BEIJING, May 8 -- China encourages domestic manufacturers of electric mopeds and scooters to install the BeiDou high-precision satellite positioning system in their products, the Ministry of Industry and Information Technology said on Wednesday.

Electric bicycle manufacturers have been called on to increase investment in research and development, and to produce lightweight, intelligent and networked products to meet consumer demand more effectively, according to documents issued by the ministry and two other authorities.

China is a major producer and user of electric mopeds and scooters, with ownership of such vehicles reaching 350 million in the country.

However, the industry faces challenges such as low industrial concentration and weak innovative capabilities, the ministry said.

China is urging the sector to upgrade its quality and improve the safety of its production, sales, product use and charging facilities, as well as the recycling of the products, the ministry added.