lørdag 18. desember 2021

China is pressuring Germany over Lithuania diplomatic spat

China is pressuring German car parts giant Continental (CONG.DE) to stop using components made in Lithuania, two people familiar with the matter told Reuters, amid a dispute between Beijing and the Baltic state over the status of Taiwan. The targeting of Continental is an example of how the China-Lithuania diplomatic spat is spilling over into business in an era of global supply chains and affecting Germany's car industry, a lucrative pillar of Europe's biggest economy.

The Chinese government, which views self-ruled Taiwan as its territory, downgraded diplomatic ties with Lithuania last month after the opening of a representative office by Taiwan in Vilnius. Lithuania's ruling coalition had also agreed last year to support what it described as "those fighting for freedom" on the island.