Xiaomi on Wednesday, May 26, Philippine time, reported that the US Defense Department has removed the company from a government blacklist.

The Trump administration in January added Xiaomi to the ‘Chinese Communist Military Company’ (CCMC) blacklist, which would have forced American investors to divest from the Chinese company.

The court filing, as earlier reported on May 12, showed the company and the US government were going to settle their ongoing litigation.

Eight other Chinese companies had also been tagged as CCMC. Xiaomi fought against it, filed a lawsuit, and denied links to the Chinese military.

The lawsuit resulted in a suspension of the enforcement of the blacklist in March. In a Reuters report, Emily Horne, the spokeswoman for the White House National Security Council, noted that the judge’s ruling said the Trump administration “failed to develop a legally sufficient basis for imposing restrictions on the company and compelled this action.”

Xiaomi in a press statement said that in removing the CCMC tag, the “court formally lifted all restrictions on US persons’ ability to purchase or hold securities of the company.”

“The company reiterates that it is an open, transparent, publicly traded,
independently operated and managed corporation. The company will continue to provide reliable consumer electronics products and services to users, and to relentlessly build amazing products with honest prices to let everyone in the world enjoy a better life through innovative technology,” Xiaomi said. – Rappler.com