Xiaomi and eight other companies enter the US blacklist again.
With only a few days left in office, the Trump administration continues to add companies to its blacklist, Xiaomi, Offshore Oil Corporation, and Comac are part of a new executive order now. This prevents American companies from conducting any transactions and business with them.
The companies will be blocked from doing business in the United States and shareholders and contracts will have time to sell or terminate their relationships with the companies until November 11th, 2021.
Xiaomi and 8 other Chinese companies enter the US blacklist
Xiaomi surpassed Apple’s sales this year and became the third-largest selling brand in mobile devices in the world. The company is listed for allegedly having connections with the Chinese government and its stock fell 14% after it was blacklisted. Last week, the Trump government added 8 applications from Chinese companies, including AliPay and WeChat Pay.
In addition to blocking business with these companies, the Trump administration also announced that it will deliver new rules that will allow them to veto US-made imports of sensitive materials and technology from China and other countries with similar characteristics.
The rules take into account six categories and would apply to both software and hardware. These are a wide range of products, ranging from communications infrastructure, networks to artificial intelligence, and quantum computing. It also includes applications that collect data and the use of cloud services.
So far, there is no comment from Xiaomi or the Chinese government on the subject. For his part, Joe Biden, president-elect of the United States, has yet to clarify his position on the current relationship between the two countries.