- Xpeng launches nationwide test drives of its advanced VLA 2.0 autonomous driving platform across 732 stores in China.
- The system integrates multimodal AI and in-house chips to significantly improve driving efficiency and safety.
The Xpeng VLA 2.0 autonomous driving system will begin nationwide test drives across China starting March 11, marking a significant step in the company's push to strengthen technology leadership and regain sales momentum. The trials will take place in 732 retail locations and will feature the latest Ultra variants of the P7, G7, and X9 models.
The company describes the system as capable of delivering a driving experience comparable to skilled human drivers while operating across complex real-world scenarios. Demonstrations are also expected to highlight direct comparisons with competing intelligent driving platforms.
Nationwide rollout and vehicle integration
The large-scale testing initiative introduces the new technology to potential customers through real-world demonstrations. Vehicles included in the rollout feature updated Ultra trims equipped with the advanced driver assistance platform.
According to industry analysts, the upgrade represents a major technological improvement in terms of smoothness, scenario coverage, and operational efficiency.
Sales recovery expectations
Market observers believe the improved driving platform could help restore the company’s sales trajectory. Despite a 42 percent year-on-year drop in deliveries during the first two months of 2026, analysts anticipate sequential recovery throughout the year.
Forecasts suggest annual deliveries could reach around 530,000 vehicles, representing significant year-on-year growth if the new technology gains strong market acceptance.
Physical AI and in-house computing architecture
The automaker frames its broader strategy around “Physical AI,” focusing on a proprietary multimodal foundation model developed internally. The approach combines vision, language, and action-based learning to improve decision-making in autonomous driving environments.
To support this architecture, the company designed an integrated hardware and software stack centered on its proprietary Touring chip. The co-design approach reportedly enables the chip to achieve utilization levels above 80 percent while improving overall driving efficiency by roughly 23 percent and up to 76 percent on narrow roads.
Global collaboration is also expanding, with Volkswagen expected to become the first external automaker to adopt the Xpeng VLA 2.0 autonomous driving system in future applications.
The technology will initially launch on Ultra versions of the new P7, G7, and X9 later in March, followed by over-the-air updates for other models in April, while international markets are targeted for deployment beginning in 2027.
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