Taiwan: Creates $ 200m investment fund in Lithuania, backed by China

Taiwan (formally the Republic of China) will set up a $ 200 million fund to invest in Lithuania’s industries and boost bilateral trade in a bid to bolster the northern European country in the face of Beijing diplomatic pressure.

Lithuania is under pressure from China to reverse last year ‘s decision to allow Taiwan to open a de facto embassy – a de facto embassy – in Vilnius.

Beijing claims Taiwan as a “sacred land” of China, which has no right to maintain separate diplomatic relations, and in the past two years has stepped up pressure on third countries to cut ties with Taipei, angering the latter and raising serious concerns. and in Washington.

China has never explicitly denied the use of force to “reunite” with Taiwan.

The strategic investment fund in Lithuania will be funded by the Taiwan National Recovery Fund and will be supported by the island’s central bank, the head of the Taiwan Representative Office in Vilnius, Eric Huang, told Reuters in an online interview.

“We will establish the fund as soon as possible and we hope to have tangible results within the year. I imagine that the first priority will be semiconductors (chips), lasers and biotechnology,” he said.

Taiwan will speed up the process of approving dairy and cereal exports from Lithuania to itself, as well as linking Lithuanian companies with its own supply chains.

China recalled its ambassador to Vilnius in August and downgraded its diplomatic mission to the Baltic states in November, while pressuring multinationals to sever ties with Lithuania, otherwise they would be excluded from the Chinese market.