China’s Xiaomi files legal complaint against US Defense, Treasury dept

SHANGHAI (Reuters) – Xiaomi Corp filed a complaint in a Washington district court on Friday against the U.S. Defense and Treasury Departments, seeking to remove the Chinese smartphone maker from an official list of companies with ties to China’s military.

The Defense Department, under the Trump administration in mid-January, added Xiaomi and eight other companies to the list, which requires American investors to divest their holdings in the firms by a set deadline.

In the complaint, addressed to Biden-appointed Defense Secretary Lloyd Austin and Treasury Secretary Janet Yellen, Xiaomi called the judgment “unlawful and unconstitutional” and said the company was not controlled by the People’s Liberation army.