Xiaomi Sues US Government Over Blacklisting of the Company

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Chinese smartphone manufacturer Xiaomi has sued the United States Government after the brand has been blacklisted by the American government The smartphone maker claims the act as unlawful and unconstitutional. Us military along with trump’s administration had blacklisted Chinese consumer’s electronic makers Huawei DJI and a dozen or more companies including the smartphone giant Xiaomi. Previously Chinese smartphone manufacturer Huawei had also filed a lawsuit against the United States government in march 2019. 

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Xiaomi has been listed as one of several Communist Chinese military companies under the National Defense Authorization Act of 1999 along with dozens of other Chinese consumer electronics companies operating in the US. American citizens can no longer buy the shares or related securities of the companies categorized as Communist Chinese military companies. Meaning that American investors are forbidden from investing in Xiaomi.  

Xiaomi filed a lawsuit on Friday against the United States treasury and defense departments in the district court of Columbia. The company alleged that the blacklisting deprives Xiaomi of its liberty and property rights without the process of law. Further clarifying the allegation Xiaomi states that  the unconstitutional move  violates the Fifth Amendment of the U.S Constitution

The company clarified that it is neither owned nor controlled by the Chinese government. It doesn’t have any affiliation with the communist government and the Chinese government’s industrial defense base. Upon further clarifying the case Xiaomi stated 

By cutting off Xiaomi from United States capital markets, the Designation and related restrictions will damage the company’s ability to conduct, grow and finance its business, sell its products, maintain and grow its business relationships, and recruit and retain employees,” 

Xiaomi also highlighted that it hasn’t received an official notice or a formal and the government lacks optimal evidence of the corporation’s ties with Beijing. After the departure of president trump and the inauguration of Joe Biden as the new head of state  public hope, there might be abatement in the recent tensions between us and china 

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