(Yicai Global) July 7 -- Shares of JT Automation Equipment rallied after the industrial machinery maker said it will join hands with Huawei Technologies to develop semiconductor assembly and testing equipment.

JT Automation’s stock price [SHE:300400] rose by the daily upper limit of 20 percent to CNY23.23 (USD4) by noon.

The company penned a memorandum of cooperation with HiSilicon, an integrated circuit design firm owned by telecoms giant Huawei, the Shenzhen-based automation firm said in a statement yesterday, without disclosing any financial details.

The partnership will enable JT Automation to leverage its strengths in thermal equipment production to promote the use of domestic devices in chip manufacturing, it said.

JT Automation mainly makes intelligent welding robots, aviation tools, and computer vision equipment, and is cooperating with Huawei on thermal engineering and electro-optic displays, executives at the company said on the Shenzhen Stock Exchange's investor relations platform early this month.

Editor: Emmi Laine, Xiao Yi