The US Court of Appeals Seventh Circuit said it had "no jurisdiction to hear Sinovel's appeal" to halt criminal proceedings brought by the US Department of Justice.
Since 2011, Sinovel has been caught up in legal battles with AMSC over issues stemming from its alleged theft of intellectual property relating to turbine control codes.
In 2013, the US Department of Justice indicted Sinovel and members of its senior management team, as well as a former AMSC employee.
Sinovel challenged this by arguing that its subsidiary, Sinovel USA, was responsible for its activities in the US and that the US Justice Department lacked jurisdiction over the case.
In July 2014, a magistrate judge ruled that this claim was unfounded and that Sinovel must face the charges.
This was appealed by Sinovel, which was again struck down by a district judge in September 2014. Sinovel petitioned this decision to the Court of Appeals.
Sinovel and AMSC are also embroiled in a trade secret infringement and copyright cases in China.
Last month, Sinovel said AMSC's software copyright infringement claim against it was rejected by a regional court in Hainan province, China.
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