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Chinese Journal of International Law Advance Access published online on September 13, 2007
Chinese Journal of International Law, doi:10.1093/chinesejil/jmm032
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© The Author 2007. Published by Oxford University Press. All rights reserved

The Application of the Principle of Proportionality in Tecmed v. Mexico

HAN Xiuli*

Correspondence: * PhD; Teacher of International Economic Law (email: hanxiu777{at}xmu.edu.cn), School of Law and International Economic Law Institute, Xiamen University, People's Republic of China. This paper is based on a doctoral dissertation submitted to Xiamen University in 2006, and the paper was completed in July 2007.

The principle of proportionality has been applied in the case of Tecmed v. Mexico, an arbitration conducted under the auspices of the International Center for Settlement of Investment Disputes. Analysis indicates that its application will be expanded further. The principle of proportionality demands more than the non-discrimination treatment principle and is even regarded as an important principle included in the fair and equitable treatment principle. While most of new bilateral investment treaties that China has entered into include the fair and equitable treatment principle, the right of examination case by case has been gradually abandoned by China as the host country on the whole and international law is receiving more and more applications, the initiatory application of the principle of proportionality in arbitrations concerning international investment and expropriation should arouse attention among Chinese scholars and authorities.


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