Elon Musk-led Tesla Inc. (NASDAQ:TSLA) is reportedly auditing its suppliers in China as the EV giant looks to ramp up production of the Optimus Humanoid Robot.

Tesla Prepping Optimus Ramp?

On Monday, Chinese media outlet The Paper published a report, citing anonymous sources familiar with the matter, that Tesla was auditing its suppliers like Tuopu Group, Sanhua Intelligent Control and Joyson Electronics, which supply actuators, joint modules and more, the report said.

The anonymous source cited in the report said that the companies had already received orders for Optimus before the audits began. The audits are aimed at compliance and quality checks before production begins, the report said.

Tesla did not immediately respond to Benzinga‘s request for comment.

Tesla’s Optimus Goals

Musk, on multiple occasions, has charted out Tesla’s goal of producing 1 million units of the Optimus robot annually at scale. Tesla also sunset the production of the premium Model S and Model X units in Fremont, California, to build the Optimus production line there instead.

Tesla’s VP of Vehicle Engineering, Lars Moravy, confirmed that the Fremont facility would have at least 40 different production lines to produce the Optimus Robot, given the Robot’s complex design and architecture.

Musk has also said Optimus could eventually become the world’s first Von Neumann machine — a theoretical self-replicating machine capable of using available resources to reproduce itself.

According to Benzinga Edge Rankings, Tesla scores moderately on the Growth and Quality metrics, but offers poor Value and Momentum. TSLA also fails to provide a favorable price trend in the Medium and Long term.

Price Action: TSLA shares rose 1.39% to $369.34 during pre-market trading on Monday.

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