XIAOMI and eight OTHER CHINESE COMPANIES BLACKLISTED BY THE US OVER ALLEGED MILITARY LINKS

The United States government has blacklisted Chinese smartphone maker Xiaomi Corp. and China’s third-largest national company for alleged military links, heaping pressure on Beijing in President Donald Trump’s last week in office. The Department of Defense added nine companies to its list of Chinese companies with military links, including Xiaomi and state-owned plane manufacturer Commercial Aircraft Corp. of China (Comac). US investors will need to divest their stakes in Chinese companies on the military list by November this year, consistent with an executive order signed by Trump in November.

Xiaomi Corp. overtook Apple Inc. because the world’s No. 3 smartphone maker by sales within the third quarter of 2020, consistent with data by Gartner.

According to a press release by a Xiaomi spokesperson, "The Company has been in compliance with law and operating in compliance with the relevant laws and regulations of jurisdictions where it conducts its businesses. the corporate reiterates that it provides products and services for civilian and commercial use. the corporate confirms that it's not owned, controlled or affiliated with the Chinese military, and isn't a “Communist Chinese Military Company” defined under the NDAA. the corporate will take appropriate course of actions to guard the interests of the corporate and its shareholders. the corporate is reviewing the potential consequences of this to develop a fuller."
Xiaomi Corp. overtook Apple Inc. because the world’s No. 3 smartphone maker by sales within the third quarter of 2020, consistent with data by Gartner. Xiaomi’s market share has grown as Huawei’s sales have suffered after it had been blacklisted by the US and its smartphones were stop from essential services from Google.

Separately, the Department of Commerce put China National Offshore Oil Corp. (CNOOC) on the entity list, an economic blacklist that forbids US firms from exporting or transferring technology with the businesses named unless permission has been obtained from the United States government . The move comes after about 60 Chinese companies were added to the list in December, including drone maker DJI and semiconductor firm SMIC.

CNOOC has been involved in offshore drilling within the disputed waters South China Sea, where Beijing has overlapping territorial claims with other countries including Vietnam, the Philippines, Brunei, Taiwan, and Malaysia.

“China’s reckless and belligerent actions within the South China Sea and its aggressive push to accumulate sensitive property and technology for its militarisation efforts are a threat to US national security and therefore the security of the international community,” US Commerce Secretary Wilbur Ross said during a statement.

“CNOOC acts as a bully for the People’s Liberation Army to intimidate China’s neighbours, and therefore the Chinese military continues to profit from government civil-military fusion policies for malign purposes,” Ross said.
CNOOC didn't immediately comment.
Chinese state-owned company Skyrizon was also added to the economic blacklist, for its push to “acquire and indigenise foreign military technologies,” Ross said.

Beijing Skyrizon Aviation, founded by tycoon Wang Jing, drew US criticism for an effort to require over Ukraine’s military engine maker Motor Sich in 2017. the priority was that advanced aerospace technology would find yourself getting used for military purposes.