President of the Republic of Lithuania President of the Republic of Lithuania

The President and European Commissioner Virginijus Sinkevičius discussed the EU’s most pressing issues

2021-12-27

On Monday, President Gitanas Nausėda met with European Commissioner Virginijus Sinkevičius to discuss Lithuania’s preparations for the implementation of the European Green Deal as well as relations between Lithuania and China.

During the meeting, the President and Virginijus Sinkevičius discussed possible support from the European Commission to solve the current situation regarding China’s actions against Lithuania. The President stressed the importance of joint and prompt actions of the European Union.

According to Gitanas Nausėda, in addition to the European Commission’s instrument for fighting economic coercion announced this month, it is necessary to start building a higher-value and shorter production chain economy as soon as possible by using investments from the European Union’s Recovery Fund for business. Investments in chips, green energy, biotechnology, electromobility, and other industries as well as investments to boost exports are important.

"We must provide financial instruments to help domestic businesses cope with the imbalance of working capital. We must use diplomatic means to talk to Lithuania’s export and investment partners in Europe, the United States and other markets as well as consult with the European Commission,” the President said.

Gitanas Nausėda and Virginijus Sinkevičius also discussed the introduction of pollution taxes from 2023 onwards: excise duties on carbon dioxide, which would increase the tax burden on many energy products, and an annual car pollution tax.

According to the President, the new taxes should be targeted at changing people’s behavior, not at increasing poverty. Money raised from taxes cannot be used only to fill the budget. Otherwise, it would discredit public attitudes towards the fight against climate change.

It is important to create additional financial incentives that would lead to changes in the behavior of middle and lower income people, Gitanas Nausėda said. It is also important to support climate-neutral solutions to municipal transport, in particular to strengthen public transport infrastructure.

An amendment to the Constitutional Law on the Implementation of the Fiscal Treaty, initiated by the President and submitted to the Seimas on December 21, focuses on broader opportunities for municipalities to implement climate change and digitization projects.

The President‘s Communication Group

Last updated 2021.12.27 20:20

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