China’s new condom tax will prove no effective barrier to country’s declining fertility rate
Key Points:
- China has imposed a 13% value-added tax on contraceptives such as condoms and birth control pills starting January 1, aiming to double its low fertility rate of 1.0 children per woman, while child care and matchmaking services remain tax-free.
- Despite government efforts, including a 90 billion yuan national child care program and relaxed birth policies allowing up to three children, China's fertility rate continues to decline, reflecting broader societal and economic challenges.
- Similar pronatalist policies in other Asian countries like Singapore and South Korea have largely failed to significantly boost fertility rates, despite financial incentives and social campaigns.
- China's low fertility rate is influenced by modernization, higher living costs, increased educational expenses, and greater opportunities for women, factors that have led