Brussels formally launched its WTO dispute in early 2022 after Beijing imposed commerce restrictions in opposition to Lithuania in late 2021 as a result of Vilnius deepened its ties with Taiwan, which China sees as a breakaway province.
The case dealt a blow to the relations between Beijing and Brussels, with the EU accusing China of discrimination and coercion in opposition to its japanese member Lithuania.
The high-profile case additionally motivated Brussels to spice up its personal commerce arsenal, with instruments such because the anti-coercion instrument, which successfully permits the European Fee to analyze whether or not financial coercion has taken place in opposition to an EU nation and to suggest countermeasures.
A 12 months in the past, the WTO granted a EU request to escalate the dispute to arrange a panel, which successfully put the matter within the fingers of judges. Beneath WTO guidelines, the EU now has one 12 months to renew the dispute, in any other case the method lapses and the proceedings will cease.
