The Chinese electric carmaker Xpeng has started tapping into the European auto market, beginning from sales in Norway where it’s begun handing over the first 100 of its G3 SUVs to customers in the country. The G3 is priced starting at 358,000 krone ($41,000) for Norwegian customers.

Having made significant sales in China, Xpeng is looking to expand by entering into other countries, and Norway, in particular, seems like a very good place to start given the country’s first-rate infrastructural and policy support for the use of electric vehicles.

In fact, over 40% of the cars sold in Norway last year were electric vehicles, a figure that trumps that of many other countries both in and outside Europe. With a population of 5.3 million, Norway has enacted supportive policies and invested heavily in charging infrastructure for electric vehicles, making the country a valuable target for electric carmakers worldwide.

In the race to curb environmental pollution by adopting emission-free vehicles, Norway is undoubtedly leading the way.

Xpeng, based out of China, has become one of the world’s top-most electric carmakers in just six years of existence. With two vehicles in production, the G3 SUV and the P7 sedan, Xpeng so far has delivered over 30,000 vehicles to customers, making hundreds of millions of dollars in sales from them.

Xpeng went public just this year and has soared over 200% from its IPO price of $15 to now at $47.40 and with a market cap of over $37 billion. Keen on expansion, the electric carmaker recently completed a $2.5 billion secondary share sale to fund its operations. 

Xpeng has poured huge amounts of cash into developing vehicles and as thus recorded big losses even as its sales have soared. Currently with a cash balance of over $5 billion, the company is keen on spending big to grow with hopes of turning profitable in the long run.

Photo credit: Xpeng

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