KKMP Senior Partner Alyona Kucher emphasized the growing competitiveness of Chinese law firms on the world stage, noting that “top companies from China are comparable to leading British and American firms in terms of expertise and skills". An example is Fangda Partners, which won the tender to advise on M&A transactions for Saudi Arabian Oil Company.

However, amid the success of Chinese lawyers, international law firms are facing a crisis: the total number of international law firms has decreased from 244 to 179. Alyona Kucher highlighted three key factors influencing this trend:

• the departure of Western companies;

• the preference of foreign enterprises for “red circle” firms with lower prices; and

• a decrease in the number of Chinese IPOs in the US.

To remain in China, international law firms are establishing joint ventures with local firms, which allows them to provide comprehensive services and management.

Alyona Kucher notes:

In fact, international law firms can provide legal services under Chinese law, provided they obtain the appropriate license, but they are not authorized to represent clients in Chinese courts. Clients simply need to sign a document confirming that Chinese law is used as reference material and they are aware of the existing limitations for international law firms.