Dedication to EV technology innovation brings remarkable growth potential
XPeng Inc. (“XPENG” or the “Company,” NYSE: XPEV and HKEX: 9868), a leading Chinese smart electric vehicle (“Smart EV”) company, announced today that it received an MSCI ESG rating of AA for the year 2022. Obtained on September 27, 2022, it is the Company’s third consecutive annual AA rating by MSCI ESG Research, ranking top among carmakers worldwide for ESG performance.
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In addition, on September 23, XPENG received an industry-leading ESG score of 49 from the Dow Jones Sustainability Index (DJSI), representing a 48% increase from 2021 and a leading score among Chinese automakers.
“These latest ESG ratings from the world's leading indexes represent a powerful commendation of the Company’s commitment to sustainability and best ESG practices,” said He Xiaopeng, Chairman and CEO of XPENG.
“As a leading Smart EV brand dedicated to full-stack, in-house technology advancement, we strive to fulfill our responsibilities as a global corporate citizen with a comprehensive ESG framework and practices that address the evolving needs of our industry, customers, environment and our society. We aspire to be a leading force in the worldwide effort to promote carbon neutrality and shape the future of sustainable mobility,” He said.
The MSCI AA ESG rating recognizes the Company’s achievement in reducing carbon footprint and its growth potential driven by its clean technology innovation. MSCI ESG Research provides ratings for companies on a scale of AAA (leader) to CCC (laggard), according to their exposure to industry-specific ESG risks and the ability to manage those risks relative to peers.
XPENG outperformed the industry in the latest DJSI ESG rating in multiple categories including business ethics, data security, product quality, environmental factors and carbon emissions. The DJSI, a globally renowned ESG ratings index, holistically assessed companies according to the most relevant criteria in each sustainability dimension based on their weight in the assessment and their current or expected significance for the industry.
In May 2022, the Company disclosed in its 2021 ESG report that its Smart EVs delivered in 2021 will reduce CO2 emissions by approximately one million metric tons over their entire lifecycle, compared to internal combustion engine vehicles. XPENG integrates environmentally-friendly engineering in its vehicles from the design stage, reducing energy consumption by improving wind resistance control, boosting efficiency of the electric drive system and controlling low-voltage power consumption. In addition, XPENG actively adopts various measures to reduce energy consumption in production. Since the photovoltaic power generation projects at XPENG’s Zhaoqing plant came into operation in late 2021, the plant has reduced CO2 emissions by 1,531 metric tons. In 2021, XPENG formed a carbon neutrality working group, launching a series of projects to reduce the Company’s carbon emissions and pursue company-wide carbon neutrality goals.
About XPeng Inc.
XPeng Inc. (“XPENG”) is a leading Chinese Smart EV company that designs, develops, manufactures, and markets Smart EVs that appeal to the large and growing base of technology-savvy middle-class consumers. Its mission is to drive Smart EV transformation with technology and data, shaping the mobility experience of the future. In order to optimize its customers’ mobility experience, XPENG develops in-house its full-stack advanced driver-assistance system technology and in-car intelligent operating system, as well as core vehicle systems including powertrain and the electrical/electronic architecture. XPENG is headquartered in Guangzhou, China, with main offices in Beijing, Shanghai, Silicon Valley, San Diego and Amsterdam. The Company’s Smart EVs are mainly manufactured at its plant in Zhaoqing, Guangdong province. For more information, please visit https://heyxpeng.com.
Safe Harbor Statement
This announcement contains forward-looking statements. These statements are made under the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as “will,” “expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates” and similar statements. Statements that are not historical facts, including statements about XPENG’s beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: XPENG’s goals and strategies; XPENG’s expansion plans; XPENG’s future business development, financial condition and results of operations; the trends in, and size of, China’s EV market; XPENG’s expectations regarding demand for, and market acceptance of, its products and services; XPENG’s expectations regarding its relationships with customers, contract manufacturers, suppliers, third-party service providers, strategic partners and other stakeholders; general economic and business conditions; and assumptions underlying or related to any of the foregoing. Further information regarding these and other risks is included in XPENG’s filings with the SEC. All information provided in this press release is as of the date of this press release, and XPENG does not undertake any obligation to update any forward-looking statement, except as required under applicable law.