The Malaysian Bar’s International Malaysia Law Conference (“IMLC”) 2026 took place from 27 to 30 Oct 2026 at MITEC, Kuala Lumpur.
By Irfan Affendy Adrian, Nor, Iyani, Eswanddy & Co
On the final day of IMLC 2026, the morning segment included a session discussing the concurrent international law issues. This session was titled “International Trade and Commodities Today: Balancing Economic Security and the Rule of Law”.
The session commenced with opening remarks by the moderator, Peter-Douglas Ling, Treasurer of the Malaysian Bar and Partner of Peter Ling & Co, who introduced the speakers and welcomed the audience.
The first speaker was KC Lye (“Kah Cheong Lye”), an advocate with Breakpoint LLC, Singapore. He serves on the panels of arbitrators of multiple institutions, including Singapore International Arbitration Centre (“SIAC”), Korean Commercial Arbitration Board (“KCAB”), Asian International Arbitration Centre (“AIAC”) and Singapore Chamber of Maritime Arbitration (“SCMA”). He has also been named in the Hall of Fame for International Arbitration, in recognition of his experience in international arbitration spanning over 25 years. He began his presentation by outlining current events that had disrupted the supply of oil and commodities, as well as the global energy market, namely the situation involving the Straits of Hormuz and the multiple sanctions on Russia in relation to its export of energy resources. His discussion focused more on the Russian perspective and its position, given experience in cross-border transactions with Russian companies and his role as an arbitrator in disputes against Russia. Despite the sanctions imposed by the United States of America (“USA”), United Kingdom (“UK”) and European Union (“EU”), he noted that Russian oil and gas exports continued to flow, albeit towards alternative markets. Whereas these resources were previously traded with Western markets, Russia had shifted its focus towards markets in the East, including China, Japan, India and South Korea.
The session continued with a presentation by Paul Tan from Singapore, a prominent barrister at One Essex Court who specialises in international arbitration and litigation. In his presentation, he explained the Chinese perspective and how the country’s international trade has been affected by the sanctions against Russia. He mentioned that the impact was not direct, but the tensions between the West and the East had visibly forced China and its companies to reconsider their interests in expanding further into Western markets. These measures were aimed at preventing China from accessing Western technologies and knowledge, as well as gaining a foothold in Western markets. Paul Tan drew attention to several incidents, namely the TikTok ban in the USA, the nationalisation of British Steel and the legal barriers imposed by Canada to restrict Chinese investments in its mineral and mining sectors. He added that, as far as litigation and the Rule of Law were concerned, several judicial reviews of divestment orders in the UK had created tensions for business involved in commodity trading generally.
Bringing the discussion closer to home, the next speaker was Lim Koon Huan, a Partner at Skrine who focuses, among other areas, on international trade disputes and trade remedies. She has advised multiple corporations from various jurisdictions on compliance with legal frameworks and trade remedies. She shared her insights on dealing with issues relating to shipments being stopped at the border of the USA and EU due to withholding release orders. She stated that doing business had become more complex, as businesses now had to comply with sustainability rules and consider additional requirements beyond price, quantity and quality. She emphasised that parties must factor in Environmental, Social and Governance (“ESG”) requirements, ensure compliance with human rights standards and protect the welfare of foreign workers, as commercial agreements would be of little value if regulatory non-compliance prevented their performance.
The last speaker was Mohd Aidil Tupari, the General Counsel (Custodian) of Competition and Trade, Legal Compliance at PETRONAS. He also holds the position of Adjunct Professor at the Ahmad Ibrahim Kulliyah of Laws, International Islamic University Malaysia. From an energy corporation standpoint, he stressed the need to find alternative supply or trade mechanisms following the polycrisis, which had caused disruptions to the global energy market starting since the COVID-pandemic in 2020. He highlighted the significant impact of rising oil prices on global supply and demand. Referring to market conditions, he cited an oil price of approximately US$115 per barrel, compared with an earlier estimated range of US$60 to US$70 per barrel. Such fluctuations have considerable implications for the economics of energy production, procurement and international trade. He elaborated on the challenges faced by multinational energy corporations in navigating multiple regulatory frameworks, which may at times overlap, conflict or complement one another. One example discussed was the price cap mechanism imposed on Russian oil by the Group of Seven (“G7”) nations and their partners. He also explained that the price cap framework restricts the provision of certain maritime transportation, insurance, financing and related services involving Russian oil sold above the applicable price threshold. These restrictions illustrate the complexities faced by businesses operating across multiple jurisdictions, particularly where international sanctions regimes impose differing compliance obligations.
The discussion subsequently turned to the World Trade Organization (“WTO”) and the limitations of its dispute settlement framework in addressing contemporary trade disputes arising from geopolitical tensions, economic sanctions and national security concerns. KC Lye highlighted the limited effectiveness of Western sanctions against Russia, noting that despite coordinated measures by the USA, UK and EU, including secondary sanctions, international trade with Russia had continued. This raised broader questions regarding the effectiveness of such measures in regulating global trade. Meanwhile, Mohd Aidil Tupari advocated greater reliance on regional trade agreements, particularly within ASEAN, to strengthen regional economic cooperation and protect domestic industries from foreign competition.
In concluding the session, Peter-Douglas Ling emphasised Lim Koon Huan’s view that the legal fraternity should conduct due diligence. He also highlighted Paul Tan’s point that lawyers should incorporate appropriate contractual safeguards to protect their clients’ commercial interests, such as clauses addressing cross-border trade, sanctions and price negotiations.
*This article reports on Breakout Session 9, Stream C: International Law.