Hesai files Notice of Appeal to U.S. Court of Appeals

Hesai (HSAI) Group announces that it has filed a Notice of Appeal to the U.S. Court of Appeals on July 13, 2025, to challenge the decision of the U.S. District Court for the District of Columbia, which upheld the U.S. Department of Defense’s designation of the company under Section 1260H of the National Defense Authorization Act for Fiscal Year 2021. “We are deeply disappointed by the District Court’s ruling and respectfully disagree with its decision. We believe the DoD’s designation lacks both factual and legal bases,” said Yifan “David” Li, the CEO of Hesai. “We are appealing to the U.S. Court of Appeals, and we will vigorously pursue all legal avenues to protect our reputation and seek fair treatment.” Critically, the District Court acknowledged that the DoD found no evidence that Hesai’s products have been used for military purposes, nor any evidence of a direct or indirect connection between Hesai and the Chinese military – fundamental facts Hesai has maintained all along. Instead, the District Court based its ruling solely on two factors: the geographic location of Hesai’s R&D centers within certain industrial districts, and the theoretical potential that technologies such as lidar could have military applications. These speculative rationales-which could apply equally to countless other companies operating in China, including American and international companies-fall far short of demonstrating that Hesai has actually contributed to the military in any way, as the statute requires. Hesai has never developed, supplied, or certified products for military use, as its products are solely for civilian and commercial uses. Hesai will continue to defend its integrity and pursue appropriate legal remedies. At the same time, Hesai remains focused on delivering cutting-edge lidar solutions to its global customers and maintaining its unwavering commitment to transparency and good corporate governance as a Nasdaq-listed company.