District 9 is in my opinion not racist, it show the reality of societies across races and species, no one is perfect, each species has its problems and positive aspects. This is good, it turns stereotypes on their heads and offers no simple answers. Contrast this with Avatar. But...Avatar is fictive fun, the navi are the protagonists. It is a condemnation of Western colonialism but yes it does portray its metaphorical victims are technophobes and I can see how that can be construed as racism. Just as Fairhaven or the bringlodi episodes are bit ridiculous to Irish people. So in conclusion, the film can be interpreted to be insulting but its just fiction with blue cat people ultimately.