Crossing Borders: Exploring China's Belt and Road Initiative

Welcome to the latest edition of Crossing Borders, a periodic review of developments in international arbitration across the world.

In this edition, we focus on China's Belt and Road initiative and its impact on international arbitration. We explore some of the key risks and mitigation strategies investors can use when making their investments along the Belt and Road, the importance of tailoring investment protections through careful structuring of investments, drafting of dispute resolution clauses and use of commercial and investment treaty arbitration protections. We also look at an area of significant practical importance to the initiative: the recognition and enforcement of foreign arbitral awards in China.

We then take the measure of the initiative from key stakeholders, the Secretaries General at the HKIAC and CIETAC HK, and we provide updates on relevant developments in international arbitration practice in Australia. Finally, we examine key areas of legal development which will, we expect, impact Belt and Road disputes: enforcement of CIETAC HK awards in Mainland China, third party funding and waterfall clauses in arbitration agreements. We also provide an update on a recent Hong Kong conference dealing with Belt and Road risk.

We hope you enjoy reading this edition and welcome your feedback and questions as always.