Beijing gambled on Lithuania

Xi Jinping

The Chinese President rigorously enforces his country’s interests.

(Photo: AP)

From Beijing’s point of view, Lithuania’s decision to call Taiwan’s representative office in the Baltic state the same name and not “Taipei’s representative”, as is customary, was a provocation, no question. The Chinese government wants to use all means to prevent Taiwan from being internationally recognized as a separate state – even if only by mentioning its name.

But Beijing gambled away by imposing a de facto boycott on the small EU country in response to the diplomatic affront. This shows the initiation of proceedings against the People’s Republic before the World Trade Organization WTO, which Brussels initiated on Thursday.

Brussels is sending a clear signal to China: the EU stands together.

It is the second time in a short space of time that China has alienated the European Union in this way. In March, Beijing overreacted to sanctions, more pro forma sanctions, against lower-ranking Chinese officials for aiding and abetting the oppression of the Muslim Uyghur minority in western China’s Xinjiang province.

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China retaliates massively

In a sweeping sweep, the Chinese government imposed punitive measures on high-ranking EU institutions, independent think tanks and EU parliamentarians. As a result, the China-EU Investment Agreement (CAI) is on hold.

MEPs are very unlikely to ratify the deal after China has sanctioned them. That would be exactly in the interest of Beijing and the Chinese economy.

As in the case of Australia, the Chinese leadership in the case of Lithuania is also showing itself to be a state that takes action against economic partners without regard for losses if the governments of these countries are behaving inappropriately in its eyes. In the end, Beijing is not only damaging its relations with the EU, but also China’s reputation in the world as a trading partner.

More: Taiwan dispute escalates: EU seeks WTO proceedings against China

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