FedEx Corp, the global parcel delivery firm, on Monday, sued the US government, stating that it should not be held liable if it accidentally ships products that fail a Trump administration prohibition on exports to Chinese companies.
The step came after FedEx triggered Chinese ire over its company practices, when a parcel containing a Huawei phone sent to the US was returned to its sender in Britain, which FedEx stated was an “operational error”. Speculations that China would blacklist FedEx after this resulted in the dropping of its shares 2.7% on Monday.
The US Commerce Department has restricted a number of Chinese firms in the few past weeks from purchasing sensitive US technology. In the District of Columbia, FedEx stated it should not be expected to comply with the export ban and could not sensibly be held accountable for shipping products that it wasn’t aware of.
Export restrictions “essentially deputize FedEx to police the contents of the millions of packages it ships daily even though doing so is a virtually impossible task, logistically, economically, and in many cases, legally,” it said in a plea.
To this, a US Commerce Department spokesman replied that “We have not yet reviewed the complaint, but nevertheless look forward to defending Commerce’s role in protecting US national security”