China introduces new tax on condoms as country struggles with fertility declines

China has introduced a new 13% value-added tax on condoms, a move that comes as the country struggles with one of the steepest fertility declines in its history.

After decades of the one-child policy and shifting economic pressures, birth rates have fallen to record lows, prompting officials to explore unconventional strategies to encourage larger families.

By increasing the cost of contraceptives, policymakers aim to subtly reduce barriers to childbirth — though critics argue it places responsibility on households rather than addressing deeper economic concerns.

Experts note that China’s population is aging rapidly, with fewer young people entering the workforce and a rising dependency ratio. This demographic imbalance is already impacting long-term economic growth, pushing the government to adopt policies such as extended parental leave, childcare subsidies, relaxed residency rules, and now, targeted taxation on contraception.

However, analysts caution that financial pressure alone is unlikely to reverse the fertility decline without tackling root issues like housing costs, job insecurity, and the high expenses of raising children.

Public reaction to the condom tax has been mixed. While some citizens support measures aimed at strengthening the country’s demographic future, many argue that increasing contraceptive costs could lead to unintended consequences, including reduced access to family planning resources and higher rates of unplanned pregnancies. The policy underscores the challenges China faces as it attempts to reshape its population trajectory.