UPDATE 1-U.S. removes Xiaomi from government blacklist, parties to resolve litigation
May 12 (Reuters) - The U.S department of Defense will remove Chinese smartphone maker Xiaomi Corp 1810.HK from a government blacklist, a court filing showed.
The filing stated that the two parties would agree to resolve their ongoing litigation without further contest, bringing to an end a brief and controversial spat between the hardware company and Washington.
Xiaomi did not immediately respond to a Reuters request for comment.
Earlier this year the U.S. Department of Defense, under the Trump administration, designated the firm as a company with ties to China's military and placed it on a list that would restrict U.S. investment in the company.
Xiaomi quickly responded by filing a lawsuit against the U.S. government, calling its placement "unlawful and unconstitutional" and denying any ties to China's military.
In March, under the new Biden administration, a federal judge temporarily blocked enforcement of the blacklisting.
Shares in Xiaomi rose over 6% in Hong Kong as news of the decision spread.
(Reporting by Aakriti Bhalla in Bengaluru and Josh Horwitz in Shanghai; Editing by Christopher Cushing & Shri Navaratnam)