WASHINGTON, D.C. – U.S. Senator John Barrasso (R-Wyo.) recently introduced legislation that would end handouts to China funded by American taxpayers by removing China’s outdated designation as a “developing country” in international treaties.
The Ending China’s Unfair Advantage Act would prohibit any American taxpayer dollars from funding a United Nations treaty known as the Montreal Protocol and the United Nations Framework Convention on Climate Change (UNFCCC) until China is no longer defined as a developing country. China’s current designation as a developing nation under these treaties allows it to abide by a different set of rules and access funding – including American taxpayer dollars – from the multilateral funds.
“American tax dollars have been funneled to China for decades because of special treatment from the United Nations,” said Senator Barrasso. “By maintaining its classification as a developing country, China keeps getting handouts from American taxpayers and gets to play by a different set of rules. This ridiculous and outdated policy must end now. This bill forces the United Nations to end China’s unfair advantage once and for all.”
Cosponsors of this legislation include U.S Senators Shelley Moore Capito (R-W.Va.), Bill Hagerty (R-Tenn.), John Hoeven (R-N.D.), Jim Justice (R-W.Va), Mike Lee (R-Utah), Cynthia Lummis (R-Wyo.), and Roger Wicker (R-Miss.)
Full text of the legislation can be found here.
Background:
- Under the Kigali Amendment to the Montreal Protocol, developing countries are eligible for financial assistance through a special multilateral fund. The U.S. is the largest contributor to the fund, giving almost $1 billion.
- China has received nearly $1.4 billion from this multilateral fund over the years, due to their classification as a developing country under the Montreal Protocol.
- The U.S. is required to phase down production and consumption of hydrofluorocarbons, or HFCs, by 85% by 2036 and China has until 2045 to reduce HFC use by 80%. China is given an extra decade, under the Kigali Amendment, to produce HFCs. It is also allowed an extra 5% in HFC production and consumption.
- In 2023, the U.S. delegation at the 35th Meeting of the Parties to the Montreal Protocol (MOP35) proposed removing the PRC from the Protocol’s list of “developing countries.” Objections from the PRC and its supporters prevented its inclusion in the agenda.
- In 2022, the Senate passed an amendment declaring that China is not a developing country and that the United Nations and other intergovernmental organizations should not treat China as such. It also conditioned the Senate’s ratification on the administration submitting a proposal to remove China as a developing country before the next meeting of the Parties to the Montreal Protocol.
- Senator Barrasso introduced this bill in the 117th and 118th Congresses.
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