Photo : REUTERS/Janis Laizans
27 January 2022, Thursday | NIAS Europe Daily Brief #109
IN FOCUS
By Ashwin Dhanabalan
Taking on China: EU, Lithuania, and France
In November 2021, Lithuania approved the opening of a Taiwan representative office in Vilnius. Since then, China's crackdown on the diplomatic ties of Lithuania and Taiwan has affected Lithuanian exports. The trade from other countries such as France, Germany, and Sweden, were also directly affected as they were a part of the bigger supply chain to Lithuania. France, also holding the rotating EU presidency, vowed to take measures against the Chinese actions. What are the options available for the EU?
EU's anti-coercion instrument has not been enacted yet; it will not be implemented until an agreement is reached. France hopes to implement the legislation by the summer of 2022, but a new legislation can take several years to come into force. Till then, French President Emmanuel Macron has assured that the decisions would only be accepted, keeping in mind the overall EU-China policy agenda. Therefore, the EU has resorted to impose pressure on China solely via diplomatic channels.
Responses from Lithuania and Slovenia
China's tactics of downgrading Lithuanian diplomatic ties to chargé d'affaires level and taking a firmer stance through multinational companies (MNCs) have led the EU to unite and take a more affirmative stance against it. Lithuanian Parliament's Foreign Affairs expert Žygimantas Pavilionis said: "This is about the weaponization of trade. This is about the weaponization of European value chains." China's weaponization of European value chains could lead to the EU and regional countries stepping up their Indo-Pacific strategy.
Subsequently, Slovenia has confirmed setting up trade offices with Taiwan. Slovenian Prime Minister Janez Janša announced his support to the "sovereign decision" of Taiwan. He also commented on the Lithuanian issue, saying: "Frankly speaking, there is a vast majority of the EU member countries holding some kind of representative offices with Taiwan. And Lithuania is not [an] exemption." However, Slovenia will continue to be a part of the 16+1 group led by Beijing, unlike Lithuania.
Reactions of MNCs in the EU
German MNCs have been pressuring the Lithuanian government to withdraw its dispute with China. China has been threatening to retaliate against the companies that operated or supplied to Lithuania. The diplomatic debacle has gravely hit the German car sector. The German-Baltic Chamber of Commerce said: "the basic business model of the companies is in question and some ... will have no other choice than to shut down production in Lithuania." Nonetheless, the Federation of German Industries announced a tough stance to be taken on China's economic sanctions and human rights policies. They also stated that Beijing's actions amounted to a trade boycott.
France denounces Chinese genocide of Uyghur muslims
On 20 January, the French Parliament passed a resolution that officially recognized China's treatment of Uyghurs as genocide. The resolution by the National Assembly read: "... officially recognises the violence perpetrated by the People's Republic of China against the Uyghurs as constituting crimes against humanity and genocide." The non-binding resolution also calls on the French government to protect the interests of the minority group in China.
Socialist Party Chief Olivier Faure commented on this: "China is a great power. We love the Chinese people. But we refuse to submit to propaganda from a regime that is banking on our cowardice and our avarice to perpetrate genocide in plain sight." The Chinese embassy in France retaliated, saying the recent judgment would seriously damage China-France relations, stating: "...the French side is fully aware of the absurdity and harmfulness of this resolution."
European Parliament's resolution on Hong Kong
On 20 January, the European Parliament adopted a resolution on the violation of fundamental freedoms in Hong Kong, Kazakhstan, and Sudan. The Parliament condemned the deteriorating fundamental freedoms in Hong Kong as the government had imposed severe restrictions on various facets of human rights. Furthermore, the Members of Parliament noted the increasing legitimization of the authoritarian system internally and externally and urged the Council to impose sanctions against Hong Kong and Chinese officials responsible for the ongoing human rights crackdown.
References:
Andrius Sytas and John O'Donnell, "Analysis: German big business piles pressure on Lithuania in China row," Reuters, 21 January 2022.
Giorgio Leali and Stuart Lau, "French parliament puts pressure on Macron by declaring Chinese treatment of Uyghurs a 'genocide'," POLITICO, 20 January 2022.
"Human rights breaches in Hong Kong, Kazakhstan and Sudan," European Parliament, 20 January 2022.
Stuart Lau, "Slovenia to bolster trade ties with Taiwan, wading into row with China," POLITICO, 18 January 2022.
Judy Dempsey, "China's Bullying of Lithuania Spurs European Unity," Carnegie Europe, 18 January 2022.
Barbara Moens and Giorgio Leali. "EU resorts to bluff in its trade conflict with China," POLITICO, 13 January 2022.
IN BRIEF
By Joeana Cera Matthews and Padmashree Anandhan
DENMARK
Denmark announces to remove COVID-19 restrictions
On 26 January, Denmark Prime Minister Mette Frederiksen announced the removal of all the existing COVID-19 restrictions, despite increasing Omicron cases. Till now 46,000 new cases have been recorded, but the restrictions are set to be put off from 01 February. The Health Minister has also agreed on the removal of the restrictions stating the drive for revaccination is at a good rate. Overall, 82 per cent of the Denmark population stand fully vaccinated. (Thibault Spirlet “Denmark becomes first EU country to scrap all COVID-19 restrictions,” POLITICO, 26 January 2022)
GREECE
Prime Minister Mitsotakis apologizes over delay in handling the snow storm
On 26 January, the Greek Prime Minister Kyriakos Mitsotakis apologized for the state’s inability in tackling the intense snowstorm that the country was facing. He attributed the lag in the readiness of the government to evacuation procedures of those trapped in the storm due to delayed calculations of incurred damages. According to the meteorologists of the country, the warning for the storm was given early but the government reportedly ignored it. Mitsotakis said: “It is equally true, however, that the state mechanism is not yet at the point of readiness that phenomena of such great intensity require.” (Helena Smith, “Greek PM faces blizzard of anger as thousands stranded in Athens snow,” The Guardian, 26 January 2022)
NETHERLANDS
Netherlands world’s largest canal lock to facilitate entry of large ships
On 26 January, the Netherlands launched the world’s largest canal lock which connects the North Sea Canal with the port of Amsterdam. The construction project which was estimated to be completed by 2019 did not only get delayed but overshot the budget by EUR 300 million. The completion of the canal means an easy passage for large, modern cargo ships to reach Amsterdam. Apart from the economic benefit, with the advance of technical development it will facilitate accurate water level for larger ships to enter the canal. (“Netherlands unveils 'world's-largest' canal lock,” Deutsche Welle, 26 January 2022)
THE UNITED KINGDOM
Boris Johnson faces accusation over the partygate scandal
On 26 January, during the weekly session of the Prime Ministers’ Questions (PMQ), British parliamentarians raged accusations against Prime Minister Boris Johnson over the partygate scandal. The opposition leaders of the Labour Party and the Scottish National Party questioned Johnson’s actions and accused him of breaking his own laws during the pandemic. On 25 January, London Metropolitan Police force announced that an investigation into the events was underway and a report of the same was to be released soon. This report will decide whether or not Johnson and his staff broke the pandemic rules. (“UK PM Boris Johnson faces heat ahead of 'partygate' report,” Deutsche Welle, 26 January 2022)
REGIONAL
France: Normandy talks held; leaders reiterate need to maintain a ceasefire
On 26 January, the Normandy format talks were held in France’s Elysee Palace. The eight-hour-long meeting saw representatives from Ukraine, Russia, Germany and France discuss efforts to de-escalate Ukrainian tensions. The first meeting under the format since 2019, saw Ukraine being represented by Ukrainian President Volodymyr Zelenskyy’s adviser Andriy Yermak while Russia was represented by Kremlin envoy Dmitry Kozak. Despite the complicated nature of the talks, Kozak stated that there was just one common ground that all the parties agreed to, which was a ceasefire (in eastern Ukraine). This would be maintained according to the “accords,” referring to the Minsk Protocol. After the meeting, the Elysee Palace released a statement that said further dialogue would happen in two weeks at Berlin. (“Russia, Ukraine agree to uphold ceasefire in Normandy talks,” Deutsche Welle, 26 January 2022)
GENDER
Poland: Pregnant woman succumbs to death after doctors refuse abortion
On 25 January, The Guardian reported that a Polish woman, referred to as Agnieszka T, had died after doctors refused to terminate her pregnancy despite the foetus’s heartbeat stopping. On 21 December 2021, Agnieszka was admitted to the Blessed Virgin Mary hospital in Poland’s Częstochowa during the first trimester of a twin pregnancy. Within two days, the first foetus died in the womb; however, the doctors refused to remove it, citing the Polish legislation on abortion. This led to the quick deterioration of her health. The pregnancy was terminated on 31 December 2021 after the heartbeat of the second twin stopped. Agnieszka’s family has blamed the Polish government for having “blood on their hands”. Poland’s already restrictive abortion laws were further tightened in 2021, making it one of the most repressive in Europe. (Weronika Strzyżyńska, “Polish state has 'blood on its hands' after death of woman refused an abortion,” The Guardian, 26 January 2022)
SCIENCE AND TECHNOLOGY
EU General Court voids antitrust fine imposed on Intel
On 26 January, the EU General Court invalidated a European Commission fine of EUR 1.06 billion that was imposed on the US tech giant Intel citing antitrust matters. According to the ruling, the court maintained that the findings of the Commission were incomplete and failed to prove that Intel had given discounts to customers that accounted for anti-competitive effects. Intel had reportedly pushed other competitors out of the market. The Commission can further appeal to the European Court of Justice (ECJ). This is the second time the case is being examined; earlier, the ECJ had ordered a further study on the case citing a legal error. The EUR 1.06 billion fine was the fourth-largest penalty forwarded by the bloc's antitrust regulator. Google has been similarly fined and is now appealing against the same. (EU court annuls €1 billion Intel antitrust fine,” Deutsche Welle, 26 January 2022)
INTERNATIONAL
Ukraine: US and NATO issue written reply to Russian demands
On 26 January, the US declared that a written reply to Russian security demands had been delivered via the US Ambassador to Russia John Sullivan. The US Secretary of State Antony Blinken claimed the document made no concessions while addressing Moscow's concerns and raising those of Washington's allies. Blinken, who is expected to hold talks with his Russian counterpart, Sergey Lavrov, said that the letter could not be made public. Blinken justified this by stating, “diplomacy has the best chance to succeed if space was provided for confidential talks”. NATO has also sent a similar response to Moscow. Both the responses have maintained the US’ and NATO’s stance on the Russian demand that Ukraine is never given NATO accession; they stated NATO’s commitment to the open-door policy stayed put. (“US, NATO send written response on Russia′s security demands,” Deutsche Welle, 26 January 2022; Julian Borger, Angelique Chrisafis, Luke Harding and Andrew Roth, “US holds firm on Ukraine's right to join Nato in its response to Russian demands,” The Guardian, 26 January 2022)