The US has tightened restrictions on DJI, a Chinese drone manufacturer, and seven other Chinese firms.
The Treasury Department placed the companies on an investment exclusion list on Thursday, prohibiting US citizens from purchasing or selling shares in them.
DJI’s drone technology has allegedly been used to spy on Uyghur Muslims in China.
However, because DJI is not a publicly traded corporation, the prohibition is primarily symbolic.
Consumers in the United States can continue to purchase and use DJI drones.
In 2020, the Department of Commerce prohibited US companies from exporting to DJI, which the Department of Defense has designated as a national security threat.
According to the Reuters news agency, DJI devices are used by over 900 US public safety agencies, including the New York City police.
DJI drones have been utilized by the National Park Service to assist in the fight against wildfires in California. According to Drone Industry Insights, the business held close to an 80% market share in consumer drones in the United States last year.
Huawei, the telecoms giant, remains on the Trump administration’s trade exclusion list, which prohibits US companies from doing business with it. According to Reuters, the Biden administration is considering putting more penalties on China’s largest semiconductor manufacturer, Semiconductor Manufacturing International Corporation.