MOSCOW – The US Defence Department has agreed to remove Chinese smartphone giant Xiaomi from a blacklist that prohibits US investment in the company, Sputnik news said, citing a report by The Wall Street Journal.
Under the presidency of Donald Trump in January, Xiaomi was classified by the Pentagon as one of several “Communist Chinese military companies” (CCMC).
That same month Xiaomi filed a complaint to a US court against the US Defence Department, seeking to be taken off the blacklist. In March, a US court granted Xiaomi a preliminary injunction against the January order.
It added that yesterday, the Defence Department agreed that removing Xiaomi’s designation as a CCMC was appropriate, The Wall Street Journal said citing a federal court filing.
The specific terms of the final order vacating Xiaomi’s designation, which would have restricted American investors from acquiring company shares or related securities, will now be negotiated and a joint proposed order is expected on or before May 20.
Xiaomi shares went up around 6% yesterday afternoon after the Defence Department agreed to take it off the CCMC blacklist. – Bernama, May 12, 2021
