With Chinese OEM XPENG