Xiaomi is also vulnerable to Trump's executive order.
Order bans US firms from investing in such companies.
New Delhi: After Huawei and ZTE, the US government has now taken on the Chinese conglomerate Xiaomi, blacklisting it as a "Communist Chinese military company".
In a fresh list, the US Department of Defense has targeted Xiaomi, which means that the company is also vulnerable to the outgoing President Donald Trump's executive order that bans the US firms from investing in such companies.
The move may force US companies and other investors to divest in Xiaomi this year.
"The Department is determined to highlight and counter the People's Republic of China's (PRC) Military-Civil Fusion development strategy, which supports the modernisation goals of the People's Liberation Army (PLA) by ensuring its access to advanced technologies and expertise acquired and developed by even those PRC companies, universities, and research programmes that appear to be civilian entities," the Department said in a statement late Thursday.