In recent years, the number of investment disputes involving Chinese investors, and the Chinese government has been increasing, and the dispute resolution mechanisms are struggling to cope with the growing number of investment disputes. Dispute prevention offers unique advantages and is an effective measure to prevent investment disputes. As a major country in both inbound and outbound investment, China needs to adopt a triple perspective of host state, home state, and host-home state cooperation to prevent investment disputes. From the host state’s perspective, preventing investment disputes includes enhancing the transparency and stability of investment policies, enhancing the government’s capacity for coordinated compliance with domestic laws and investment treaties, and establishing institutions for the prevention of investment disputes. From the home state’s perspective,prevention includes holding investors legally accountable and promoting corporate social responsibility. From the host-home state cooperation perspective, prevention involves establishing joint committees between countries,optimizing international investment treaties.