Xiaomi shares are surging

Xiaomi shares are surging

After the court lifted the administrative restrictions imposed by former US President Donald Trump, the value of shares in the Chinese electronics company Xiaomi increased by up to 12 percent. - reports on Monday the "Financial Times".

Last week on Friday, an American court temporarily lifted the administrative restrictions imposed on Xiaomi by the previous administration, which entered the company on the list of military-related entities, which is associated with a ban on investing in them by US citizens and, as a consequence, may lead to their removal from some global stock indices. In the opinion of the judge who issued the ruling, the proceedings against Xiaomi initiated by officials were marked by many irregularities, and the company could easily appeal against the decision to blacklist her entities associated with the Chinese army.

Earlier, an appeal in a similar case was successful for the coalition of users of the WeChat application belonging to the Chinese internet giant - Tencent. Another Chinese platform - TikTok, owned by the start-up ByteDance, has also avoided the blockage of the possibility of providing services in the United States. TikTok as a result of Trump's executive regulation was to be blocked in the US, unless the ownership of the platform passes into American hands.

According to analysts cited by "FT", Chinese companies that have been entered by the Trump administration on the so-called Blacklists of the Pentagon and the US Ministry of Commerce are now beginning to ask officials of the new president about evidence against them, which would allow his predecessors to make such decisions.

The judge who temporarily lifted the restrictions imposed on Xiaomi by the Trump administration noted that the company's case lacks clear evidence to support the claim that the company is associated with the Chinese military.

On Monday, the value of Xiaomi shares increased by 7.03 percent. and was at the level of Hong Kong $ 24,350. (PAP)