Chinese auto-maker XPeng has revealed its new plug-in hybrid (PHEV) system could allow it to expand into the off-road SUV and ute segments – two of the most lucrative and popular markets in Australia.
XPeng, which opened its flagship Australian showroom in Sydney this week, currently only manufactures battery electric vehicles, however its first range-extender PHEV – using its own ‘Kunpeng Super Electric System’ – is forecast to be rolled out in the second half of 2025, most likely as a large SUV.
This vehicle is part of a massive product expansion by XPeng which will see “more than a dozen” all-new models launched in China by mid-2026.
XPeng is making startling claims for Kunpeng, including a 430km electric-only range and a 1400km combined range.
Fellow Chinese brand BYD has demonstrated the potential of PHEV utes with the Shark 6, claiming thousands of orders in Australia only a few weeks after going on-sale.
The Prado-sized Bao 5 4x4 off-road SUV of BYD subsidiary Fangchengbao is based on the same powertrain as the Shark 6 and is also expected to come to Australia.
PHEVs make more sense for off-roaders and utes than pure EVs because they erase concerns about range anxiety while still offering some electric-only, zero-emission running.
“We are going to introduce extended range propulsion system next year,” XPeng’s global finance and accounting vice-president James Wu told carsales.
“Previously we thought this is something that would not get that much traction as a transitional approach.
“But in China we realise this is the fastest growing segment, even faster than true EV.”
Wu made it clear Kunpeng was a real chance to make it to Australia.
“That’s very possible,” he said. “Not official decision, but it comes in natural because in some of the countries the policies are tailored toward true EVs, but in Australia there’s none such preferential difference.
“It’s a large country and you travel long distances so it makes perfect sense.”
This then opens up the obvious question about XPeng off-roaders and 4x4 utes using Kunpeng as the powertrain.
“We are definitely open for different types of architectures,” declared Wu.
“We are capable, we have the architecture to create these types of vehicles.
“It really depends on what’s the market and how long’s the return and what’s the priority.
“We are still in the process of completing our portfolio from a passenger-car perspective.”
Wu revealed there are a number of hurdles for an XPeng ute to clear, including the high tariffs that prevent Chinese makers from entering the world’s biggest pick-up market, the USA.
“The biggest markets for utes are Australia, North America and maybe Thailand,” he said.
“Two are right-hand drive markets and one is currently not open for Chinese EV players.
“If that dynamic changes we will accelerate that position.”
He sounded more positive about a 4x4 wagon, such as a Toyota LandCruiser or Prado rival.
“The EREV is also capable of producing that type of vehicle,” he said. “The benefit of that is it gives you some level of comfort in range anxiety.”
Details of Kunpeng – in Chinese mythology a Kunpeng is a hybrid fish and bird – are still limited.
But XPeng has confirmed it uses an 800-volt platform that supports a 5C fast-charging battery capable of charging from 10 to 80 per cent in just 12 minutes.
It also claims the system’s internal combustion engine (ICE) will add only one decibel of noise into the cabin when running.
While the size of the battery has not been revealed, it is clearly larger than in a normal PHEV like the Shark 6 for instance, which has a 29.6kWh battery pack, a claimed 100km of electric range and a claimed 800km combined range.
Wu said the size of the battery not only added range but helped XPeng in its push to develop artificial intelligence (AI) driving aids.
“I think now the competition is no longer arounds the battery side of the business, the competition is now switching to the smartification, in terms of mostly autonomous driving capability – smart cockpit, operating system etcetera,” he said.
“To do that you have to have an EV, you can’t imagine using a traditional ICE to make it smart. You just can’t. You have to use electricity.
“So EREV with a slightly larger battery size is a perfect combination to enable the smartification, but in the meantime solve your range anxiety.
“That’s the plan.”