BEIJING, April 25 (Reuters) - Toyota Motor on Thursday said it will partner Chinese gaming and social media leader Tencent in China, as the Japanese automaker aims to meet younger consumers' taste for technology-enhanced cars.

The world's largest carmaker by volume made the announcement at the Beijing auto show that opened to the media on Thursday, and where Japanese automakers have unveiled raft of cars aimed at winning over younger Chinese.

The partnership highlights how competitive China has become for overseas automakers, even for globe-spanning giants such as Toyota.

Tencent's technology will be included in a China-made passenger vehicle that will go on sale this year, said Toyota's Yiming Xu, a director for brand and communications for China.

The companies will offer services through Tencent's strengths in big data, artificial intelligence and cloud computing, Xu said.

Foreign automakers are working to stay competitive in China amid mounting pressure from a shift to EVs, the rise of domestic brands such as BYD and a price war.

Toyota has seen sales shrink as local brands gained ground, although it has avoided the sharp blow Japanese peers such as Honda Motor and Nissan Motor have taken.

It saw its sales in China fall 1.7% to 1.9 million vehicles in 2023, the second successive year of decline.

Toyota also showed off two new battery electric vehicle models for the Chinese market at the Beijing show. (Reporting by Daniel Leussink; Editing by David Dolan and Christopher Cushing)