Two years after the Defense Department added DJI to a list of companies thought to have ties to the Chinese military, the drone maker says it has 'no alternative' other than to sue.

DJI, the world's largest commercial and consumer drone manufacturer, is taking on the US Department of Defence (DoD) for accusing it of being part of China's military and so putting a legal clamp on its sales in the USA.

SZ DJI Technology Co. said it has sued the US Department of Defense for adding the Shenzhen-based drone maker to a list that designates it as a Chinese military company.

Chinese drone maker DJI, which dominates the global consumer market, said Saturday it was suing the US Department of Defense, complaining that Washington had "erroneously" included the company on a Chinese military company blacklist.

DJI claims it operates solely in the commercial sector with no military ties, disputing the Pentagon's designation.

The China-based maker of more than half of all commercial drones in the U.S. went to court to fight its placement on a list of companies said to be working with the Chinese military.

DJI challenges Pentagon's "Chinese Military Company" designation in a landmark lawsuit, raising questions about government overreach.