(Yicai Global) Feb. 10 -- Shares of IAT Automobile Technology jumped after the Chinese car design company said it will help a domestic marque to introduce a new energy vehicle model in Japan and other markets.

IAT [SHE: 300825] closed 4.1 percent up at CNY13.25 (USD2), leading to a nearly 18 percent uptick this year.

The company's Japanese unit has penned a letter of intent with a leading domestic vehicle manufacturer to cooperate on the development, production, and sales of a NEV model abroad, Beijing-based IAT said in a statement today.

IAT Japan will modify the model, including converting it to a right-hand drive for Japan. It will be responsible for product development and overseas assembly work. Meanwhile, the branding partner will be in charge of the production and supply of parts and later authorize IAT Japan to export the vehicle.

The design firm did not disclose specific performance prospects but said that if the pair signs a formal cooperation agreement, IAT's operating results will benefit from it this year and in the future.

Chinese NEV brands are seizing momentum abroad. Exports of Chinese NEVs more than doubled to 679,000 units last year from 2021, according to data released by the Ministry of Industry and Information Technology. In 2022, three of the world's top 10 NEV makers were Chinese, and the same was true for six out of the 10 largest battery manufacturers.

Editor: Emmi Laine, Xiao Yi