Brussels politics hinder joint response to China’s economic blackmail of Lithuania

On Monday, EU Commissioner Virginijus Sinkevičius said a newly proposed instrument to tackle economic coercion against Lithuania by China is pending approval from the European Parliament and member states.

"I think it is going to take some time, at least half a year, [to achieve] inter-institutional agreement on this instrument, and a lot will depend on the French presidency [of the EU]," Sinkevičius, who is in charge of environment, oceans and fisheries, told BNS.

The anti-coercion instrument would tackle countries applying measures, including selective border or food safety checks, as well as boycotts of imports from a certain EU member state.

The Communist Party-controlled Global Times reported last week that Beijing might impose official economic sanctions against Lithuania. This comes in response to Lithuania's deepening ties with Taiwan, which Beijing considers part of its territory.

China's embassy in Vilnius | BNS nuotr.

On December 2, the European Commission, the European Parliament, and the Council of Europe adopted a joint statement declaring an intention to establish an instrument that could be used to “dissuade or offset coercive actions by third countries and which would allow the expeditious adoption of countermeasures triggered by such actions”.

The potential measures indicated in a separate document on December 2 include economic counter-measures, such as import restrictions.

These porposals follow China's coercion against Vilnius.

Earlier this year, China also halted freight trains to Lithuania and stopped issuing food export permits. It also cut credit limits and raised prices for Lithuanian companies, and removed Lithuania from its customs systems.

It has also been reported that China is pressuring foreign companies to stop using components made in Lithuania.