Chinese electric vehicle maker Xpeng has announced plans to launch street trials of its robotaxis and move toward mass production of humanoid robots, underscoring its growing focus on physical artificial intelligence.
Speaking at an event in Guangzhou, Xpeng founder and chief executive He Xiaopeng said the company will begin robotaxi road tests “very soon” and aims to start large-scale production of humanoid robots in the second half of 2026. He described the strategy as essential to staying competitive in an increasingly crowded automotive market.
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Xpeng’s push reflects a broader industry shift. Automakers now invest heavily in robotics to automate factory and warehouse operations. Driverless vehicles and humanoid robots share many of the same foundations, including sensors, chips, and advanced software. This overlap makes physical AI a natural extension of Xpeng’s existing technology stack.
He Xiaopeng said Xpeng’s proprietary “Turing” AI chip will play a central role in this transition. He stressed that the company does not want to become a manufacturer competing solely on low-cost hardware. Instead, Xpeng plans to differentiate itself through the deep integration of AI across vehicles and robots.
The strategy mirrors moves by rivals such as Tesla, which has also announced plans for robotaxis and humanoid robots. Interest in physical AI extends beyond automakers. Chip designer Arm Holdings recently reorganised to create a dedicated physical AI unit, highlighting the sector’s rapid momentum.
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Despite reporting a net loss of 380 million yuan in the third quarter, He said he expects Xpeng to break even by the end of 2025. The company maintains that AI-led innovation will support long-term growth and profitability.
At the Guangzhou event, Xpeng also unveiled four updated vehicle models. The cars feature new software upgrades, including 3D navigation, enhanced hazard alerts, and improved autonomous driving functions. Xpeng is a strategic partner of Volkswagen, underscoring its ambitions in smart mobility.
With robotaxis and humanoid robots now part of its roadmap, Xpeng is positioning itself not just as an EV maker, but as a broader AI-driven mobility and robotics company.