Hot Scooter Supplier To JB Hi Fi Earns Federal Court Reprieve
Xiaomi whose electric scooters are in high demand at JB Hi Fi and who will shortly launch a $249 W6 router in Australia, has won a reprieve from a US Federal Court Judge.
On Saturday U.S. District Judge Rudolph Contreras temporarily blocked the Department of Defence from forcing American investors to divest holdings in Chinese smartphone maker Xiaomi on the grounds the company has ties to China’s military.
The Défense Department, under the Trump administration in mid-January, added Xiaomi and eight other firms to a list that requires Americans to sell their interests in the firms by a deadline.
The restrictions were set to go into effect next week.
Xiaomi in late January filed a complaint in a Washington court seeking to be removed from the list, calling its inclusion “unlawful and unconstitutional” and arguing it was not controlled by the People’s Liberation Army.
Judge Contreras said that the court “concludes that defendants have not made the case that the national security interests at stake here are compelling.”
Xiaomi and the defence Department did not immediately respond to requests for comment.
Xiaomi also supply robotic vacuum cleaners to Australian retailers.