Chinese EV maker Xpeng used its Munich unveiling of the new L03 to claim it is closing in on Tesla's Model Y. According to techradar.com, co-founder He Xiaopeng said the brand is "not far from beating Model Y," echoing a long-running rivalry with the US EV leader.
The L03 is said to start at €35,600 (around $40,600). It marks the company's first vehicle reveal staged simultaneously in Europe and China.
- The L03 starts at approximately €35,600.
- It features a 15.6-inch central infotainment display.
- VLA 2.0 (Vision Language-Action) software powers its autonomous driving.
- It will be the first Chinese vehicle with Google Maps built in.
- He Xiaopeng said Xpeng is "not far from beating Model Y."
Where Xpeng stands
Xpeng positions itself as more technology-driven than many Chinese competitors, building wider portfolio toward humanoid robots, AI, and eVTOL lightweight electric aircraft. The L03 leans into that identity by highlighting VLA 2.0 and its next-generation driver suite, branded by Xpeng as the most advanced intelligent driving capabilities the company has put into a production model.
The launch event itself is a strategic statement, held in Munich rather than a typical Chinese venue, signaling serious intent for the European market.
Our analysis
Xpeng is clearly narrowing the distance. A hands-on review of the G6 in Europe noted tangible gains in cabin quality, charging speed, and processing power. The L03 promises further steps, including VLA 2.0 and a Google Maps integration unusual for Chinese EVs.
Closing the spec gap and closing the experience gap are different fights. Tesla still sets the tone on day-to-day usability. As techradar.com notes, the Tesla Supercharger ecosystem is among the most affordable and reliable in most regions, with contactless billing and trip planning that few rivals match.
The market gap is also wide. UK registration data cited in the report shows around 900 G6 sales in its first ten months, against 24,298 Model Y registrations over the same window. In China the Model Y is the second best-selling EV, and the first vehicle in numerous European markets. Xpeng may be edging closer, but the volume lead still belongs to Tesla.
A worked example: choosing between the L03 and the Model Y
Say you're a small business owner weighing a premium electric SUV, and the Xpeng sits on your shortlist next to a Model Y. The Xpeng appeals on headline technology, a more aggressive European price point, and novelty features like Google Maps. The Tesla appeals through ecosystem maturity, charging reliability, and software that is already battle-tested.
If your driving is mostly urban with a home wallbox, the L03's spec sheet and pricing start to pull weight. If you depend on public charging for longer trips, Tesla's Supercharger footprint and contactless billing remain the safer bet today. TechRadar's reviewer still prefers the recently updated Model 3 and Model Y on driving feel and in-car software, which is the kind of subjective judgment that often decides showroom-flip comparisons.
What to watch next
Watch three things: whether VLA 2.0 can match Tesla's smoothness on real roads, whether Tesla responds with its own software updates, and how the L03 sells in Europe through 2026. Bottom line: Xpeng is the closest it has ever been, but ownership experience, not spec sheets, is still where Tesla leads.
Key takeaways
- Xpeng unveiled the L03 with VLA 2.0 driving software and Google Maps integration.
- He Xiaopeng said Xpeng is "not far from beating Model Y."
- The L03 starts at roughly €35,600 in Europe.
- Tesla still leads on charging convenience and software polish.
- Sales data shows Tesla's Model Y volume lead remains large in key markets.
Frequently asked questions
What is the Xpeng L03?
It is a new electric SUV from Chinese automaker Xpeng, revealed at the same time in Europe and China, with a starting price of about €35,600.
What is VLA 2.0?
VLA 2.0 stands for Vision Language-Action, Xpeng's autonomous driving software that powers the L03's next-generation pilot features.
How does the L03 price against the Tesla Model Y in Europe?
The L03 is reported to start at roughly €35,600, which undercuts typical Model Y pricing in the region.
Has the L03 outsold the Model Y?
Not yet. UK figures cited in the report show about 900 G6 registrations in its first ten months versus 24,298 Model Y registrations.
What is Xpeng's biggest challenge against Tesla?
Tesla still leads on charging network simplicity and overall software polish, areas where Xpeng is catching up but has not yet overtaken.