primarily to semiconductors and lasers
“Taiwan will set up an investment fund of initially 200 million. US average. They will be invested in Lithuanian industry. This is a strategic step for both Lithuania and Taiwan to achieve long-term economic development, “Huang told reporters on Wednesday. The fund is promised to be established as soon as possible, with the first results expected later this year.
The money is going to be invested primarily in high-tech industries: the semiconductor, laser, and biotechnology industries, Huang said. The fund will be funded by the Taiwan National Development Fund.
ELTA reminds that China started to press when Lithuania opened the world’s first Taiwanese representation in the name of the island in mid-November, instead of its capital, Taipei. Although officially called the Taiwanese Representation, and Lithuania claims that it is intended for the development of economic and cultural rather than diplomatic partnerships, Beijing accuses Lithuania of violating the “One China Principle”.
In response to this step, the Chinese authorities lowered the level of Lithuania’s diplomatic representation to the trustees. The Chinese ambassador to Lithuania was recalled in the summer, and Lithuanian diplomats who left Beijing also started working remotely.
At the beginning of December, Lithuanian business reported an unsuccessful attempt to clear its goods in China, as Lithuania was removed from the Chinese customs system, which hampered the export of Lithuanian goods to China. Although Lithuania was probably deliberately removed from the systems later, China’s economic pressure did not end – Beijing ordered an international company to sever ties with Lithuania in early December, otherwise they would be threatened with removal from the Chinese market.
Lithuania’s direct trade with China is an international export, but there are hundreds of companies operating in the economy-oriented economy, producing products such as furniture, lasers, food and clothing for companies that sell these goods to China.