Chinese smartphone maker Xiaomi has reached an agreement with the Biden administration. The US Department of Defense has agreed to remove Xiaomi from the list of blacklisted firms. This will undo a decision by the Trump administration that blacklisted over 40 Chinese companies. This had barred Americans from investing in the Chinese giant. The US government had designated Xiaomi as a Communist Chinese military company. It had also blocked the company from doing business in the country. The decision was taken in January ahead of Joe Biden’s inauguration as the President of the United States. Xiaomi had in January filed a lawsuit against the ban.
The decision to delist Xiaomi from the blacklisted firms saw its shares jumping over 6.5 percent. The company in a regulatory filing confirmed the pact. It said that parties have agreed to resolve the litigation. They don’t want contested briefing. It added that Xiaomi and Pentagon will together work on a joint order. The order will be submitted to the court by May 20. The latest agreement comes after Xiami’s partial relief from the court in March. A court had in March ordered to temporarily halt the ban slapped on Xiaomi. The company had expressed confidence that will win a full reversal in the court. Xiaomi had said that it is a publicly-traded and independently managed corporation. It had categorically denied any link to the Chinese military.
Xiaomi had in March said that it only manufactures and offers consumer electronics products. Its products and services are for civilian and commercial use. The company said that it is committed to following international rules and working with global partners. It vowed to offer innovative technology to the world. Xiaomi said that its objective is to help people spend a better life with the adoption of innovative technology. It wants to make people’s life easier by bring new technologies. Xiaomi said that it is committed to guarding the interests of its customers and shareholders as well. In July 2020, dozens of Chinese telecom firms were tagged as a threat to America’s national security and its communications networks. The firms included Huawei, ZTE, and others.