A law known as the NDAA has banned Washington from using Huawei and ZTE equipment in government offices in the past due to security risks. The addition of Xiaomi to the US blacklist currently means that US investors must sell all of their stakes in the affected companies by November this year.
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The next steps are still under the responsibility of the Ministry of Commerce, but in the extreme case, Xiaomi may face the same fate as the Chinese Huawei. Due to US sanctions, this company can only use a truncated version of Android on its devices, while US companies may not trade with Huawei without special permission.
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Donald Trump
Photo: Gerald Herbert, ČTK / AP
The blacklisting of Xiaomi justifies the Trump administration’s concerns about national security, as in the past, as the authorities say “there is an unacceptable risk that the technologies of the companies on the blacklist will be used for military purposes.”
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However, Xiaomi refuses. “Xiaomi always complies with applicable legislative standards and operates in accordance with the applicable laws and regulations of the countries in which it operates. The company reiterates that it provides products and services for civil and commercial use. At the same time, it confirms that it is in no way owned, controlled or affiliated with the Chinese military and that it is not a ‘Chinese Communist Army company’ as defined by the NDAA, “the official statement said.
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Waiting for Biden
At the same time, Xiaomi’s representatives outlined in an official statement that they could challenge the decision of the American administration in court. “The company will take appropriate steps to protect the interests of the company and its shareholders. The Company is also examining the potential implications of this issue for a full understanding of the implications for the holding company. The company will issue further statements with regard to the development of the situation, “they concluded.
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The Trump administration ends on January 20, the question is how the White House will lead the matter under the leadership of new President Joe Biden.
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Joe Biden
Foto: Matt Slocum, ČTK/AP
