PARIS, April 26 (Reuters) - Renault held talks

this week with China's Li Auto ( LI ) and Xiaomi ( XIACF ) on

electric and intelligent vehicle technologies, the French

carmaker said on Friday, opening the door to potential

collaboration on technology with the two companies.

KEY QUOTE

"Our CEO Luca de Meo engaged in pivotal conversations with

industry leaders, including our partners Geely and Dongfeng, key

suppliers but also the new players like the founders of Li Auto ( LI )

and Xiaomi Technology," Renault's procurement and partnerships

chief Francois Provost said in a post on LinkedIn.

WHY IT'S IMPORTANT

The talks at the Beijing Autoshow come amid an increasingly

tense relationship between Europe and China, with the European

Commission launching a series of probes into Chinese exports.

Among them, it is investigating whether the rise in sales of

Chinese EVs on the continent is due to unfair subsidies. China

disputes the claim and has accused Europe of protectionism.

CONTEXT

De Meo has said Europe faces a difficult balancing act to

both protect its market and learn from Chinese car

manufacturers, which are far ahead in development of EVs and

their software.

Renault already partners with China's Geely in thermal and

hybrid powertrains, and collaborates with tech companies Google

and Qualcomm ( QCOM ) in smart cockpits.