China’s Nuctech launches new appeal against EU inspection of company

BRUSSELS (Reuters) – Chinese security firm Nuctech said it had filed a new appeal against a decision by an EU court to reject its attempt to temporarily suspend the European Commission’s decision to inspect the company.

A spokesperson for Nuctech said the appeal had been filed on Tuesday, against the earlier ruling by the Luxembourg-based EU General Court, which is Europe’s second-highest court.

“In our view, the Court’s decision was not based on a thorough legal review and had therefore failed to give a convincing explanation of rejection,” said Nuctech.

“Nuctech Europe is determined to defend its rights while also cooperating with the European Commission on the case. We firmly believe that the appeal process will help achieve a more just and reasonable decision on the case,” added the company.

Nuctech had initially taken the European Commission to court over earlier raids at its Dutch and Polish offices, saying there was no evidence to support allegations it benefited from illegal state support.

Yet the General Court subsequently ruled that the EU Commission can investigate and request information from all businesses operating in the EU, regardless of whether they are controlled by member states or third states, to assess potential EU law violation.

Nuctech makes body and luggage scanners for airports and ports in more than 170 countries and it was among Chinese tech companies blacklisted by the U.S. government in 2020, which had said that those companies were security threats.

(Reporting by Sudip Kar-Gupta; Editing by Benoit Van Overstraeten)

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