Archive · 2 Jan 2026
China Imposes 13% Tax on Contraceptives Amid Population Decline
China has started charging a 13% tax on condoms and birth control.
This change happened on January 1, 2026, as part of a bigger tax update.
For over 30 years, these items were tax-free.
Now, the government wants more people to have children, but many young people say raising kids is too expensive.
The tax might make condoms and pills a bit pricier, but experts don't think it will make many people change their minds about having children.
Some worry that higher costs could lead to more unplanned pregnancies or health issues, especially for those who can't afford contraceptives.
The government is also offering help for families, like money for childcare and longer leave for parents, but the birth rate is still going down.
China introduced a 13% VAT on condoms, birth control pills, and IUDs starting January 1, 2026, ending a 30-year exemption.
The tax is part of a broader VAT overhaul and is expected to generate about 5 billion yuan annually.
China is facing a demographic crisis with declining birth rates and a shrinking population, despite government incentives for childbirth.
Many young Chinese cite high child-rearing costs and economic pressures as reasons for not having children, making the tax unlikely to change reproductive behavior.
Experts warn that higher contraceptive costs could reduce access for low-income groups, increasing risks of unplanned pregnancies and STIs.
- Who
- The Chinese government
- What
- Imposed a 13% VAT on condoms and other contraceptives
- When
- Starting January 1, 2026
- Where
- China
- Why
- As part of a broader VAT overhaul and to encourage higher birth rates amid a demographic crisis
- Tax Rate
- 13%
- Effective Date
- January 1, 2026
- Tax Type
- Value-Added Tax (VAT)
- Annual Revenue from Tax
- 5 billion yuan
- China's Total Tax Revenue
- 22 trillion yuan
- Births in 2024
- 9.54 million
- Condom Price Range
- 40-60 yuan
- Contraceptive Pills Price Range
- 50-130 yuan
Sources
China Begins 2026 With 13% Tax On Condoms And Birth Control: What’s Behind The Move?
China imposes 13% tax on contraceptives in push to lift birth rates
China just made condoms more expensive. Here’s why
China Wants More Babies, Starts by Making Condoms Costlier In 2026
China: Condoms, contraceptive drugs cost more in New Year as new taxes take effect