Chinese smartphone maker Xiaomi has filed a lawsuit against the U.S. Department of Defense and the Treasury for being blacklisted by Americans earlier this month. Siomi calls the block list “unconstitutional” and wants a judge to overturn the decision. The lawsuit alleges that US Secretary of Defense Lloyd Austin and Treasury Secretary Janet Yellen were identified as defendants.
According to Colombian court documents, “this decision could lead to immediate, serious and irreparable harm if the tenure is in effect and the restrictions are in place.” Xiaomi reiterated that the company is not owned, controlled, or affiliated with the Chinese government or the military or other agencies associated with the Chinese defense sector.
Xiaomi, the world’s third-largest smartphone maker, has ties to the Chinese military, according to the United States. The blockchain forced US investors to drop their interests in the company.
Under President Donald Trump, the United States launched a tough tax on Asian companies for national security reasons. Smartphone maker Huawei and chip maker SMIC were also added to the blacklist. As a result, US companies can no longer provide them with technology if they have the license to do so. CNOC, a major Chinese oil company, was also added to the list. This was due to the conflict in the South China Sea, with many countries besides China demanding certain parts of the sea. The CNOC is drilling into that area, which Americans call “irresponsible and militant behavior.”
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