Chinese self-driving car supplier Hesai sues US for accusing it of military ties

Nasdaq-traded Hesai urges the court to order the US defence department to remove it from the 1260H List or declare the provision unconstitutional

The lawsuit follows other legal challenges to the US government’s attempt to warn about companies that appear to help advance China’s military

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Nasdaq-listed Hesai has sued the US Department of Defence for including it on a list of companies accused of aiding the Chinese military. Photo: Handout

Published: 11:35am, 14 May 2024

Hesai Technology, a developer of sensor technologies used in self-driving cars, is suing the US Department of Defence for including it on a list of companies accused of aiding China’s military.

The Shanghai-based company’s placement on the so-called 1260H List has caused it “to suffer reputational injury, a significant drop in stock price, and lost business opportunities”, according to a complaint filed on Monday in Washington federal court.

Nasdaq-traded Hesai urged the court to order the department to remove it from the list or declare the provision unconstitutional.

The lawsuit follows other legal challenges while Donald Trump was president to the US government’s attempt to warn about companies that appear to help advance China’s military capabilities.

Hesai is a provider of sensors for smart cars. Photo: Handout

In 2021, the Biden administration agreed to remove Chinese smartphone giant Xiaomi from the list after a US court sided with the company and placed a temporary halt on the ban.