By Jody Godoy and Karen Freifeld
Aug 14 (Reuters) - A U.S. appeals court on Friday ordered a lower court to reconsider whether China-based DJI, the world's largest drone maker, should be removed from a Pentagon list of companies allegedly supporting Beijing's military.
The U.S. Court of Appeals for the District of Columbia Circuit ruled that the lower court erred by relying only on the unclassified record in concluding that the company contributes to the Chinese defense industrial base.
DJI is one of a growing number of Chinese companies challenging their placement on the Pentagon's list of Chinese military companies. The list bars the Defense Department from contracting with designated companies, and a broader ban on buying their products via third parties takes effect in 2027.
"There is...no publicly stated rationale for why the Secretary believes DJI contributes to the Chinese defense industrial base," the appeals court said. "On remand, the district court may examine the classified record and determine whether to uphold the Secretary's determination .
#military
Aug 14 (Reuters) - A U.S. appeals court on Friday ordered a lower court to reconsider whether China-based DJI, the world's largest drone maker, should be removed from a Pentagon list of companies allegedly supporting Beijing's military.
The U.S. Court of Appeals for the District of Columbia Circuit ruled that the lower court erred by relying only on the unclassified record in concluding that the company contributes to the Chinese defense industrial base.
DJI is one of a growing number of Chinese companies challenging their placement on the Pentagon's list of Chinese military companies. The list bars the Defense Department from contracting with designated companies, and a broader ban on buying their products via third parties takes effect in 2027.
"There is...no publicly stated rationale for why the Secretary believes DJI contributes to the Chinese defense industrial base," the appeals court said. "On remand, the district court may examine the classified record and determine whether to uphold the Secretary's determination .
#military
6 days ago