By John O’Donnell and Andrius Sytas FRANKFURT/VILNIUS (Reuters) – China has told multinationals to sever ties with Lithuania or face being shut out of the Chinese market, a senior government official and an industry body told Reuters, dragging companies into a dispute between the Baltic state and Beijing. China downgraded its diplomatic ties with Lithuania last month, after the opening of a representative office by Taiwan in Vilnius. Lithuania’s ruling coalition had agreed in November last year to support what it described as “those fighting for freedom” in Taiwan, putting its relations with C…

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