Xpeng suspends supply chain boss for corruption probe

Xpeng, the renowned Chinese automaker, has taken a firm stance against corruption by suspending its Vice President, Li Feng, who was in charge of supply chains. The company’s commitment to ethical conduct and integrity remains unwavering, as it promptly identifies and rectifies any instances of corruption that may arise.

In a statement to CNBC, a spokesperson for Xpeng emphasized the company’s dedication to combating corrupt activities. They clarified that the recent internal anti-corruption measures implemented by Xpeng are part of an ongoing commitment to promoting ethical behavior. It is important to note that this incident has had limited impact and will not disrupt the company’s business or production processes.

Li Feng, who oversaw procurement at Xpeng, is now under investigation for corruption. The company’s swift action in suspending him demonstrates its commitment to maintaining a transparent and accountable work environment. By taking such measures, Xpeng ensures that its operations continue to uphold the highest standards of integrity.

Despite this setback, Xpeng’s stock has shown resilience, with shares rising approximately 2% in pre-market trade on Wednesday. However, on Tuesday, the company experienced a temporary decline of over 10% due to investor concerns surrounding the conflict between Israel and the Palestinian militant group Hamas.

Xpeng had recently delivered 750 vehicles to Israel as part of its international growth strategy. Unfortunately, the developing conflict has impacted investor sentiment. Nevertheless, Xpeng remains optimistic about its global expansion plans and continues to focus on delivering high-quality electric vehicles to customers worldwide.

This year has presented challenges for Xpeng, including rising competition and a price war in China, fueled by the presence of Tesla. These factors have affected the company’s profitability. However, Xpeng has seen a recent increase in car deliveries, with September witnessing a remarkable 81% rise compared to the same month last year, totaling 15,310 electric vehicles.

Xpeng’s commitment to innovation, quality, and customer satisfaction remains at the forefront of its operations. The company’s dedication to combating corruption, coupled with its continuous efforts to expand globally, positions Xpeng as a leading player in the electric vehicle market. With its positive trajectory and growing customer base, Xpeng is poised to overcome challenges and thrive in the ever-evolving automotive industry.