Taiwan is setting up a US$200 million fund to invest in Lithuania, aiming to acquire as many goods as possible from this Baltic country that is embargoed by China, as Taipei is trying to reward Vilnius for diplomatic support.

Eric Huang, head of Taiwan’s representative office in Lithuania, said on Wednesday that he hopes to make the first investment with funds guaranteed by the National Development Fund later this year. “Now is the time for us to help you solve your difficulties,” Taiwan Deputy Foreign Minister Zeng Haoren told Lithuania.

Vilnius agreed last year to allow Taiwan to open a representative office in its own name-the de facto embassy-rather than in the name of the capital Taipei, as many other European countries do.Beijing claimed that Taiwan is part of China and tried to force other governments to treat it like this, and thereafter launched a wave Diplomatic and economic punishment of Vilnius.

Beijing withdrew its ambassador from Vilnius, banned imports from Lithuania, and put pressure on foreign manufacturers Stop using Lithuanian components. The Baltic States were also forced to Evacuate The remaining diplomats from China worry about their safety.

Whether Lithuania can gain a firm foothold and receive the full support of other EU member states has become the litmus test of the effectiveness of China’s economic and political coercive measures.

Lithuanian President Gitanas Nauseda recently overthrew his Earlier position And said it was a “Mistake“Let the representative office be in the name of Taiwan instead of Taipei. He also complained that the government led by Prime Minister Ingrida Simonyte, who he defeated in the 2019 presidential election, did not coordinate this with him. One decision.

The quarrel caused officials to worry that Lithuania’s message might be downplayed because the president represented the country at EU summits and often took the lead on foreign policy issues.

Simonite said on Wednesday that she was “disappointed” by Nauseda’s comments and that he has supported these initiatives for several months since the announcement.

Radvile Morkunaite-Mikuleniene, vice chairman of the Lithuanian Parliament and vice chairman of the ruling Homeland Alliance Party, told the Financial Times on Wednesday that the government insists on its position and does not The name of the representative office will be changed.

“The international community understands that our position on foreign affairs is very important. We will not withdraw from our position,” she said.

Lithuania was shocked by the intensity of China’s response. It not only stopped Lithuanian imports, but also put pressure on German auto parts manufacturer Continental and other European manufacturers to not use Lithuanian parts in its Chinese operations.

Since expanding relations with Lithuania last year, establishing economic ties has been Taipei’s main focus.Kong Mingxin, Minister of the National Development Committee in charge of the National Development Fund, led a delegation to visit Lithuania in late October and expressed his hope that the country will become Fulcrum of Taipei To Central and Eastern Europe.

But in the face of Chinese punishment, Taipei feels that it is necessary to make up for part of the economic losses Vilnius suffered. A senior Taiwanese government official said: “Originally, this has nothing to do with the competition between us and Beijing. It should not be a zero-sum game.”

A senior Taiwanese foreign policy official said: “We want to ensure that China’s economic coercion against Lithuania will be offset by our trade and investment efforts.”

On Monday, the state-owned Taiwan Tobacco and Liquor Company snapped up a batch of 24,000 bottles of Lithuanian rum rejected by Chinese customs. Huang said on Wednesday that Taiwan had seized 120 Lithuanian export containers blocked by China.

The Taiwan representative said that he expects the new fund’s priority investment areas to include semiconductors, lasers and biotechnology.Taiwan also Sure Fintech is a possible area of ??cooperation. Vilnius has more regulated Fintech companies than any other EU country.