A Washington D.C. federal judge said that he will decide on Chinese handset maker Xiaomi's request for a preliminary injunction pausing it's placement on a blacklist by the end of the week, LexisNexis company Law360 reported on Tuesday. 

Xiaomi issued the legal complaint at the end of January, after the U.S. Defense Department, under the Trump administration, added Xiaomi and eight other companies to a blacklist, claiming they had ties with the Chinese military.

The restrictions requested that U.S. citizens stop buying in publicly traded Xiaomi securities as of March 15; and as of January 14, 2022, any direct or indirect possession of publicly traded Xiaomi securities by any U.S. person will be prohibited.

The decision to permanently block the Trump administration order has not been made. U.S. District Judge Rudolph Contreras said that the presentation by Xiaomi's attorney did not convince him that a final judgment should be issued at this stage in the litigation.

Covington & Burling LLP partner John E. Hall, one of Xiaomi's representative attorneys, had specifically asked the judge to, "at the bare minimum," vacate Trump's mid-January order designating Xiaomi as a "Communist Chinese military company."

Hall argued that the government has violated the company's due process rights as it was never given an opportunity to challenge the designation before it suddenly landed on the blacklist, and that Xiaomi was unlawfully stigmatized as a threat to the U.S., causing reputational harm to its brand, Law360 reported.

"This designation purports to say this global company that sells consumer electronic goods ... is in fact an agent of the Chinese government to do mass harm to the American people," Hall said. "If that's not stigmatizing, I don't know what is."

Joseph Borson, one of the U.S.' government attorneys, cast doubt on Xiaomi's argument that the designation and restrictions will make it difficult for it to retain and hire workers, but he was also uncertain about whether depriving the company access to the U.S. capital markets would have an "equally massive impact."

Throughout Tuesday's hearing, Judge Contreras told counsel for the parties that an order will be issued by the end of this week.