EU 'exercising WTO rights' in China trade row

European Trade Commissioner Valdis Dombrovskis has told the BBC that the EU are "working on finding an amicable solution" following a trade dispute with China.

The trade row was sparked when Lithuania allowed Taiwan to open a de facto embassy there, angering China which sees Taiwan as part of its territory.

The EU has accused China of illegal trade practices. China downgraded its diplomatic relations with Lithuania, but denies ordering a goods boycott. The case has been taken to the World Trade Organisation.