Since January 1, China has added a new measure to try to reverse population loss. The Asian giant began to tax on condoms and birth control pillsthus removing a tax exemption in force in the country for three decades, reports … Reuters.
Since population decline was first confirmed in China in 2022, Beijing has been working to revive the birth rate in the world’s second-largest economy, without success so far. The idea is to mitigate the effects that a chronic nature of the problem would have on the economy, the retirement system and public health. But it will take time to reverse the decades-long devastation caused by the one-child policy.
As of this year, condoms and birth control pills are subject to a sales tax. 13% added valuethe standard rate for most consumer goods. Added to this are other measures aimed at encouraging the birth rate, such as the creation last year of an annual subsidy for childcare, or the incentive for universities to offer an “education in love” present marriage, love, fertility and family in a positive light.
Last month, at the Central Economic Work Conference, top leaders recommitted to promoting “positive attitudes towards marriage and motherhood” to stabilize birth rates. Birth rates in China have been declining for decades due to China’s one-child policy implemented between 1980 and 2015 and rapid urbanization.
He high cost of childcare and education, along with job insecurity and the economic downturn, have also deterred many young Chinese from marrying and starting families.
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