On July 22nd, Xpeng Motors-W(09868.HK) and Volkswagen Group jointly announced that following the announcement on April 17th, 2024 that Xpeng and Volkswagen Group signed a framework agreement for electronic and electrical architecture (“EE Architecture”) technology strategic cooperation (the “Announcement”), Xpeng Motors and Volkswagen Group have signed a joint development agreement for EE architecture technology strategic cooperation (“Joint Development Agreement”). Both parties will invest full efforts to develop industry-leading EE architecture for Volkswagen’s CMP and MEB platforms produced in China. The signing of the Joint Development Agreement not only marks that the two parties will accelerate the development of EE architecture in China, but also lays a foundation for expanding the scope of their strategic cooperation in EE architecture technology.

In the strategic cooperation of EE architecture technology, Xpeng Motors and Volkswagen Group have established a joint development project team in Guangzhou and Hefei, and the engineers of both parties will collaborate closely to accelerate the development process of EE architecture. With the close technical cooperation of the joint development project team, the first vehicle model equipped with jointly developed EE architecture by both parties is expected to be put into mass production in about 24 months, reflecting the deep mutual trust and firm commitment of Volkswagen Group and Xpeng Motors in their strategic partnership relationship.

In addition, according to this Joint Development Agreement, Xpeng Motors and Volkswagen Group will actively explore further cooperation opportunities to expand the application scope of their jointly developed EE architecture. Both parties have reached a consensus on promoting the strategic cooperation of EE architecture and look forward to further strengthening their strategic partnership relationship. "EE architecture cooperation is the third important milestone we have achieved with Volkswagen Group in our long-term strategic partnership relationship within a year. With Volkswagen and Xpeng's high trust and the collaborative efforts of both parties' engineers, the development of our cooperative project has progressed rapidly and has already achieved significant synergies. I am very much looking forward to expanding the scope of our technical cooperation and deepening our win-win strategic partnership relationship," said He Xiaopeng, Chairman and CEO of Xpeng Motors.

Stephan Wöllenstein, Volkswagen Group China’s CEO, stated,"The rapid progress that Volkswagen and Xpeng have made in their close cooperation demonstrates the enormous potential of our partnership. By contributing our respective technological expertise, we are jointly developing advanced EE architecture. Now, we are taking a new step in our cooperation. This is another milestone of Volkswagen Group’s "China, for China" strategy, which clearly focuses on the needs of Chinese customers and promotes technological innovation. Starting in 2026, all pure electric vehicle models launched by the Volkswagen brand in the Chinese market will be equipped with this powerful and efficient EE architecture."