And what if I told you the word, "world" there is actually not for the entire world, but only those He has chosen? You have to understand the context in order to understand the meaning of John 3:16.
For if there is anything that is certain from a somewhat more attentive reading of Holy Scripture, and that may be held as firmly established, it is, really, the irrefutable fact, that the word,
world, in Holy Scripture, means "all men" only as a very rare exception and almost always means something entirely different.
In explanation, specifically, of the "world" of John 3:16, Kuyper went on to say that the reference is to the "proper kernal" of the creation, the elect people of God, "which Jesus snatches away from Satan." out of this kernal, out this congregation, out of this people, a "new world," a "new earth and new heaven," shall one day appear, by a wonder-work of God. The earth does not merely serve to allow the elect to be saved, in order then to disappear. No, the elect are
men; these men form a
whole, a collection, an organism; that organism is grounded in
creation; and because now this creation is the reflection of God’s wisdom and the work of His hands, God’s administration of it may not come to nothing, but in the Great Day God’s will with this creation shall be perfectly realized. (Dat De Genade Particulier Is (That Grace is Particular). My translation of the Dutch.)
Essentially the same is the interpretation of Arthur W. Pink (1886-1952):
Turning now to John 3:16, it should be evident from the passages just quoted that this verse will not bear the construction usually put upon it. "God so loved the world."Many suppose that this means, The entire human race. But "the entire human race" includes all mankind from Adam till the close of earth’s history: it reaches backward as well as forward! Consider, then, the history of mankind before Christ was born. Unnumbered millions lived and died before the Savior came to the earth, lived here "having no hope and without God in the world," and therefore passed out into eternity of woe. If God "loved" them, where is the slightest proof thereof? Scripture declares "Who (God) in times past (from the tower of Babel till after Pentecost) suffered all nations to walk in their own ways" (Acts 14:16). Scripture declares that "And even as they did not like to retain God in their knowledge, God gave them over to a reprobate mind, to do those things which are not convenient" (Rom. 1:28). To Israel God said, "You only have I known of all the families of the earth" (Amos 3:2). In view of these plain passages who will be so foolish as to insist that God in the past loved all mankind! The same applies with equal force to the future . . . But the objector comes back to John 3:16 and says, "World means world. "True, but we have shown that "the world" does not mean the whole human family. The fact is that "the world" is used in a general way.. . Now the first thing to note in connection with John 3:16 is that our Lord was there speaking to Nicodemus, a man who believed that God’s mercies were confined to his own nation. Christ there announced that God’s love in giving His Son had a larger object in view, that it flowed beyond the boundary of Palestine, reaching out to "regions beyond." In other words, this was Christ’s announcement that God had a purpose of grace toward Gentiles as well as Jews. "God so loved the world," then, signifies, God’s love is international in its scope. But does this mean that God loves every individual among the Gentiles? Not necessarily, for as we have seen the term "world" is general rather than specific, relative rather than absolute. . . the "world" in John 3:16 must, in the final analysis refer to the world of God’s people. Must we say, for there is no other alternative solution. It cannot mean the whole human race, for one half of the race was already in hell when Christ came to earth. It is unfair to insist that it means every human being now living, for every other passage in the New Testament where God’s love is mentioned limits it to His own people — search and see! The objects of God’s love in John 3:16 are precisely the same as the objects of Christ’s love in John 13:1: "Now before the Feast of the Passover, when Jesus knew that His time was come, that he should depart out of this world unto the Father, having loved His own which were in the world, He loved them unto the end." We may admit that our interpretation of John 3:16 is no novel one invented by us, but one almost uniformly given by the Reformers and Puritans, and many others since them. (The Sovereignty of God)