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Mobility

Xpeng in talks to acquire Volkswagen Europe plant as exports jump 62 percent

Chinese electric vehicle maker Xpeng is discussing a plant acquisition with Volkswagen to secure a production base in Europe, as capacity at its contract manufacturing line in Austria tightens. Xpeng produced G6 and G9 models for Europe at Magna Steyr in Austria and completed trial production of the 2026 P7+ sedan in January. Xpeng\'s April overseas exports rose 62 percent from a year earlier. Volkswagen is pursuing cuts to excess capacity in Europe and is considering transferring some capacity to Chinese partners.

Mobility

Tesla completes design of AI5 chip as U.S. presses automakers on war preparedness

The United States is stepping up a wartime response posture, adding pressure on the auto industry. The Pentagon has contacted top executives at major automakers such as GM and Ford to sound out slowing some EV output and expanding weapons and military supplies production. Separately, Ford’s CEO warned about Chinese EVs and the company reshuffled its organisation. Volkswagen accelerated battery work, while Tesla completed its AI5 chip design and updated its FSD app amid complaints over HW3 limits.

Mobility

Stellantis, Microsoft sign 5-year partnership to apply AI to vehicle services and security

Stellantis will work with Microsoft for 5 years to introduce artificial intelligence across vehicle services, software development and cybersecurity. The partners plan to improve customer digital services, boost vehicle development capabilities and raise the stability of connected services. Stellantis aims to expand predictive maintenance algorithms and in-car efficiency guidance, while integrating AI into vehicle software. They also plan AI-based cybersecurity analysis and target a roughly 60 percent cut in data-centre usage by 2029.