Is XPeng in trouble? Future of Australian distributor in doubt amid legal pursuit against Xpeng HQ

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The Australian distributor of XPeng has reportedly plunged into administration just months after it commenced legal action against the Chinese brand in the federal court.

An external administrator has been appointed to the NSW-based company TrueEV on March 19, according to recent filings to the Australian Securities and Investments Commission.

Chasing Cars has reached out to TrueEV and XPeng’s global division for clarification on the situation but has not heard back at the time of publication. Typically, such action is taken when loan payments or other terms are not met.

A total of 197 vehicles have been taken control of by insolvency firm Cor Cordis but the company’s next steps remain unclear.

TrueEV pursues action against XPeng

It comes after TrueEV, the sole importer of XPeng vehicles, launched legal action in the Australian federal court on March 3rd, 2026 against Shenzhen Xiaopeng Motors Supply Chain Management Co Ltd, Guangzhou Xiaopeng Motors Trading Co Limited and the newly registered Xpeng Motors Australia Pty Limited.

The latter was officially registered less than two months ago, and could be an attempt by XPeng’s parent company to establish a direct presence in Australia without the involvement of a third-party distributor, but this is currently unconfirmed. 

BYD famously switched to direct control over the importation of its passenger vehicles to Australia last year, after coming to an agreement with EVDirect and absorbing the majority of its staff.

Local third-party distributors are often seen as a way to lower the financial risks of importing to a new country where the business case may not be straightforward, but as successful brands grow in sales, manufacturers often look to take control. 

TrueEV commences deliveries of XPeng vehicles in 2024, and currently offers the G6 midsize SUV with the G9 large SUV and the X9 people mover set to launch this year. 

For owners and prospective buyers, the situation leaves them in doubt, with factors such as warranty and servicing along with the new flow of new stock and parts to Australia all  uncertain.