Xiaomi Wins Court Ruling Blocking U.S. Restrictions on It

Xiaomi is the third-largest smartphone manufacturer in the world by volume.

Photographer: Justin Chin/Bloomberg
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A federal judge in Washington blocked the Defense Department from restricting U.S. investment in the Chinese smartphone manufacturer Xiaomi Corp.

In the final days of the Trump administration, the Defense Department placed Xiaomi on a list of companies with alleged links to the Chinese military, triggering financial restrictions that were scheduled to go into effect next week. But on Friday, U.S. District Judge Rudolph Contreras put a temporary halt to the ban, siding with Xiaomi in a lawsuit that argued that the move was “arbitrary and capricious” and deprived the company of its due process rights.