Chinese electric vehicle maker Xpeng is expecting a significant increase in third-quarter revenue, anticipating a doubling of sales despite economic challenges. The company’s U.S.-listed shares rose 4% as Xpeng continues to see strong demand for its electric cars. Xpeng is also focusing on AI integration and technology partnerships to drive growth.

Xpeng’s in-house Turing chip is a key component of its intelligent driving ambitions, offering targeted optimization for its self-driving software. China’s auto market, the largest in the world, is fiercely competitive, leading to a price war and a push for technological advancement. Xpeng forecasts a substantial revenue increase and delivery jump for the third quarter.

The company reported second-quarter revenue slightly below estimates at 18.27 billion yuan. Xpeng expects third-quarter revenue to range between 19.6 billion yuan and 21 billion yuan, with deliveries projected to increase significantly. Analysts anticipate revenue of 20.81 billion yuan for the quarter. China’s ability to produce vehicles at lower costs than Western automakers has made it a key player in the global market.

Read more at Yahoo Finance: China’s Xpeng expects quarterly revenue to double on strong demand for its EVs