Identification Of Exemption Under National Jurisdiction In "commercial Transaction" Behavior

In international law, state immunity is one of the most important and complex issue. Itis important because it concerned with national interests. Its complexity mainly reflects inthe identification of commercial transactions. State immunity has a close relationship withthe country’s sovereignty and has an important impact on the country’s foreign trade. In aword, state immunity is playing a more and more important role in the modern world.This article mainly focuses on the identification of commercial transactions. In thefirst part, the assay analysis two theories of state immunity, which of them are absoluteimmunity and restrictive immunity. As for what is restrictive immunity and which are theexceptional situations, different countries have different regulations. But there is one thingin common, all these restrictive immunity countries hold the view that one country’scommercial activities should not be given state immunity.In the second part of this assay, after considering the international and internallegislations, combined with the cases from all over the world, we should come to theconclusion that commercial activity should be defined both in direct and indirect ways. Asfor the identification of commercial transaction, the assay gives priority to consideringboth the nature and the purpose of the activity.In the third part, the assay study on the typical cases which China has experienced inthe recent years, from these cases,the author summarize China’s insufficient on this issueand give some advice on how to improve in the future.The final part is the conclusion of the assay. In the present, China still has much roomfor improvement, for example, to improve relevant laws, change the position from absoluteimmunity to restrictive immunity, especially to clear the identification of commercialtransactions. To establish Chinese State immunity Law, there are three aspects should beincluded, they are the conception of commercial transaction, the criterion to identifycommercial transaction and the commercial exception of state immunity.