Porsche teams up with XPeng to reduce its CO2 bill in Europe

Porsche leaves the CO2 pool of the Volkswagen group to join the Chinese electric vehicle manufacturer XPeng in 2026 and 2027, a partnership that is as strategic as it is symbolic.

This is an unexpected alliance as Porsche will partner with XPeng in a new European CO2 pool for the years 2026 and 2027, according to information published by Autocar and Electrive, with the latter also reporting a confirmation from Porsche to the German economic newspaper Handelsblatt.

The Stuttgart manufacturer thus exits the CO2 pool of the Volkswagen group, to which it has belonged until now. The aim is regulatory: in Europe, several manufacturers can group their registrations so that their average CO2 emissions are calculated collectively. This mechanism is particularly interesting when a thermal car manufacturer partners with an exclusively electric brand.

XPeng brings its electric cars to Porsche

This is precisely XPeng’s interest in Porsche. The cars of the Chinese manufacturer officially show 0 g/km of CO2 emissions at the exhaust. They will help lower the average of the new pool and assist Porsche in meeting European targets.

The financial stakes can be considerable. European regulations foresee a penalty of 95 euros per gram of CO2 exceeding the target and per newly registered vehicle.

However, the financial terms of the Porsche-XPeng agreement have not been disclosed. It is impossible at this stage to assert how much Porsche will pay its new partner.

The operation comes as Porsche has revised its electric strategy, notably extending certain thermal and hybrid programs in light of a less dynamic demand for electric cars than anticipated.

The rapprochement is even more interesting as Volkswagen is already a shareholder of XPeng and collaborates closely with the Chinese manufacturer on the development of new electronic architectures and vehicles intended for China.

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For Porsche, XPeng thus becomes a valuable ally: not only for technology in China but now also to comply with European CO2 standards.