U.S. removes Xiaomi from government blacklist, parties to resolve litigation

The U.S department of Defense will remove Chinese smartphone maker Xiaomi Corp from a government blacklist, a court filing showed. The filing stated that the two parties would agree to resolve their ongoing litigation without further contest, bringing to an end a brief and controversial spat between the hardware company and Washington. Shares in Xiaomi rose over 6% in Hong Kong as news of the decision spread.

The U.S Department of Defense will remove Chinese smartphone maker Xiaomi Corp from a government blacklist, a court filing showed.

The filing stated that the two parties would agree to resolve their ongoing litigation without further contest, bringing to an end a brief and controversial spat between the hardware company and Washington. Xiaomi did not immediately respond to a Reuters request for comment.

Earlier this year the U.S. Department of Defense, under the Trump administration, designated the firm as a company with ties to China's military and placed it on a list that would restrict U.S. investment in the company. Xiaomi quickly responded by filing a lawsuit against the U.S. government, calling its placement "unlawful and unconstitutional" and denying any ties to China's military.

In March, under the new Biden administration, a federal judge temporarily blocked enforcement of the blacklisting. Shares in Xiaomi rose over 6% in Hong Kong as news of the decision spread.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)