Xpeng has reportedly consolidated its product lines from four to two as it seeks to reduce research and development spending while expanding its vehicle line-up.

The Chinese EV maker recently merged its I and F product lines into the G line, leaving only the G and D lines, according to a report by a local daily on September 28th, which cited several industry sources.

Previously, the G line primarily handled large SUVs, including the GX and G9L, while the F line covered products including P-series sedans. The I line was responsible for overseas products, while the D line oversaw the Mona series.

Following the restructuring, the Mona series remains under the D line, while all other products fall under the G line, according to a local daily.

The change concerns internal product management and R&D responsibilities rather than a reduction in the company's vehicle line-up to two models. The restructuring also involves changes in management responsibilities. The former head of the F line now oversees product definition for the G line, with no change in rank, the report said, citing an industry source close to Xpeng.

The former head of the I line has shifted to overseeing Xpeng's overseas affairs, excluding vehicle sales in overseas markets, according to the report. The consolidation of the product lines could allow Xpeng to focus its R&D resources, lower costs and reduce internal competition between models with overlapping positioning and pricing, the report noted.

The restructuring comes as Xpeng rolls out new models at a rapid pace while delivery growth remains under pressure. The company's deliveries in the first eight months of the year were down 10.5% from a year earlier, according to data compiled by media sources.

Xpeng delivered 39,107 vehicles in August, up 3.7% year-on-year and 2.8% from July. Although monthly deliveries have increased year-on-year for three consecutive months, the gains have yet to make up for the shortfall earlier in the year.