(Yicai) Aug. 1 -- Leapmotor Technology is in talks with two overseas firms about licensing its technologies, according to the founder of the waning Chinese electric vehicle startup.

"Leapmotor has basically confirmed the signing of memorandums of understanding with two foreign companies to authorize the use of vehicle-relevant technology and technical structure of the entire lower car body [including electrical architecture, battery, and an electric drive system]," the 21stCentury Business Herald reported yesterday, citing Chairman Zhu Jiangming who did not disclose the names of the two companies.

One of the two partners could be coming from India as a media outlet reported earlier that Leapmotor was in talks with an Indian auto company for technological collaboration and the pair had already made substantial progress. The firm could be Mumbai-based conglomerate Tata Group.

The chief of the Hangzhou-based firm said that China has become a global leader in new energy vehicles and this is why Chinese carmakers are able to go global similar to the fashion of Toyota Motor, Volkswagen, and Ford Motor entering China in the past. More foreign capital will flow into the NEV field in the future and overseas brands will obtain technical licensing in China while Chinese auto firms will get better opportunities abroad, he added.

There is a great number of foreign automakers that intend to partner with Chinese companies, Zhu said, adding that Chinese firms do not need to worry about technology leaks because electric products evolve very quickly and do not need to be protected in the same way as more traditional machinery.

The startup, which has sold fewer cars this year, is eyeing overseas markets. Leapmotor yesterday unveiled a new technology called the Four-Leaf Clover, a central electronic and electrical architecture that combines a smart cockpit, body domain, and driving functions. The first vehicle model that will include the structure will be debuted during the International Motor Show Germany in September and then sold globally.

Founded in 2015, Leapmotor is not profitable yet. In the first quarter, the company logged a net loss of CNY1.1 billion (USD153.5 million), up by 10 percent from a year ago, according to its earnings report. Revenue dropped by 28 percent to CNY1.4 billion. In the first half, the firm delivered 44,500 units, down 14 percent from a year earlier.

Editor: Emmi Laine