In 2025, against the backdrop of continued economic recovery and a complex global environment, China’s dispute resolution market has maintained steady growth. Litigation caseloads remain at historically high levels, with more than 46 million cases accepted nationwide in 2024 and over 21.09 million cases in the first half of 2025. Multi-tiered mechanisms such as pre-litigation mediation and online dispute resolution are becoming increasingly sophisticated, while civil and commercial, intellectual property, and cross-border disputes are rising as a proportion of total caseloads. Arbitration has also sustained strong momentum: institutions such as the China International Economic and Trade Arbitration Commission (CIETAC) reported record highs in both case numbers and amounts in dispute, with continued growth in cross-border cases and the recognition and enforcement of Chinese arbitral awards overseas. Meanwhile, the revised Arbitration Law has been formally adopted and will come into force in 2026, introducing concepts such as the arbitration seat, ad hoc arbitration, and the kompetenz-kompetenz doctrine. These reforms mark a significant step toward alignment with international practice, enhancing the independence and efficiency of arbitral procedures in China.
Regionally, Beijing and Shanghai continue to serve as hubs for the highest judicial authority and leading international arbitration institutions, setting benchmarks in financial, intellectual property, and cross-border commercial disputes. Guangdong—particularly the Greater Bay Area—has emerged as a key frontier for cross-border dispute resolution, driven by dynamic international trade and institutional cooperation with Hong Kong and Macao. Leveraging strengths in the digital economy and manufacturing, Zhejiang and Jiangsu have developed distinctive practices in handling internet and intellectual property cases. In the southwest, the accelerated development of the Chengdu-Chongqing Economic Circle has spurred the establishment of regional international arbitration centers, commercial mediation hubs, and foreign law ascertainment centers, with integrated one-stop multi-tiered dispute resolution mechanisms enhancing service capacity and positioning the region as an emerging growth driver.
Across practice areas, commercial disputes remain the primary growth engine, with notable increases in equity repurchase, investment exit, and labor disputes, alongside continued activity in financial and contractual matters. Intellectual property disputes continue to expand, supported by specialized IP courts and the consolidation of the “three-in-one” model. Construction disputes remain prevalent under pressure from the real estate sector and infrastructure financing, with contract performance and payment issues at the forefront. Cross-border disputes are also on the rise, supported by initiatives such as free trade zone arbitration, the expansion of foreign arbitral institutions’ activities in China, and the rollout of regulations including the Regulations on the Handling of Foreign-related Intellectual Property Disputes and the Work Guidelines of the Supreme People's Court for the One-Stop Diversified International Commercial Dispute Resolution Platform (for Trial Implementation), all of which reinforce China’s growing presence in the global dispute resolution ecosystem.
In the legal market, dispute resolution practices are showing a clear stratification: leading firms continue to dominate, while firms of different tiers are developing distinct areas of focus. Mid- to large-sized firms with both cross-border capabilities and full-service platforms retain a strong edge in major litigation and arbitration cases. At the same time, boutique firms remain highly active by leveraging their deep expertise in niche sectors, carving out competitive positions in specialized markets.
Across the board, firms are accelerating digital and intelligent transformation, experimenting with AI and other technologies to enhance organizational management, workflows, collaboration models, and knowledge systems, thereby expanding the boundaries of legal services. Against the backdrop of tighter regulation and faster talent mobility, firms are placing greater emphasis on internal compliance and risk controls, reinforcing quality assurance and conflict-of-interest safeguards. They are also driving their practices toward greater standardization, productization, and process discipline—better positioning themselves to handle complex disputes and meet clients’ demand for high-end legal services.
Overall, guided by the goal of building a strong rule-of-law nation, demand for dispute resolution services in China is expected to grow steadily as market confidence returns and economic momentum builds. Looking ahead, the sector is poised to assume an even more pivotal role—supporting the real economy, protecting parties’ rights, and strengthening China’s presence within the global dispute resolution system.
