Technically, China was second world (when the terms actually meant something other than just 'rich' and 'poor'). A more accurate term might be 'developing'.

China was always the odd ball when 1st world meant Western countries and 2nd world meant USSR aligned countries. Beginning in the late 1950's China fully broke ties with Russia over ideological differences.

Huh, doesn't someone want to change that now? And who is paying for the subsidizing? This is pretty ridiculous in my opinion