Question: The Standing Committee of the National People's Congress of China recently reviewed and passed the "Law of the People's Republic of China on State Immunity of Foreign Countries" in Sep. 1, 2023. This law adjusts China's previous position of "absolute immunity" and authorizes Chinese courts to accept cases involving foreign countries as defendants. May I ask why China has made this adjustment?
Answer: The formulation of the Foreign State Immunity Law is a normal legislative activity of the National People's Congress of China. This law, based on international practice, provides provisions on the issue of foreign state immunity, aiming to improve China's foreign state immunity system, provide legal basis for Chinese courts to hear civil cases involving foreign countries and their property, safeguard the legitimate rights and interests of the parties, safeguard the equality of national sovereignty, promote friendly exchanges with foreign countries, and assist China in opening up to the outside world at a higher level.
The Foreign State Immunity Law recognizes the basic principles of immunity enjoyed by foreign countries and their property in China, and provides for exceptions. It clarifies that Chinese courts can exercise jurisdiction over lawsuits arising from non sovereign actions of foreign countries, such as disputes involving commercial activities, related personal injury, and property damage. Under strict restrictions, compulsory measures can be taken against foreign countries' commercial activity property. This is fully in line with international law and national practice.
China firmly upholds the principle of national sovereignty and equality, will protect the legitimate rights and interests of Chinese citizens and legal persons in accordance with the law, and respect the exemptions that foreign countries should enjoy under international law.