In this July 9, 2018, file photo, an advertisement for Xiaomi is displayed at a subway station in Hong Kong. The U.S. government has blacklisted Chinese smartphone maker Xiaomi Corp. and China’s third-largest national oil company for alleged military links, heaping pressure on Beijing in President Donald Trump’s last week in office. The Department of Defense added nine companies to its list of Chinese companies with military links, including Xiaomi and state-owned plane manufacturer Commercial Aircraft Corp. of China (Comac). (Photo: AP Photo)

China's smartphone maker Xiaomi and the U.S. government have reached an agreement to set aside a Trump administration blacklisting that could have restricted U.S. investment in the company, Bloomberg reported on Wednesday.

In January, nine Chinese firms including Xiaomi were added to a blacklist of alleged Chinese military companies by the U.S. Defense Department under former President Donald Trump.