Xiaomi lately took Apple’s place because the world’s third largest smartphone maker

With mere days left in workplace, President Donald Trump and his administration have added 9 Chinese language corporations, together with smartphone maker Xiaomi, to a listing of companies suspected to be owned or managed by China’s army. When positioned on the record, the businesses turn into topic to harsh restrictions and can’t profit from American funding.

Xiaomi lately took Apple’s place because the world’s third largest smartphone maker, according to market intelligence firm IDC, however with this newest information, the corporate noticed its inventory fall greater than 10% in Hong Kong.

Early Friday morning, Xiaomi launched a press release, which is shared on Twitter.

“The Firm has been in compliance with regulation and working in compliance with the related legal guidelines and rules of jurisdictions the place is conducts its companies,” the assertion learn. “The Firm confirms that it isn’t owned, managed or affiliated with the Chinese language army, and isn’t a ‘Communist Chinese language Army Firm’ outlined underneath the NDAA.”

Previous to Thursday, 35 Chinese language corporations had been the U.S. blacklist, together with SMIC, and maybe most famously, Huawei. In some ways, Huawei has been the face of the ongoing conflict between the U.S. and China, which has resulted in quite a few international locations, together with the U.K., limiting the Chinese language firm’s involvement of their 5G networks.

Along with Xiaomi, the record now additionally consists of the Industrial Plane Company of China (Comac), a significant, state-owned Chinese language airplane maker, and CNOOC, China’s largest offshore oil producer.

There’s concern that the Trump administration’s continued assault on Chinese language tech corporations will complicate relations between the 2 corporations for President-elect Joe Biden and his incoming administration, which, in response to Jeffrey Halley, senior market strategist for Asia Pacific at Oanda, is more likely to be much less “belligerent” relating to China, even whether it is largely “prepared to unwind Trump-era insurance policies.”