Is China Abusing Its Position as a ‘Developing Country’?
An offshore wind farm in Fujian, China [Lin Shanchuan/Xinhua]

Is China Abusing Its Position as a ‘Developing Country’?

Editor's Note: Is China still a developing country? This question is not just about an economic problem. Actually, from a broader perspective, the answer to this question is deeply related to the responsibility that China should take, how China should be treated by the Western and Southern world, and what the geopolitical configuration should be– this has made this question highly politicized. Therefore, to answer this question, a deep, balanced analysis is necessary. The following article is an interview with the website China’s Diplomacy in the New Era.


Q: Whether China is a developing country has long been a topic of debate both at home and abroad. Does the international community have a unified definition or standard for what constitutes a "developing country"?

Zhou Yongmei: There is no unified definition of "developing country." For example, the World Bank once used per capita income levels to classify countries. But others, such as the World Trade Organization (WTO) and some environmental agreements, rely on self-identification. Their definitions depend on the specific dimensions they emphasize. Some countries are considered developing in one context but developed in another. An Australian scholar studied this and found that only about 20 countries are consistently classified as developed under all definitions. Over 110 are consistently considered developing, while more than 60 fluctuate between the two depending on the criteria used. Different organizations have different perspectives and metrics, which is why this issue is so contentious—and also quite fascinating.

Q: China's Ministry of Foreign Affairs has clearly stated that China's status as the largest developing country is grounded in facts and has a solid basis in international law. Could you explain what these factual and legal foundations are?

Zhou Yongmei: Of all the definitional frameworks that can be traced, China qualifies as a developing country under all of them. 

For example, the World Bank previously categorized countries as low-income, middle-income, or high-income. Countries below the high-income threshold were considered developing. China still falls within this group. The WTO allows countries to self-identify as either developing or developed during the accession process. When China joined, it declared itself a developing country, which remains its status today—fully in line with WTO rules. The Paris Agreement operates similarly, and China’s status as a developing country is legitimate in that context as well.

Interestingly, the label “developing country” has become extremely broad. The World Bank has even stopped using it, opting instead for income-based groupings: low, lower-middle, upper-middle, and high income. When you group over 100 countries under a single label like “developing,” the analytical value diminishes. For example, both China and Somalia fall under this label, yet their circumstances are so different that China may be more comparable to a developed country than to Somalia.

However, in diplomatic, political, and international contexts, “developing country” is still widely used. It signifies shared concerns and common goals. In that sense, China continues to identify as a developing country and is committed to working with others in that group to improve global governance and reduce inequality.

Q: Some netizens argue that since China is now the world’s second-largest economy, the top manufacturing power, the largest trader in goods, and has the largest foreign exchange reserves—not to mention having eliminated absolute poverty—it no longer qualifies as a developing country. Has China underestimated itself?
SPONSORED
CTA Image

See the world from a multidimensional perspective with BeijingReviewDossier!

Subscribe

Zhou Yongmei: There’s no doubt that China’s development over the past four decades has been remarkable. The World Bank once studied post-WWII growth and found that only 13 countries achieved 25 years of continuous growth above 7%. China was one of them—a true miracle. China has indeed reached a leading position in many fields.

But our population is massive. On a per capita basis, our income is still only about one-sixth of that in the United States. That’s why we are still classified as a developing country. China’s manufacturing and trade volumes are impressive because of our large population. So, it’s understandable that people might feel we’ve already “made it” and question the developing country label. But if you look at the realities on the ground—regional disparities, income inequality—there’s still a long way to go before we reach developed-country standards across the board.

Q: Some countries argue that China’s economic strength and global influence have reached developed-country levels, and therefore, it should no longer enjoy special and differential treatment under the WTO. What’s your view?

Zhou Yongmei: China is still a developing country. That said, we have been doing a lot to assist other developing nations. Through initiatives like the Belt and Road and the Global Development Initiative, we’re sharing our development experiences and technology to help others grow. But this doesn’t mean China has reached developed-country status.

The China-aided Belarus National Football Stadium in Minsk, Belarus [Chen Ting/Xinhua]

Within the WTO framework, China is legally entitled to special and differential treatment. In fact, we’ve voluntarily given up some of those benefits. For instance, we no longer insist on slower market liberalization or exemption from funding support obligations. Still, we continue to provide financial and technical support where we can—not because we are obliged to, but because we choose to. We do what we can, given our status as a developing country.

The U.S., for example, passed a 2023 law declaring "China is not a developing country." Western nations increasingly see China as a competitor—especially in fields like green energy, electric vehicles, and artificial intelligence. They want to strip China of preferential treatment. The U.S. law directs its State Department to lobby international organizations to change the criteria—or to deny China the right to self-identify as developing.

I believe China’s current stance is appropriate. We are a developing country. We may choose to forgo certain entitlements, but legally and within international frameworks, we still qualify for them.

Q: President Xi Jinping has said that China is and will always remain a member of the Global South and a developing country. How do you interpret this statement?

Zhou Yongmei: I think what President Xi means is that China understands and shares the concerns of developing countries. Right now, we are still a developing country. Even when we become more developed, with higher income levels and better indicators, we will continue to stand with the Global South to promote fairer global governance. It’s a statement of political and diplomatic alignment.

China has always developed as part of the Global South. Our ties with Asia, Africa, and Latin America go back to the 1950s. Even when we were poor, we provided foreign aid. That relationship continues today.

The Global South is a broad concept. Not every country in it is extremely poor. It’s more like a political club, united by shared concerns. For example, developing countries want a greater voice and leadership role in international organizations. Even relatively wealthier members of the Global South support these objectives. China is one of them.

2025 Global South Financiers Forum [Li He/Xinhua]
Q: In a U.S. Senate hearing this January, Secretary of State-designate Marco Rubio claimed China has long pretended to be a developing country to rise in power at America’s expense. What’s your response?

Zhou Yongmei: I disagree. China has adhered to all existing international definitions and self-declaration mechanisms. Our classification as a developing country is based on the rules. Claiming we’ve “pretended” is simply untrue. What they really want is for China to be reclassified as a developed country, so we bear more obligations and lose the preferential treatment that currently helps us compete.

Q: Some U.S. lawmakers say China is using its developing country status to avoid international responsibilities. Do you think China’s actions match its development stage?

Zhou Yongmei: I think China has done more than what’s expected of a country at our development level. Through the Belt and Road, we’ve made substantial investments—many with favorable terms—to help countries build infrastructure and energy projects. China has provided foreign aid even during its poorest times, such as sending medical teams or sharing hybrid rice technology developed by Yuan Longping.

We’ve always acted within the rules and often gone beyond them. For example, China has granted zero-tariff treatment to the poorest African nations to help them access our market. We are shouldering more than our fair share.

Q: What does China’s insistence on its developing country status mean for other developing nations?

Zhou Yongmei: On one hand, these countries care less about the label and more about actual actions. On the other hand, our diplomatic stance gives them confidence. It assures them that China is a reliable partner within the developing country bloc—especially in global governance. Whether it’s climate change or voting rights in international institutions, they trust that China will stand with them and push for more fairness.

Q: As the world’s largest developing country, what role should China play on the global stage?

Zhou Yongmei: China has rich development experience to share. As one of only 13 “miracle” countries that achieved sustained high growth, China’s experience is particularly instructive.

We can open our trade more to developing countries—not just by lowering tariffs, but by supporting their industrial development. For example, our investments abroad could help improve vocational education, so local workers can qualify for good jobs in our companies. There’s a lot we can do.

The E190-E2 aircraft model displayed at the Brazil booth during the BRICS New Industrial Revolution Exhibition in Xiamen, Fujian [Lin Shanchuan/Xinhua]

Another key area is global governance. Many developing countries have similar demands. For instance, at the World Bank, China’s voting power is just over 3%, while the U.S. holds 17%—enough to unilaterally veto decisions. This is grossly unfair. China has long pushed for more equitable representation.

Through institutions like the Asian Infrastructure Investment Bank and the New Development Bank (with BRICS partners), we can create fairer governance models. In today’s chaotic world—where leaders like Trump have pulled out of WHO and the Paris Agreement—China’s support for international rules and multilateralism is crucial.

We should continue our green transition, even if it’s challenging. Our innovations in green technology have domestic and international potential. Though local economies may feel the pain of transition, it is necessary and beneficial in the long run. China should stay the course and lead by example—for both developed and developing nations.


Zhou Yongmei, professor in National School of Development, Peking University. Her main research areas are political economics and comparative economics. The views don't reflect those of BeijingReviewDossier.

BeijingReviewDossier

https://beijingreviewdossier.ghost.io/