A Critical Appraisal on China's Blocking Statutes from a Private Actor's Perspective

Abstract

This article examines the potential repercussions of China's blocking statutes on private actors. In recent years, China's strategy for countering unilateral sanctions has evolved from mere diplomatic protests to utilizing a legal toolkit, most notably through the promulgation of three blocking statutes between 2019 and 2021. This article argues that while a primary goal of China's blocking statutes is to protect the interests of private actors, this objective remains only partially fulfilled. Rather, the enforcement of these statutes may inadvertently precipitate additional challenges for private parties, such as heightened legal uncertainty, risk of exposure to conflicting legal obligations, and increased complexity in private dispute resolution. Given these predicaments, the article advocates that Chinese authorities give due consideration to the interests of private actors in the enforcement of blocking statutes. Specifically, it is recommended that Chinese authorities adopt a prudent enforcement approach and concurrently enhance the procedural support mechanisms for these statutes.