US agrees to lift ban on US companies investing in Xiaomi

The Ministry of Defense will exclude the Chinese smartphone manufacturer from the blacklist — the company’s shares rose by 6.5%.

The Ministry of Defense will exclude the Chinese smartphone manufacturer from the blacklist — the company’s shares rose by 6.5%.
Xiaomi and the US government have agreed to remove the company from the blacklist, writes Bloomberg. Such a status could limit American investment in a Chinese company.
The Ministry of Defense under former US President Donald Trump issued an order calling Xiaomi a ” communist Chinese military structure.” In early 2021, the smartphone maker sued the government.
According to Bloomberg, the ministry agreed at the trial that an order to cancel such a definition of the company “would be appropriate.” The parties are currently discussing the terms for the settlement of the dispute and will issue a statement by May 20. The publication writes that Xiaomi declined to comment.
On the background of the news, Xiaomi shares on the Hong Kong Stock Exchange rose by 6.5% to HK $ 26.2 apiece.
Bloomberg notes that the agreement marks a rare victory for China’s tech giants, who have come under the gun of the US government.

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