China International Economic and Trade Arbitration Commission (CIETAC), adhering to the principle of independence and impartiality，is committed to promoting international and domestic commercial arbitration, enhancing its international influence and competitiveness, building up the credibility of arbitration, and providing Chinese and foreign parties with fair and efficient arbitration legal services.

I. 2019 Work Summary

With the goal to promote the establishment of an internationalized business environment governed by law and a higher level of “opening up policy”, CIETAC endeavors to steadily develop the arbitration business in 2019, and its international influence has been significantly enhanced. Great achievements have been made in various aspects.

1. Caseload and total amount in dispute steadily increased, the level of internationalization of arbitration services was further improved.

In 2019, CIETAC accepted 3,333 new arbitration cases (a year-on-year growth of 12.53%), including 2,716 domestic cases (11.31% more than 2018), and 617 foreign-related ones (18.20% more than 2018), of which 66 were between non-Chinese parties (83.33% more than 2018). The total amount in dispute was RMB 122.04345 billion (a year-on-year growth of 20.13%). The total amount in dispute of foreign-related cases was RMB 38.07889 billion (with a year-on-year growth of 30.79%). Cases with disputed amount over RMB 100 million totaled 211, a year-on-year growth of 23.39%, of which 19 cases were cases with disputed amount over RMB 1,000 million. The parties involved were from 72 countries and regions (with a growth of 12 countries, 20% more than 2018). The number of cases in process was 2,347, a year-on-year growth of 16.07%. 3,146 cases were concluded, a year-over-year growth of 24.64%. In 106 cases, English, English and Chinese were used as the arbitration languages. There were 75 appointments of foreign arbitrators in 75 cases. There were 21 types of cases, including but not limited to disputes arising out of the sale of goods, equity investment and equity transfer, service contract, construction projects, electromechanical equipment and financial transactions. 146 domain name cases were accepted, and 147 cases were concluded.

In general, the number of cases accepted, the dispute amount of cases, the number of cases with disputed amount over RMB 100 million, and the number of nationalities of involved parties have reached new heights. High-quality cases, major cases and new types of cases have increased. In the meantime, the complexity of cases also increased. In particular, the cases with international factors significantly increased, and foreign-related cases or cases involving non-Chinese parties only have remarkably increased. There were more cases in which parties choose to apply  international conventions and foreign laws, including the United Nations Convention on Contracts for the International Sale of Goods, and the law of Laos, Australia, Cayman Islands, Italy, South Korea, Hong Kong. The statistics demonstrated that the capacity of CIETAC to provide high-quality and efficient arbitration legal services for the global commercial subjects has been continuously improved, and the degree of internationalization has been further increased.

2. Efforts made to improve the quality and efficiency of case management and continuously improve the level of informatization and modernization.

(1) CIETAC continuously strengthened procedural management services. In 2019, about 180 thousand procedural orders were issued, 2,980 tribunals were formed, and about 5,200 appointment/selection of arbitrators were made, 72 .jurisdictional decisions were made, 36 decisions on challenging of arbitrators were made, over 3,100 draft awards were scrutinized and the expert advisory committee meetings were held for five times. CIETAC adhered to the practice of inspecting case procedures to improve the management quality, focused on solving major and difficult cases, timely identified and resolved existing problems, and effectively promoted the operation of the arbitration procedure.

(2) CIETAC vigorously promoted information construction. The online filing system was launched (190 cases were filed online), thus significantly improved the efficiency. It improved the function of CIETAC Corporate WeChat Platform, enabling arbitrators to handle cases online more conveniently and efficiently. It reformed the management of official seals and promoted the use of electronic seals. It improved the video communication function, and made remote oral hearings, remote training, and coordination of the headquarter and the branches more convenient. It strengthened the top-level design, advanced the overall modernization and informatization of the case managing system and the case filing service, and improved the smart arbitration services.

3. Major arbitration activities were successfully held with great achievements, and in turn promote the establishment of a new system of open economy.

(1) The 2019 China Arbitration Summit was hosted. The event was co-organized by CIETAC, the International Council for Commercial Arbitration, and the All-China Lawyers Association. Luo Dongchuan, vice president of the Supreme People's Court, Liu Zhenyu, vice minister of the Ministry of Justice, Lu Pengqi, vice chairman of the China Council for the Promotion of International Trade, and Secretary-General of the United Nations Trade Law Commission Ms. Anna JOUBIN-BRET, Honorary Chairman of the International Council for Commercial Arbitration, Mr. Donald Donovan, and other speakers made speeches. The leaders and representatives of more than 20 international arbitration institutions and hundreds of Chinese and foreign guests attended the meeting, sharing Chinese and foreign arbitration experiences. This event improved the international influence of China's arbitration, and becomes an important window for the international exchange for China's arbitration.

(2) The Roundtable Forum of Belt and Road Arbitration Institutions and the Roundtable for Leaders of Belt and Road Arbitration Institutions (Private Session) were held. The Roundtable Forum was initiated by CIETAC and jointly hosted by 8 well-known international arbitration institutions including the International Chamber of Commerce Arbitration Institute (ICC), American Arbitration Association (AAA), German Arbitration Institute (DIS), Hong Kong International Arbitration Centre (HKIAC), Stockholm Chamber of Arbitration Institute (SCC), Singapore International Arbitration Centre (SIAC), Cairo Regional International Commercial Arbitration Center (CRCICA), Vienna International Arbitration Center (VIAC). Directors and representatives of arbitration institutions, hundreds of Chinese and foreign arbitration institutions attended the meeting. During the forum, CIETAC initiated and announced the Beijing Joint Declaration of the Belt and Road Arbitration Institutions with nearly 30 international arbitration institutions and 13 domestic arbitration institutions and proposed an initiative to jointly build a closer cooperation mechanism for the “Belt and Road” arbitration institutions and to promote together the construction of the “Belt and Road” rule of law.

(3) More than 50 events were held in China Arbitration Week, including the “Annual Report on International Commercial Arbitration in China” press conference, the Tang Lecture, Arb-Med-Arb Mock Hearing, China Youth Arbitration Forum and a variety of seminars on specific topics, etc., with more than 6,000 participants all together, receiving very positive response among the domestic and international arbitration professionals. Moreover, the CIETAC branches (arbitration centers) work with local legislative, judicial, administrative, higher education institutions, business associations, arbitration institutions, and law firms, and carried out large-scale activities for the promotion of Chinese legal and arbitration system. The China Arbitration Week has become an important platform for promoting the legal system of arbitration and promoting international arbitration exchanges and cooperation.

(4) Forum on System Innovation and Law of Free Trade Zone was held. CIETAC did researches on creating a new dispute resolution system to promote the establishment of a business environment based on the rule of law in the free trade zone.

(5) The Inaugural Greater Bay Area Summit was held in Hong Kong. Attendees from all walks of life participated with great enthusiasm, where the consensus of the Hong Kong legal community to promote the development of the Guangdong-Hong Kong-Macao Greater Bay Area was reached.

(6) Cross-strait arbitration exchanges were strengthened. CIETAC assisted in organizing the First Cross-Strait Business Forum in Xiamen and the Second Cross-Strait Arbitration Forum in Pingtan Free Trade Zone in Fujian, which promoted cross-strait arbitration legal exchanges.

4. International legal and arbitration exchanges and cooperation were extensive, and new achievements were made in participating in global governance.

(1) CIETAC actively participated in the governance of international arbitration. As an observer, CIETAC participated in 4 working group meetings of UNCITRAL, i.e. arbitration and mediation, online dispute resolution, investment dispute resolution, and others, and contributed to  the discussion and formulation of relevant documents, etc., presenting Chinese perspective and wisdom. CIETAC Participated in the discussion of the United Nations Convention on International Settlement Agreements (Singapore Convention), and provided opinions and suggestions to the development of the Singapore Convention based on its experience of “combination of arbitration and mediation”, and actively promote the application of the Convention and the mediation in a wider area.

(2) The international arbitration cooperation was continuously deepened. CIETAC have signed Memorandum of Understanding with 13 international dispute resolution institutions including the French Arbitration Association, the San Diego Chamber of Commerce Arbitration and Mediation Center, the Singapore International Mediation Center, the Asian International Arbitration Center, the Indonesian National Arbitration Center (BANI), the Kazakhstan International Arbitration Center, the Pakistan International Investment and Commercial Arbitration Center, the Lithuanian Commercial Arbitration Institute of Vilnius, the Tashkent International Arbitration Center, the Polish Chamber of Commerce Warsaw Arbitration Institute, the Madrid Bar Association, the Indonesian Institute of Independent Arbitrators and Mediators, and the Thai Arbitration Center to establish closer linkages with colleague institutions and to provides convenience and mutual support for the “Belt and Road” commercial dispute resolution.

(3) International arbitration exchanges were actively carried out. CIETAC hosted or co-organized nearly a hundred large-scale forums and major events with institutions including the International Council for Commercial Arbitration, the International Chamber of Commerce Arbitration Court and lawyers associations, and was invited to attend more than a hundred arbitration conferences. CIETAC visited renowned over 90 law firms and large enterprises, received more than 30 group visits from industry/business circles and arbitration professionals, government officials, and university student delegations from various countries/regions. CIETAC organized a number of groups to conduct international arbitration exchange activities, which further enhanced its international influence.

5. The public legal functions have been fully exercised, and China's arbitration legal system has been actively promoted.

(1) The 17th CIETAC Cup International Commercial Arbitration Moot was held. The “CIETAC Cup” uses English as the competition language and introduces in problems used in international competition. Nearly 700 students from 64 famous university teams across the country participated in the competition with more than 150 Chinese and foreign arbitration professionals serving as judges and 135 hearings being arranged. Awards including the champion, the runner-up and the best oralists were presented. The scale of the event reached a new record, and the event's influence has been further improved. The CIETAC Cup has become an important channel for the selection and training of young foreign-related legal talents.

(2) The first “CIETAC International Investment Arbitration Moot” was held. More than 100 teachers, students and judges from 14 teams of well-known universities nationwide participated in the competition, which promoted the development of investment arbitration practice and trained the country's needed talents in the field of foreign investment.

(3) The “Chinese Lawyers Training Program” of the British Bar Association continued to operate. CIETAC organized pre-course training and candidate selection. Nearly 30 Chinese young lawyers were selected to attend the training in the UK, who were provided with opportunities for professional learning and practical observation in the field of international arbitration, and also promoted the exchange of Chinese and foreign legal culture.

(4) Training programs for lawyers were held. Nine moot sessions of lawyer practice training were held, with more than 1,000 newly qualified lawyers participating, which provided an platform for them to get better understanding of arbitration practice.

(5) Research on the “ Belt and Road” arbitration law was actively conducted. CIETAC organized and published “Research on the International Arbitration System of the Countries along the Belt and Road” and completed 25 countries’ research reports. The research results of 6 countries in 2019 will be concluded soon. “Selection of Arbitration Cases of the Belt and Road Arbitration” was published, which included typical cases of international arbitration, and provide theoretical and practical references for resolution of disputes involving “Belt and Road” and international economic and trade investment.

(6) Arbitration research journals were published regularly. The “Annual Report on Foreign-related Arbitration” (Chinese and English versions) and “Arbitration and Law” are published regularly every year. The “Annual Report on China International Commercial Arbitration” (Chinese and English versions) has been issued for four consecutive years, which has great influence in domestic and foreign arbitration circles.

(7) Research on arbitration legislation was actively conducted. Cooperating with the Ministry of Justice, CIETAC invited experts to put forward suggestions on more than ten topics for amendments of the Arbitration Law and the Administrative Measures for the Registration of Arbitration Institutions etc. to promote the improvement of China's arbitration legal system.

6. The management of arbitrators and case managers were strengthened, and the credibility of arbitration was continuously improved.

(1) The institutional construction was strengthened. In line with the new situation, new changes and new requirements, CIETAC formulated or improved the normative documents such as the Code of Arbitrators, the Code of Conduct for the Arbitrators, the Measures for the Scrutiny of Arbitral Awards, the Code of Conduct for Tribunal Secretaries, and the Rules for Supervising the Arbitration Cases to improve the compliance of arbitrators and case managers on professional ethics and conducts.

(2) Measures on risk prevention were executed. The mechanism of inquiry in circumstances of the same arbitrator nominated by specific law firm for multiple times was initiated, in order to prevent potential risks of violations, strengthening supervision and management, and ensuring integrity and justice in case management.

(3) CIETAC stick to a high threshold for selection of arbitrators. Five training activities for arbitrator selection were held in Beijing, Shanghai, Hong Kong, and other cities to prepare for the update of panel list of arbitrators.

(4) To improve the capacity of arbitrators in hearing cases, CIETAC carried out more than 20 training activities and lectures on specific topics, with thousands of participants involved, which continuously improved the ability of arbitrators on case handling and professional literacy.

(5) The training of case managers was reinforced. CIETAC newly recruited 11 case managers, emphasized to them the sense of responsibility and awareness of service, held training sessions every quarter, and sent several outstanding colleagues to the UK to participate in international arbitration legal training activities, in order to improve their professional level and vision.

7. Give play to the advantages of alternative dispute resolution and enhance the ability to resolve social conflicts.

(1) The panel list of commercial mediators was issued. 188 domestic and foreign professionals were employed as mediators, including 29 overseas mediators from 9 countries and regions, providing access to legal professionals for parties to choose mediation and one-stop dispute resolution services.

(2) The list of experts for construction disputes review was formed. 107 experts in the field of construction engineering review were invited to join the list, with an aim to promote professional and efficient low-cost settlement of construction project disputes.

(3) The first decision by emergency arbitrator involving the suspension of a foreign party liquidation was made. The decision was made at the request of the parties, which has been performed voluntarily by the parties, properly resolved the issue.

(4) The first case that a party sought help from third-party funding emerged. Third-party funding cases are important for the innovation in China arbitration practice and they provide useful references for amending the arbitration law and arbitration rules.

II. Major tasks in 2020

CIETAC will focus on improving the arbitration mechanism and the credibility of arbitration, adhere to the principle of independence and impartiality, and continue to improve the quality and efficiency of case management. CIETAC will also apply new concepts of developments, strive to provide Chinese and foreign parties with first-class international professional arbitration services, promote the high-quality development of arbitration, contribute to building an international business environment ruled by law, and promote higher levels of opening up.

1. CIETAC will continue to push forward the governance reform, optimize the internal governance structure, complete the update of panel list of arbitrators, give full play to the functions of the commission, and strive to make greater achievements in perfecting institutional design.

2. Efforts will be made to improve the quality, the efficiency of case management and competitiveness of CIETAC. CIETAC will focus on improving the quality of case management, and improving the scrutiny of arbitral awards and expert advisory system for major difficult cases. CIETAC will simplify and optimize the case management process, improve the efficiency of case management and raise the level of professionalism, internationalization, and modernization of case management.

3. CIETAC will strengthen institutional construction and further improve the service for parties. It will continue to develop the multi-level alternative dispute resolution mechanism, to strengthen the unified and effective management of the headquarter and the branches, to upgrade the branch construction, and give full play to the overseas branches in the process of international development.

(4) CIETAC will strengthen the construction of the arbitrator team and focus on enhancing the credibility of arbitration, smoothly complete the renewal of panel list of arbitrators, and build a team of international and professional arbitrators. It will assist arbitrators by providing professional training in order to further improve the professional capacity of arbitrators. It will improve the supervision and management mechanism, ensure code of conduct to be complied with, and guarantee the integrity and impartiality of the arbitrators in handling cases.

(5) CIETAC will strengthen the construction of the case managers’ team and provide first-class arbitration services for parties. It will effectively raise sense of responsibility and service, and further improve the approaches of work. It will innovate the talent management system, provide more training for case managers, and focus on improving the internationalization and professional service capabilities of case managers.
(6) CIETAC will host major arbitration activities to expand arbitration’s influence continuously. It will continue to hold major events such as China Arbitration Week and the CIETAC Cup International Commercial Arbitration Moot, and make efforts to prepare for the 40th Anniversary of the United Nations Convention on Contracts for the International Sale of Goods, which will be co-hosted by the UNCITRAL, CIETAC and other institutions, to enhance the international influence of China's arbitration. It will continuously develop traditional commercial arbitration, keep on expanding the business scope to key industries and newly emerging industries, and vigorously improve arbitration services involving the “Belt and Road” countries, Free Trade Zone, Guangdong-Hong Kong-Macao Greater Bay Area and other areas.

(7) CIETAC will strengthen foreign exchanges and cooperation to promote international arbitration. It will continue to speak for the China arbitration professionals, and participate in major international dispute resolution conferences such as the United Nations Trade and Law Commission conferences, and play its due role in international governance.

(8) CIETAC will continue to do research on arbitration theory and contribute to the improvement of the arbitration legal system. It will publish the “Annual Report on China International Commercial Arbitration” “Research on the International Arbitration System of Countries along the Belt and Road” “Case Compilation of CISG” “China Foreign-related Arbitration Annual” and “Arbitration and Law” and other publications. It will summarize the practical experience of foreign-related arbitration, draw on the advanced experience of international arbitration, and provide more theoretical and practical support for the amendment of China Arbitration Law and the improvement of the China arbitration legal system.

(9) CIETAC will perfect the arbitration rules to upgrade its level of services. It will draw on the latest achievements of international arbitration and combine with its arbitration practice to further improve the internationalization and professionalization of its arbitration procedures and services, and set to the research on the revision of its rules. It will also initiate to do research on online expedited arbitration rules to improve the international level of services.

In the new year, with the aim to build a more international and first-class arbitration institution, CIETAC will march forward with enthusiasm and resolution to build itself into a more international first-class arbitration institution and to make greater contributions to the development of arbitration.