'A strong Tesla is good': Why new Chinese electric car brand Xpeng welcomes competition from the Tesla Model Y along with newcomers such as BYD, Deepal, Leapmotor, Zeekr and more

If you really don’t like Tesla boss Elon Musk, where are you supposed to get a good electric car?

It’s a question on many people’s lips because, right now, the Model 3 sedan and Model Y siblings offer the best balance of affordability, performance, technology and cabin space of any mainstream electric car on the market.

As a new challenger, a brand like Xpeng — along with the likes of BYD, Leapmotor, Aion, Deepal and plenty more — will be looking to scoop potential Tesla customers. But do Elon’s political movements bode well for new brands looking for fresh buyers?

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The answer, according to Jason Clarke, the CEO of Xpeng importer TrueEV, is more complex than a simple ‘yes’.

“Tesla is an incredible brand. You can have thoughts on Elon Musk — positive or negative or neutral — but it was groundbreaking, what they did,” said Clarke, who is an admirer of the way Tesla disrupted the market with the Model S that landed in Australia 10 years ago.

“They weren't cheap, and there was no real charging infrastructure and people worked it out, sorted it out. Range anxiety? Forget it. It was desirable, aspirational, all of that. And it was groundbreaking.

“Now you've got a Model Y and 3 and it's kind of pedestrian; they're just EVs now, so where does Tesla go?” He said.

Clarke, however, sees the value in Xpeng not being so involved in Australia’s early phase of electric vehicles. There’s less pressure and expectation of a new nameplate — it’s a clean slate.

Plus, there’s the benefit of surfing some of the education and awareness about electric car ownership and charging that carmakers like Tesla, Nissan, Renault and others had to invest in.

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“If a brand, Tesla, is in market really fiercely protecting or spruiking what they have — its importance to the environment, economy and so on — that is good for us. A strong Tesla is good for Xpeng, I really believe that.

“It’s like two cafes in the street rather than one, it brings more customers,” said Clarke.

Clarke appreciates Elon’s willingness to say things and be seen in this business, something others may find jarring. It’s good for business.

“I think if you flipped it and Tesla was problematic and had a low market cap and some problems and Elon Musk was demure, that whole category suffers, I believe. You don't necessarily love it on the political side of it. You can loathe it. But [Tesla] is still, front and centre, an electric vehicle technology company,” Clarke said.

Xpeng has entered the Australian market with its first offering, the G6 mid-size SUV. With a sharp sub-$60K price, 800-volt electrics for sub-20-minute fast charge and driving range up to 570km, it will be a real headache for the Tesla Model Y, Australia's favourite EV.

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The brand will expand its range next year with a twin-motor G6 Performance model, along with the X9 people mover. Also likely are the G9 large SUV and the P7+ large sedan, which is Xpeng’s most performance-oriented model.

Xpeng has opened its first location in Mascot, inside the Sydney Airport precinct. It is part of a network that will expand beyond 12 locations by the end of 2025 leveraging ‘experience centre’ type stores along with traditional dealer franchises.

The goal for Xpeng, which sees itself as a rival for Tesla, BYD, Volkswagen, Kia and Hyundai, is to become a top-five electric car seller, on the way to the target of 25,000 annual sales in Australia.

Battery electric vehicles are the main focus for now but Clarke didn't rule out hybrids in the future. The bosses back in China are keen for any product that works in Oz, but Clarke likes the idea of consistency.

Xpeng is developing more than just passenger cars, too. Artificial intelligence, humanoid robots and flying machines are all in Xpeng’s future. Flying cars are not ruled out, either.