China removed a three-decade-old tax exemption on contraceptive drugs and devices from January 1 in new steps to spur a flagging birth rate.
Condoms and contraceptive pills now incur value-added tax of 13%, the standard rate for most consumer goods.
The move comes as Beijing struggles to boost birth rates in the world’s second-largest economy.
China’s population fell for a third consecutive year in 2024 and experts have cautioned the downturn will continue.
China exempted childcare subsidies from personal income tax and rolled out an annual childcare subsidy last year, following a series of “fertility-friendly” measures in 2024, such as urging colleges and universities to provide “love education” to portray marriage, love, fertility and family in a positive light.
Top leaders again pledged last month at the annual Central Economic Work Conference to promote “positive marriage and childbearing attitudes” to stabilise birth rates.
China’s birth rates have been falling for decades as a result of the one-child policy China implemented from 1980 to 2015, and rapid urbanisation.
The high cost of childcare and education as well as job uncertainty and a slowing economy have also discouraged many young Chinese from getting married and starting a family.
phil_the_builder on January 2nd, 2026 at 05:56 UTC »
What an odd idea. There are probable a million things a governement could do to help its citizens to raise children. Maternity and paternity leave, free daycare, free education, tax breaks, right to a healthy work life balance, monetary support. But no, lets make contraceptives more expensive. I would speculate that the one child policy is still so deeply engrained into chinese society that change might take a few generations if it ever happens.
ssracer on January 2nd, 2026 at 05:51 UTC »
Can't afford a condom, definitely a good position to start a family
dystropy on January 2nd, 2026 at 05:48 UTC »
Quite a dramatic change from the One Child Policy.