FedEx sues the US Department of Commerce for misrouting Huawei packages

The world famous courier service FedEx is suing the US Department of Commerce by through court filling. In that court filing, FedEx claimed as the United States Department of Commerce’s temporary act had enforced its trade blacklist. As a result, FedEx is now facing severe financial blow, because of that, FedEx sues the US Department of Commerce.

Why FedEx sues the US Department of Commerce?

With the new lawsuit from Trump’s administration, FedEx took heavy blow after Huawei started to reassess its relationship with FedEx. On stepping future, the incident which triggers FedEx sues the US Department of Commerce happens after a month when the lawsuit comes to effect.

Huawei has said as it is reassessing its relationship with FedEx after the delivery giant misrouted its several packages to the US. Well, those packages supposed to reach Asia but it intentionally diverted to the US. However, the delivery giant FedEx said as “The packages haven’t contained any technology that is banned by Trump’s administration, and misrouted by accident

Details of FedEx Mentioned in Court Filling

FedEx in its court filings mentioned as lawsuit upon the export ban severely hurting and increases the work burden. Because of that FedEx sues the US Department of Commerce. In addition, “Since, Millions of shipments are transits around the world via FedEx network every day the new lawsuit increases burden”, FedEx added.

By pointing those difficulties, FedEx asks U.S District Court to direct the Department of Commerce to stop enforcing EAR. Where EAR is Export Administration Regulations, which is the legal protocols related to US export control law.

FedEx CEO Frederick Smith said the company forced to cut current year earnings guidance because of the bad political choices. Here the Bad Political Choices includes Brexit, State-owned enterprises issues and the on-going trade war between US-China. “Owing to these, business hurts a lot”, FedEx said in its court filings.

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