(Yicai) June 20 -- Minglida Precision Technology, a Chinese manufacturer of precision structural parts and die-casting products, plans to invest up to USD31.2 million to build a factory in Hungary to make structural parts for new energy vehicles to meet local clients' demand.

Minglida has set up a project company in Budapest, the Shenzhen-based firm announced late yesterday, without disclosing further details, including the factory’s capacity and construction schedule.

Minglida provides one-stop precision structural parts made of metals or plastics, with its clients mainly from the photovoltaic and NEV sectors. It has been exploring overseas markets in recent years, announcing plans to build its second plant in Mexico for USD100 million last December to meet demand from North American PV and solar energy storage and NEV customers.

Electric carmaker Tesla is also one of Minglida’s clients, with the pair recently joining hands in the solar sector, a senior manager of the Chinese firm previously said.

Minglida’s operating revenue from its PV clients accounted for 58 percent of its total last year, while that from auto customers made up 29 percent, according to its annual financial report. Its overseas sales revenue accounted for 43 percent of its total.

Shares of Minglida Precision [SHE: 301268] ended down 1.6 percent at CNY16.53 (USD2.28) apiece in Shenzhen today, after earlier dropping by as much as 2.1 percent.

Editor: Martin Kadiev