Studies On Indirect Expropriation At ICSID

Under international law, the expropriation of an investment is asource of much debate and uncertainty. In the early years, directexpropriation and the standard of compensation is the most important issuebefore the courts and in academic writing. Nowadays, because more and morehost countries try their best to attracting investment abroad, theirgovernment practice in direct expropriation instead of the direct taking.Currently, China is in the stage of the strategic structural reformof the economic system. In international business, China may become acapital exporter, and may also become a capital importer. In2012, PingAn Bank Co., Ltd.(“Ping An”) filled of award at ICSID. The respondentis the kingdom of Belgium. This is the first investor-state at ICSID forChina. From the above text can be seen, at ICSID, China is facing the riskof the respondent as a host country, but also China shall be flexibleduring the measuring of taking,especially in indirect expropriation.This dissertation analyzes indirect expropriation underinternational economic dispute settlement at ICSID. It focuses oncase-law identifying indirect expropriation, particularly certain "hard"cases that juxtapose the authority of an international tribunal with the generally-accepted freedom of action of national governments.It is divided into three part, the first of which provides backgroundinformation on indirect expropriation especially, and ends with a newdeparture of indirect expropriation. This part also focuses ondefinitions for indirect expropriation and deals with methods and sourcesidentifying indirect expropriation to fill the gaps. Part II presentsvarious paradigms for determining indirect expropriation in a number ofinternational legal documents. Additionally, an analysis of BilateralInvestment Treaties (“BITs”) which investors have relied upon will beshown. Further, Part II considers the element identifying indirectexpropriation at ICSID. Part III describes the case facts of “Ping Anv. Belgium”,and analyze and identifies the measure from the governmentof Belgium whether amounts to indirect expropriation or not. Thisdissertation offers a positive one. In particular, this part examines theintegration of China’s BITs and practice as well as the extent to whichChina will likely be a defendant in future investor-state proceedings.In conclusion, Part IV provides some comments and revisions about the BITsbetween China and other countries.