XPeng’s New L03 SUV Takes Aim at Tesla and BMW With Big Tech and a $40K-ish Price

As Americans, we’re used to seeing cool cars we can’t get in other markets. Wagons, Japanese domestic market legends, and diesel variants are the usual crowd, but lately it’s been Chinese EVs. The newest forbidden fruit? The 2026 XPeng Mona L03, which we welcome you to think of as a smaller, compact SUV competitor to the Tesla Model Y.

Founded in just 2014, XPeng has already launched numerous vehicles despite its young age. MotorTrend has gotten behind the wheel of a few, in fact, including the P7, G6, and G6 RWD Long Range. We walked away impressed. Though today’s story doesn’t involve driving the L03, it’s looking like it’ll offer the same level of build quality and standard equipment for a price starting around $40,000 in Europe and elsewhere.

We See Polestar, Porsche, and Ferrari

XPeng’s “Mona” moniker represents mainstream affordable cars, and the coupe-like L03 SUV follows the M03 sedan. It’ll be the first SUV that the automaker will launch in both the Chinese and European markets simultaneously and is on track to go on sale in 65 global markets this year.

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As a thing to behold, the L03 looks extremely sleek and futuristic. With body-flush door handles, Polestar-esque headlights, and a Porsche Macan EV-ish rear, there’s no black plastic cladding around the wheel arches to break up the smooth lines. Actually, it’s very nearly Ferrari Purosangue in silhouette, which makes sense because the SUV was designed under ex-Ferrari exterior design boss JuanMa Lopez. The purple you see in the photos is a production paint option as well.

XPeng says the L03 has a drag coefficient of just 0.228, which is the same as the Model Y. With the right towing hardware, the SUV can reportedly pull up to 3,300 pounds.

Tons of Tech (and Cubbies) Inside

One thing it doesn’t share with Tesla is the stark minimalism of the Model Y’s cabin. Inside the L03, more than 250 ambient-lighting colors set the mood against a 15.6-inch central display, 8.8-inch digital driver information screen, and 26.8-inch head-up display. Front seats get four-way power lumbar support, 14-point full-body massage, and ventilation and heating. The tri-passenger rear bench utilizes a 40/20/40 split and can adjust electrically up to five different levels.

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Then there are also cubbies galore: a whopping 37 storage spaces in all. That includes the 3.6 cubic-foot front trunk (which drops to 2.4 cubic feet on all-wheel-drive models) and 0.35 cubic-foot rear pull-out drawer for the EV version, and the 19-cubic-foot rear trunk. For context, the L03’s rear trunk is less than 1 cubic foot smaller than the Subaru Crosstrek’s, a number due in part to its sloped roof design.

XPeng’s latest user interface and software suite, XOS 6.0, has been designed with a global audience in mind. Notably, the automaker claims it is the first Asia-Pacific OEM to integrate Google Maps natively—very interesting when the service is blocked by the Great Firewall of China. Other onboard tech includes parking aids (adorably identified as “European-tailored” in the press release, we assume because European parking spots are generally smaller than Chinese ones), and a driver monitoring system as standard. There’s also a built-in large-language model for full vehicle controls via voice command.

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The Ultra versions of the L03 will be available with XPeng’s emerging VLA 2.0 system, its semi-autonomous technology that has Tesla’s Full Self-Driving squarely in its crosshairs. We’ve ridden in vehicles equipped with this tech before—you can read about it here—and the company says the system will be able to navigate complex urban environments while complying with local road laws. It’s also designed to acclimate to different driving behaviors.

Ultimately, VLA 2.0 is meant to be a full self-driving, Level 4 system, but for now it has advanced Level 2 capabilities with the ability to upgrade over time. XPeng’s own in-house Turing AI chips power everything, which it says are faster than the Nvidia Orin processor found in other XPeng models.

In addition to added user convenience, the Google Maps partnership will give XPeng access to the service’s in-vehicle Map Data Services to help grow the semi- and fully autonomous tech. Plus, XPeng will be able to build off of Maps’ foundational features like real-time traffic, trip planning, search, and EV energy estimation and design its own XPeng-specific navigation experience on top.

BEV or EREV?

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The L03 will come as either a battery-electric EV or as an EREV. XPeng’s official release was scant on output and powertrain details, but noted the EREV will return more than 621 miles of driving range. The EV will have two battery sizes, a 58.3- or 71.2-kWh pack, the bigger of which will give you that greater range figure. Fast charging will allegedly bring the battery from 10 to 80 percent full in about 20 minutes.

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Three grades will be offered:

Standard Range

• 277 miles (est.)
• 7.5 seconds 0-62 mph
• 241 hp

Long Range

• 323 miles (est.)
• 6.6 seconds 0-62 mph
• 241 hp

AWD Performance

• 273 miles (est.)
• 4.5 seconds 0-62 mph
• 382 hp

There’s also an option to upgrade the Long Range and AWD Performance models to an Ultra package that brings 20-inch wheels, yellow brake calipers, and VLA 2.0.

The automaker has just released preliminary pricing for the L03 in the German market with all-electric models starting at 35,600 euros (roughly $40,000) and the EREV at 39,600 euros (roughly $45,000).

Judging by all the hardware and software you get, and as an EV, this is just another example of a fully loaded Chinese car at a highly attractive price point.

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Although XPeng currently has no plans to enter the U.S. market given the present tariff and other thorny issues that are preventing Chinese automakers from selling vehicles here, the L03’s launch this week in Munich, Germany, indicates it’s focusing its attention on the European market and is no doubt aiming at undercutting new EV models like BMW’s iX3. Indeed, perhaps XPeng was looking to spur a little friendly competition by launching the L03 on the Bavarian automaker’s home turf. We’ll see if the L03 and others like it have what it takes to match the best the rest of the world’s top brands have to offer.