Investing.com– Features of Ubtech Robotics Corp Ltd (HK: ) rose sharply on Wednesday after the company and electronics giant yes yes Precision Industry (TW :)), also known as Foxconn (SS :)), said they will work together to develop humanoid robots.

Ubtech surged 10.5% to HK$52.60 in Hong Kong trade, outperforming the benchmark index’s 0.1% rise.

The company and Foxconn said they will form a long-term partnership with the goal of developing humanoid robots for the manufacturing sector, Chinese media reported.

Ubtech specializes in humanoid robots, and listed publicly in 2023 with investments from Tencent Holdings Ltd (HK:) and ICBC. The Foxconn partnership will likely leverage the company’s robotics expertise with the Taiwanese electronics giant’s manufacturing capabilities.

Foxconn shares fell 1.7% in Taiwanese trade on Wednesday. The company is the world’s largest electronic contract manufacturer, and a key supplier for technology giants such as Apple Inc (NASDAQ: ) and NVIDIA Corporation (NASDAQ: ).

News of the partnership comes as Foxconn tries to diversify into a slew of electronics sectors. The company launched a foray into the heavily crowded electric vehicle market last year.

Humanoid robots have also come into increased focus in the past year, especially after EV maker Tesla Inc (NASDAQ: ) unveiled its Optimus prototype. Of particular attention is the integration of artificial intelligence and robotics.