XPeng Faces Major Setback as Steering Defect Prompts Large-Scale Vehicle Recall

Chinese electric vehicle manufacturer XPeng is confronting a significant operational challenge following the announcement of a substantial vehicle recall. Approximately 47,500 units of the P7+ model require inspection and repair due to a potentially hazardous steering system malfunction. This figure represents more than 65% of all P7+ sedans sold since the model’s market introduction, dealing a considerable blow to an automaker that has built its reputation on technological leadership and rapid market expansion.

Quality Control Concerns Emerge Amid Expansion

The recall initiative was mandated by China’s State Administration for Market Regulation (SAMR) after investigations revealed inconsistent signals within the power steering system that could lead to a complete loss of steering assistance. The directive affects all P7+ vehicles manufactured between August 2024 and April 2025. XPeng has committed to replacing the defective steering components at no cost to vehicle owners.

Complicating matters for the automaker, Chinese state media had initially reported on the steering issue back in July. Industry observers have noted that XPeng’s delayed response to these safety concerns may damage its carefully cultivated image as an innovative technology frontrunner in the competitive EV sector.

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International Ambitions Continue Despite Challenges

Despite this significant setback, XPeng continues to advance its global growth strategy. The company recently showcased its artificial intelligence developments at the 2025 IAA Mobility conference in Munich and announced European market entry plans for its more affordable “Mona” series, scheduled for 2026. The automaker also confirmed its intention to launch operations in New Zealand before the end of 2025.

The timing of the recall presents particular challenges as it coincides with what should be a period of celebration for the company. XPeng recently reported remarkable delivery growth of 252% in 2025, setting new records for the manufacturer. This contrast between rapid expansion and quality control issues has raised questions about the company’s manufacturing processes during periods of accelerated production.

Chief Executive Officer He Xiaopeng remains optimistic about the company’s prospects, forecasting vehicle deliveries exceeding 40,000 units for September. The company’s ability to restore customer confidence through efficient and complimentary repairs of the steering components will likely prove crucial to maintaining XPeng’s positive growth trajectory in coming quarters.