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Lidar maker Hesai sues US government, denies alleged link to China’s military By Reuters

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SAN FRANCISCO (Reuters) – China-based Hisai Group filed a lawsuit against the U.S. government on Monday to add the maker of lidar light sensors to a list of companies allegedly working with the Chinese military.

Hesai, whose sensors help self-driving cars and driver assistance systems obtain a 3D map of the road, was added to the list by the US Department of Defense in January along with more than a dozen other companies.

Although its inclusion on the list does not entail an immediate ban, it represents a warning to US entities and companies about the risks of doing business with it.

“No Chinese government or military entity has sought to exercise influence or control over the management, strategy, or research and development process of the Hisai Group,” Hessai said in the lawsuit, adding that a majority of its shares are owned by shareholders outside China.

It said that the addition to the so-called 1260 AH list caused “serious reputational injury, a significant decline in stock prices, and loss of job opportunities,” asking a US district court to order the government to remove Hisay from the list.

The US Department of Defense did not immediately respond to requests for comment outside normal business hours.

In the lawsuit filed Monday, Hisay, who has been listed in New York since early last year, said the department “provided no warning, explanation, or opportunity to defend itself prior to the listing.”

The government has not provided any substantive response to its takedown requests or efforts to resolve the issue out of court, she added, adding that it designs and manufactures products for commercial and civilian uses only.

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Some US lawmakers have raised concerns about the use of autonomous vehicle technology such as lidar, radar and semiconductors when made by Chinese companies, citing the alleged risks of data on US citizens being collected and potentially shared with China.

US Transportation Secretary Pete Buttigieg told Reuters last year that his agency had national security concerns about such technologies and that there was a need to better understand “the true ownership of the various companies that supply different elements of our transportation systems.”

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