In 2026, Chinese automakers have launched an overseas factory acquisition wave. Xpeng acquired an Indonesian West Java plant, Geely purchased Ford's Valencia facility in Spain, and BYD is negotiating to take over Stellantis's idle European capacity. This marks a strategic shift from pure export to localized production, representing a new chapter in China's automotive globalization.
Overseas Factory Acquisition Wave: China Auto Globalization 2.0
In 2026, the globalization of China's automotive industry has entered a new phase. Unlike the previous product-export model, this year's keyword is "bargain hunting"—acquiring existing overseas plants, taking over idle capacity, and localized manufacturing. From Xpeng to Geely, from BYD to Dongfeng, a quiet yet profound restructuring of the global manufacturing landscape is underway.
Four Major Acquisition Cases
This year has seen a flurry of Chinese automaker overseas factory acquisition news:
- Xpeng Motors: Acquired an EV production and assembly plant in Prakarta, West Java, Indonesia. The plant produced its first vehicle in July 2025 and had cumulatively rolled out over 50,000 units by May 2026. This marks Xpeng's first overseas factory.
- Geely Automobile: Reached an agreement with Ford to acquire the latter's "Body 3" body assembly line at the Almussafes plant in Valencia, Spain.
- BYD: Executive Vice President Li Ke confirmed negotiations with Stellantis and other European manufacturers to take over underutilized European plants.
- Dongfeng Motor: Signed an MOU with Stellantis to establish a European joint venture, planning to produce Voyah EVs at Stellantis's Rennes plant in France.
| Automaker | Acquisition/Partner Target | Location | Strategic Significance |
|---|---|---|---|
| Xpeng | Prakarta Plant | West Java, Indonesia | First overseas plant, ASEAN bridgehead |
| Geely | Ford Valencia Plant | Spain | European capacity layout |
| BYD | Stellantis idle plants | Europe (negotiating) | Tariff avoidance, localized production |
| Dongfeng/Stellantis | Rennes Plant | France | Reverse technology export |
Why Is Now the "Bargain Hunting" Window?
Three major drivers accelerate Chinese automakers' overseas factory acquisitions:
- Avoiding Trade Barriers: EU anti-subsidy tariffs on Chinese EVs make localized production an effective countermeasure
- Converting Cost Advantages: Chinese automakers are cash-rich while Western OEMs have idle capacity, making acquisitions far cheaper than greenfield investments
- Supply Chain Restructuring: Shifting from "Made in China, Sold Globally" to "Globally Made, Globally Sold"
Implications for Central Asian and Russian Markets
For potential buyers in Central Asia and Russia, Chinese automakers' overseas factory layout means more stable supply chains and faster delivery cycles. Vehicles sourced through platforms like EX1000.COM may in the future come from assembly plants in neighboring countries, further reducing logistics costs and delivery times.
Chinese automakers' Globalization 2.0 strategy is transforming "Made in China" into "Globally Made."
