Abstract: With the full implementation of the “Belt and Road”, the scale and quantity of overseas investment by Chinese enterprises reach new height, and more multinational bankruptcy cases have emerged in the process of judicial practice. The extraterritorial effect is getting more and more attention from the international community. System design of bankruptcy law in China is considered to be backward and inappropriately, which formed a huge contrast with the rapid development of international trade, so the tension between the two make transnational bankruptcy cases in confused in the construction of the “Belt and Road”. Therefore, we need to adjust the existing way of application of bankruptcy law through the legal coordination mechanism construction, the specific apply of the principle of mutual benefit, and the reasonable introduction of substantial consolidation bankruptcy system to improve the transnational bankruptcy law and realize the synchronous development of China′s legal construction and international trade cooperation.

Key words: “Belt and Road”, transnational bankruptcy, extraterritorial effect, substantial consolidation bankruptcy system