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December 3, 2025

HKIAC Expands Expedited Procedure, Updates Fees and Enhances Cost Transparency

HKIAC raises expedited procedure thresholds and revises fee caps, strengthening efficiency, cost control and transparency in arbitration.

The HKIAC has introduced several developments affecting proceedings conducted under its Administered Arbitration Rules. The changes are designed to broaden access to streamlined procedures, maintain cost control and provide users with greater insight into arbitral tribunal fees.

Expanded Scope for Expedited Procedures

HKIAC has increased the monetary threshold for eligibility under its Expedited Procedure. The maximum amount in dispute has been raised from HK$ 25 million to HK$ 50 million, approximately US$ 6.4 million. This expansion enables a wider range of cases to benefit from accelerated timelines and simplified procedures, making expedited arbitration accessible to more users.

Registration Fee Update

HKIAC has revised its registration fee to HK$ 10,000 for all cases, irrespective of the amount in dispute. This represents the first adjustment since the fee was set at HK$ 8,000 12 years ago. The update reflects HKIAC’s intention to balance affordability with the continued delivery of high-quality arbitration services.

Administrative Fees Remain Capped

The institution has confirmed that its capped administrative fee structure remains unchanged. Administrative fees continue to range from a minimum of HK$ 15,000 to a maximum of HK$ 440,000 for disputes exceeding HK$ 400 million in value. This cap provides users with predictability and effective cost management and remains a distinguishing feature of HKIAC when compared with many other arbitral institutions.

Arbitrator Fee Options and Revised Hourly Rate Cap

HKIAC continues to offer parties flexibility in how arbitral tribunal fees are calculated. Parties may choose between an hourly rate model and an ad valorem fee model, with the hourly rate remaining the default option.

Under the hourly rate model, rates are typically agreed between the arbitrator and the appointing party or parties, subject to an institutional cap. While arbitrators’ fees in smaller cases often fall well below the maximum, HKIAC also administers high-value and complex disputes where higher hourly rates may be justified.

The hourly rate cap has been increased from HK$ 6,500 to HK$ 7,500. This is the first revision to the cap since 2013 and reflects evolving market conditions and the increasing complexity of certain arbitrations.

Effective Date

The expanded expedited procedure threshold and the revised fee schedules will apply to all cases submitted to HKIAC under its <span class="news-text_italic-underline">Administered Arbitration Rules</span> from 1 January 2026.

Tribunal Hourly Rate Study

HKIAC has also released a new <a href="https://hkiac.org/?page_id=24360" target="_blank" class="news-text_link">Tribunal Hourly Rate Study</a> aimed at improving transparency around arbitrator remuneration.

The study analyses hourly rates charged in more than 1,400 arbitrator appointments and confirmations over a five-year period. It is intended to assist users when selecting arbitrators or deciding between hourly rate and ad valorem fee models, while also providing arbitrators with guidance on prevailing market ranges.

The findings indicate that average hourly rates tend to increase with the size of the dispute and that co-arbitrators generally charge lower rates than presiding arbitrators.

Commenting on the developments, Joanne Lau noted that these changes reflect HKIAC’s continued focus on transparency, flexibility and efficiency. By refining its procedures and fee structures and sharing data-driven insights, HKIAC aims to support informed decision-making and ensure its arbitration services remain accessible and internationally competitive.

Key Takeaway

These updates reinforce HKIAC’s position as a leading arbitral institution in the region. The expanded expedited procedure and enhanced fee transparency are likely to be welcomed by users seeking efficient and cost-predictable dispute resolution in Asia and beyond.

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