Canada seeks to join EU challenge on Chinese aggression against Lithuania in WTO talks

Canada has expressed interest to participate in the World Trade Organization (WTO) discussions on the current tension over the trade disputes between China and Lithuania, according to media reports quoting Global Affairs Canada. In a statement, Canada's Foreign Ministry said on Thursday, “Canada has requested to join consultations as part of the EU's dispute with China at the WTO, in our interest in promoting and defending the multilateral trading system," sputnik reported.  

Global Affairs Canada has also emphasised that Ottawa is worried about China's trade actions, rejects economic coercion, as well as supports like-minded nations. This concern came after the Chinese started to severely restrict or de facto halt imports from and exports to Lithuania, or goods related to Lithuania, in December of last year. 

Furthermore, Canada’s request for WTO talks took place after Australia and Lithuania agreed to intensify cooperation on Wednesday to address the challenges posed by China's aggression in policies. As per the Associated Press, the two countries' collaboration occurred when Canberra suffered losses of tens of billions of dollars as a result of Beijing's recent trade obstacles, both official and unofficial. 

EU files complaint against China's aggression

In addition to this, according to the European Commission, evidence of numerous sorts of Chinese limitations has been gathered. The commission noted, "These include a refusal to clear Lithuanian goods through customs, rejection of import applications from Lithuania” and to put pressure on EU firms operating out of other EU member countries to exclude Lithuanian inputs from their supply chains when exporting to China.  

Moreover, on January 27, the European Union filed a complaint with the World Trade Organization against China for "discriminatory trade practices" against Lithuania. The EU stated in a statement that Beijing's measures appeared to be "discriminatory" as well as "illegal" under WTO standards. China recently put trade restrictions on Lithuania, prompting the EU to take action. 

China-Lithuania conflict 

Relations between China and Lithuania worsened when Taiwan and Vilnius, the capital of Lithuania, established diplomatic offices in each other's countries. China allegedly began restricting imports of Lithuanian goods in December, as Lithuania began to develop diplomatic ties with Taiwan. 

Meanwhile, in response to the WTO lawsuit, Beijing stated that the so-called "coercion" of Lithuania by China is unfounded and distorts facts. Zhao Lijian, a spokesperson for the Chinese Foreign Ministry, stated during a news conference, "The problem between China and Lithuania is a political, not an economic one.” The spokesperson went on to say that they were driven by Lithuania's action in bad faith that harmed China's interests, not by Chinese pressure on Lithuania, ANI reported.  

(Image: AP/Tiwtter/ @GitanasNauseda)