US seeks to end China’s developing country status

September 29, 2022

The USA is to seek the removal of China from the list of Article 5 developing nations under the Kigali Amendment.

In a vote, prior to the US Senate’s ratification of the Kigali Amendment, the senate voted 96-0 in support of an amendment by Republican senators Mike Lee and Dan Sullivan declaring that China is not a developing country and should not be treated by the UN or other intergovernmental organisations as such.

Under its current designation as an Article 5 “developing” country, China is grouped with countries such as Brazil and all of Africa and is on a slower phase down. In addition, it has access to financial support provided under the Montreal Protocol’s multi lateral fund.

The US claims that treating China as a developing country under the treaty gives it an unfair advantage in the existing HFC market. Further, it allows China to continue production and undercut the HFC market well into the 2040s.

Dan Sullivan said continuing to classify China as a developing country was a facade. “China is not a developing country. China is the second largest economy in the world. China is one of the most industrialised countries in the world. China has one of the biggest militaries in the world. The World Bank now even considers China to be an ‘upper middle income’ country. But what China keeps trying to do in international organisations and in international treaties is continue to get the same benefits afforded to truly developing countries.”

He also said that as well as giving developing nations much more time to implement the treaty, the Kigali Amendment also gave China access to funding from the UN to implement the treaty.

“So, in essence, right now, the way the treaty is organised, the United States gives the UN money to help implement the treaty, and a lot of that money is going to go to China.”

The US amendment will now be put before the UN prior to the next Montreal Protocol meeting in November.