China’s trade halt with Lithuania over Taiwan ties sends warning to Europe

Tough response to Baltic nation's decision to exchange diplomatic offices with Taiwan puts under EU under pressure

China's use of trade as a weapon in diplomatic disputes appears to be now targeted at Lithuania, home to fewer than 3 million people, after the Baltic nation agreed to exchange diplomatic offices with Taiwan.

But Beijing's unofficial halt to its already limited trade with Lithuania is more about sending a warning to the rest of Europe, analysts have said.