International trade and investment are both important elements of international economic activities. However, trade and investment regimes differ within international economic law. International trade in goods and services has been largely governed by the World Trade Organization (WTO) law, including its well- developed dispute settlement system. In contrast, foreign direct investment (FDI) is managed through nearly 3000 bilateral or regional agreements and investment arbitrations under an array of arbitral rules. In spite of this, in many aspects, trade and investment disciplines share some similar features. For instance, they both promote globalization and include similar substantive protections—particularly rules against discrimination. They cover issues of service, intellectual property and investment protection. They also use third-party tribunals to resolve dispute. They are often contained in the same free trade agreement.

Recently, trade and investment arbitration regimes are increasingly converging and have closer interactions. The WTO law has been used to aid the interpretation of BIT in many cases by the investment arbitral. It also has been invoked as a legal claim by investors (such as tobacco and pharmaceutical company) to redress BIT violation. These new development might invite discussion of whether a more consistent international economic law should be established. The main topic to be discussed in this semester will focus on the overlap, difference and convergence between the trade and investment regimes.

PART I Convergence on trade and investment norms

1. Introductory lecture: (1)Trade and Investment: what’s the difference; (2)WTO and investment protection (3) Overview of current investment treaties
2. Most Favouable Nation treatment in WTO and BIT
3. National Treatment in WTO and BIT
4. Emergency measures, necessity test in WTO and BIT
5. BIT and GATS: Investment protection and service promotion under the ECFA
6. BIT and SPS Agreement
7. TRIPS Agreement and BIT: (1) tobacco control/Philip Morris-Australia case (2) patentability/Eli Lilly- Canada case (3) compulsory licensing

PART II WTO dispute settlement and investment arbitration
1. Introductory lecture on International Arbitration (guest speakers: Professor Joshua Karton & Professor Winnie Ma)
2. Introductory lecture on International Arbitration (guest speakers: Professor Joshua Karton & Professor Winnie Ma)
3. Comparative issues: Standing, Panelist (arbitrator) and amicus brief
4. Comparative issues: precedent, remedies and countermeasures
5. WTO violations and fair equitable treatment/ umbrella clause
6. BIT remedies to violation of TRIPS Agreement
7. Parallel WTO and investment arbitration proceedings (e.g. softwood lumber case)
8. Withdrawing GSP for enforcing the compliance with the ICSID arbitral award