"Tensions between Vilnius and Beijing erupted back in
May, when Lithuania withdrew from the "17 + 1" format, which unites
China and Central and Eastern European countries. Bilateral relations deteriorated even more in mid-November with the opening of the world's first Taiwanese representation in Vilnius under the name of the island, rather than its capital, Taipei. Although officially called
the Taiwanese Mission, and Lithuania claims that it is intended to develop
economic and cultural rather than diplomatic partnerships, Beijing accuses
Lithuania of violating the "One China Principle."
Lithuania's direct trade with China is small, but there are
hundreds of companies operating in its export-oriented economy, producing
products such as furniture, lasers, food and clothing for international
companies that sell these goods to China. In early December, Beijing ordered
international companies to sever ties with Lithuania, otherwise they would be
threatened with removal from the Chinese market."
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