Chinese tech company Xiaomi saw a spike in shares as a U.S. judge temporarily put a stop to former president Donald Trump-era restrictions on the Chinese phone manufacturer.
The tech giant’s shares jumped 10% in early trade on Monday as Trump’s administration to bar Americans from investing in the Chinese smartphone maker has been blocked.
According to media reports, U.S. district judge Rudolph Contreras granted Xiaomi a preliminary injunction against the Trump-era order. The judge said that without relief, Xiaomi would suffer irreparable harm in the form of serious reputational and unrecoverable economic injuries.
Xiaomi said it was pleased with the ruling and said it will continue to request that the court declare the designation unlawful and to permanently remove the designation.
“Xiaomi reiterates that it is a widely held, publicly traded, independently managed corporation that offers consumer electronics products solely for civilian and commercial use,” the company said in a statement on Saturday.
“The company has been in compliance with the law and operating in compliance with the relevant laws and regulations of the jurisdiction where it conducts its business,” Xiaomi stated in a statement.
“Xiaomi believes that the decisions of designating it as a Chinese Communist Military Company are arbitrary and capricious, and the judge agrees
The company went further to confirm that it is not owned, controlled, or affiliated with the Chinese Military and it's not a Communist Chinese Military Company defined under the NDAA.
Xiaomi said it is committed to working with its global partners to let everyone in the world enjoy a better life through innovative technology.
IOL TECH