China Imposes Sanctions on Lithuanian Banks in Response to EU

• China has banned Lithuanian banks from conducting business on its territory.
• The sanctions are a response to the EU's restrictions on Chinese financial institutions.
• China hopes to improve relations with Europe through these actions.

This is reported by ABC News, RBC Ukraine.

China has imposed economic restrictions on two Lithuanian banks, UAB Urbo Bankas and AB Mano Bankas, stating that this is a reaction to the new sanctions of the European Union. The sanctions, which came into effect on September 9, include restrictions on the activities of Chinese financial institutions that support Russia during the war in Ukraine.

According to the Ministry of Commerce of China, banks from Lithuania are prohibited from cooperating with individuals and entities in China. The ministry's statement indicates that the EU's actions "seriously harm the legal rights and interests of Chinese companies" and also negatively impact economic and trade relations between China and the EU.

In response to the EU sanctions, China expects European countries to evaluate their ongoing relations with China and to stop "unfair practices" in the international arena. This decision has become part of a broader expansion of the list of restrictions against European companies, which was previously implemented in response to Chinese legislation banning foreign sanctions.

The EU sanctions, which were adopted on July 18, also included new financial and trade measures, among which was the ban on the activities of Chinese banks that assist the Kremlin. In this context, NATO earlier referred to China as a "significant factor" in Russia's actions.

Tags: China/Europe/Politics/Economy