In mid-January, a few days before his resignation, the administration of Donald Trump put Xiaomi on the «black list». The Chinese company did not wait long and came up with an answer by suing the state government.

What does it mean

We will remind that the sanctions include a ban on American investments in a Chinese company. In addition, all existing investors will have until November 11, 2021 to withdraw their assets. And although this is not a repeat of the story with Huawei, Xiaomi is still outraged by such a decision.

An official statement said the company «provides products and services for civilian and commercial use, is not owned, controlled or affiliated with the Chinese military and is not a ‘communist Chinese military company.’

Xiaomi also emphasizes that «it will face unavoidable, serious and irreparable damage if the order remains in force and the restrictions come into force.»

By the way, specific people are named in the lawsuit — US Defense Minister Lloyd Austin and Treasury Secretary Janet Yellen. Although they took office after the inauguration of the current president, Joe Biden, that is, after the introduction of sanctions.

Source: Bloomberg