On August 7, a new international arbitration center was established in Singapore to deal with cases including small and medium-sized economic disputes.
The founding party Beihai Arbitration Commission (BAIAC) stated that Singapore, as one of the important countries in the settlement of international disputes, has provided services for the region’s “One Belt and One Road” initiative, Asian trade cooperation, and investment disputes between China and ASEAN parties. As China’s economic relations with Singapore and ASEAN companies continue to deepen, Singapore has become an ideal place for arbitration and mediation.
The Beihai Arbitration Commission pointed out that there are two important factors driving BAIAC’s establishment in Singapore, first because of small and medium-sized economic disputes, which are common in cross-border commercial transactions, and low-cost and efficient international arbitration has become a demand.
The association said that the second is Singapore as one of the important countries to resolve international disputes, providing services for the “One Belt and One Road” initiative in the region, Asian trade cooperation and disputes related to investment by Chinese and ASEAN parties. As China’s economic relations with Singapore and ASEAN companies continue to deepen, Singapore has become an ideal place for arbitration and mediation. At the same time, the Singapore Mediation Convention also supports this.
The statement pointed out that BAIAC will promote the establishment of the China-ASEAN arbitrator group to promote cultural exchanges and become an important aspect of expanding and deepening China-ASEAN regional economic cooperation.
The Beihai Arbitration Commission was established in 2003 and is headquartered in Guangxi. It has set up arbitration tribunals in 29 cities in China. The scope of cases accepted includes economic and trade, bank credit, internet finance, real estate, construction projects, etc.
Beihai Arbitration Commission establishes Beihai Asia International Arbitration Center in Singapore
Singapore, August 7, 2019
The Beihai Arbitration Commission announced today that it will establish an international arbitration center in Singapore, the Beihai Asia International Arbitration Center (BAIAC). This is the first time that the Beihai Arbitration Commission, headquartered in Guangxi Beihai, has established an international arbitration center. The Beihai Arbitration Commission was established in 2003 and has established arbitration chambers in 29 cities in China, including Beijing, Shanghai, Guangzhou, Shenzhen, Chongqing, Tianjin, Hangzhou, Chengdu, Kunming, Xi’an, Lanzhou, Yinchuan, Xining, Urumqi, Dalian, Zhengzhou. Haikou, Foshan, Dongguan and other places have provided a convenient domestic arbitration service system for the parties. In 2018, the Beihai Arbitration Commission filed more than 58,000 cases nationwide; in the first half of 2019, more than 47,000 cases were filed.
Two core factors contributed to the establishment of BAIAC in Singapore. First, small and medium-sized economic disputes are common in today’s common cross-border business transactions, and parties including Chinese people need low-cost and efficient international arbitration to resolve such disputes. Secondly, Singapore, as one of the important countries in the settlement of international disputes, has provided services to the region in relation to the “Belt and Road Initiative” initiative, Asian trade cooperation and investment in China and ASEAN parties. As China’s economic relations with Singapore and ASEAN companies continue to deepen, Singapore has become an ideal place for arbitration and mediation, while the Singapore Mediation Convention has also provided support.
Another initiative that BAIAC will promote is the establishment of a China-ASEAN arbitrator group to promote cultural exchanges. This will be an important aspect of expanding and deepening China-ASEAN regional economic cooperation.
BAIAC has appointed Professor Steve Ngo (Wu Weiwei) as Chairman. Professor Wu is a Singaporean arbitration practitioner with extensive experience in arbitrations in China, India, Indonesia and ASEAN. Outstanding individuals from the Asian Regional Council will also assist him in his work, including Professor PK Malhotra, former Minister of Law and Justice of India, Minister of Retired Justice of Sri Lanka, former Chief Justice Mohan Peiris, and managing partner of Frans Winarta Law Firm, Indonesia. Professor Winarta; Mr. Wang Yingwen, Senior Partner of Wanyi Law Firm, Nanning, Guangxi, China. The inauguration ceremony of BAIAC will be held in Singapore on August 8, 2019.
Zhu Jifan, deputy director of the Beihai Arbitration Commission, said: “As part of the extension of the Beihai Arbitration Commission to ASEAN, we have chosen Singapore as the first stop, taking into account the status of its Southeast Asian law and financial center. The Beihai Arbitration Commission will be close to all local stakeholders. Cooperation to establish one of the best international arbitration centers in Asia and to move towards becoming the preferred arbitration venue for parties to disputes in the region.”
Professor Wu said: “I am very pleased that Singapore has always been regarded as a neutral and trustworthy and respected place of arbitration. In recent years, the global arbitration industry has also faced many challenges. We have learned that many parties to the dispute believe that arbitration costs are high. The arbitration process is becoming more and more complicated. In general, Asia is a price- and culturally sensitive region, and we need to start thinking about the needs of the parties to the arbitration, especially small and medium-sized enterprises. I hope that BAIAC can meet these needs, and we are also looking forward to Serving the parties to the arbitration. We also look forward to working better with business associations, professional bodies and other regional arbitration centres to work together to improve the current arbitration industry.”
In order to achieve these goals, the BAIAC Arbitration Rules based on the UNCITRAL Arbitration Rules will be amended to include “small arbitral proceedings (simple procedures)” to deal with small disputes more quickly and economically. BAIAC’s fees will be stabilized at a more reasonable level to facilitate more arbitration for effective arbitration.