(Yicai) Jan. 5 -- Tuopu Group, a Chinese auto parts supplier, said it plans to expand from making smart electric vehicle components to robot parts by investing CNY5 billion (USD703 million) in building a new research, development, and production base for robot electric drive systems.

The plant will gradually expand to include other robot parts in the future, the Ningbo-based company announced late yesterday, without disclosing any other project details.

Tuopu launched its robotics business in July and supplies Tesla's Shanghai Gigafactory. The business integrates advanced technologies, including artificial intelligence, high-end manufacturing, and new materials, and has great potential, it said. 

Tuopu will give full play to its technologies and precision manufacturing capabilities in smart EV motors and related accessories and promote the commercial production of related robot parts, it said.

The company plans to boost mass production and increase the output of robot-related products starting this quarter, with the initial goal of having an annual capacity of 100,000 units before raising it to 1 million in the coming years, it has said.

Shares of Tuopu [SHA: 601689] fell 2.1 percent to CNY66.68 (US9.33) apiece in Shanghai today, after jumping by as much as 1.7 percent at the open. The Shanghai Composite Index, a gauge of the overall market, fell 0.9 percent.

Editor: Martin Kadiev