CYIL vol. 13 (2022)

MAX HILAIRE CYIL 13 ȍ2022Ȏ San Francisco conference, which led to the creation of the United Nations. The Communist regime was subsequently suspended from the United Nations for its support of North Korea’s aggression against South Korea in 1950. China was labeled an “aggressor” nation and its seat on the Security Council was assigned to the Republic of China (Taiwan). China returned to the United Nations in the 1960s following a deterioration in relations with the Soviet Union and an escalation in hostility with the United States. China sought the support of other developing countries by identifying itself as such. In October 1971, the General Assembly adopted resolution 2758 which restored China’s rights to full membership in the GA and recognized the People’s Republic of China (PRC) as the sole representative of China to the United Nations. 44 Resolution 2758 accelerated China’s participation in international institutions and led several states to recognize the PRC as the legitimate government of China. Taiwan retained China’s seat on the Security Council but China’s membership in the General Assembly allowed it to solidify the Third World coalition in the United Nations and to push for changes in international law. China maintained a low profile in the United Nations and did not actively participate in United Nations affairs for decades. China’s Rise and its Impact on International Law In 1978 Deng Xia Ping assumed the leadership of China’s Communist Party and began a drive to modernize China’s economy. He gradually opened China’s economy to direct foreign investment and trade, and simultaneously sought membership in the World Bank and the International Monetary Fund (IMF). China’s membership in these organizations led to its full integration into the international legal order. But it also required China to adhere to existing norms of international development, finance, and investment. Membership in international institutions gave China all the benefits that all other member states were entitled to. It also required China to play by the rules of these institutions. Although China tried to reinterpret some international laws that it deemed biased against it, it was constrained by the institutional rules imposed on all members of these organizations. Given China was not part of the Bretton Woods system, China had to adjust its legal system to be in full compliance with international norms. Membership in international economic institutions was the first attempt to integrate China into the international legal order. China’s drive to modernize forced it to play by some of the rules, as there were tremendous economic benefits for doing so. China’s integration into the global economy has alleviated millions of its citizens from poverty and propelled it to great power status. Since joining the WTO, China’s trade volume has grown exponentially, from $500 billion in 2001 to over $3 trillion today. China now has the second-largest economy in the world and is projected to surpass the United States in the next decade. 45 China has also seen its percentage of shares in the IMF/World Bank increase from 3.81% in 2010, to 6.16% in 2016. 46 Despite a modest increase in its voting rights in the IMF/World Bank, China still trails the United States and the European Union (EU). China’s failure to secure a substantial increase in its voting rights in the IMF led it to establish the Asian Infrastructure and Investment Bank (AIIB) and the 44 Res. 2758 (XXVI) adopted by the 1967 Plenary Session of the General Assembly on October 25, 1971, by a vote of 76-35-17. 45 McKinsey Global Institute, China and the World, @ www.mckinsey .com .mgi--china-and-the-world-full-report june-2019.vf.ashx. 46 WEISBROT, M., JOHNSTON, J. “Voting Share Reform at the IMF: Will it Make a Difference?” Center for Economic and Political Research, @ s-www.cepr.net/images/stories/reports/IMF-voing-share -2016-04.pdf .

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