China's Xpeng Says No Impact From US Curbs On Its Turing AI Chip Output

Impact From US: Chinese electric vehicle maker Xpeng said mass production of its Turing self-designed artificial intelligence chip was progressing well, dismissing concerns it could be hit by new US curbs on vanced semiconductors for Chinese firms.

US Department of Commerce ordered Taiwan Semiconductor Manufacturing Company to halt shipments of vanced chips to Chinese customers earlier in November for AI applications, Reuters reported.

Asked by an analyst on a post-earnings call on Tuesday wher Xpeng’s autonomous driving chips could be affected by this, Vice President Charles Zhang said y h not seen any impact.

" mass production of our Turing SOC is still progressing well and we haven't seen any impact on our development of Turing SOC,” Zhang said, referring to system-on-chip.

Xpeng unveiled Turing AI chip on Nov. 6 and proclaimed a high-power performance that can support its vanced assisted driving system with large AI models similar to Tesla Inc's Full-Self Driving.

Xpeng's peers such as Nio, BYD and Xiaomi have also been developing ir self-designed chips for autonomous driving cars as y race to take on Tesla ahe of roll-out of FSD in China, which is expected in first quarter of 2025.

Xpeng expects fourth quarter revenue between 15.3 billion yuan and 16.2 billion yuan ($2.11 billion-$2.24 billion), compared with analysts' average estimate of 14.77 billion yuan, according to data compiled by LSEG.

It is seeing a stey demand for its MONA M03 mid-sized sedan, having delivered more than 10,000 units for second straight month in October. Xpeng expects to deliver between 87,000 and 91,000 vehicles in fourth quarter, up 44.6 per cent  to 51.3 per cent from a year ago.

Chinese automaker also said it would launch four new models in 2025, including an extended range hybrid, first of such cars for Xpeng.

company sold 15 per cent  of its total EVs outside China in third quarter and expected pace to continue next year.

Revenue for third quarter ended Sept. 30 was 10.10 billion yuan, beating estimates of 9.77 billion yuan.

Xpeng's shares in Hong Kong fell 1.44 per cent on Wednesday, and have lost 9.7 per cent so far this year.