Fri Jan 02 03:19:50 UTC 2026: Here’s a summary of the text and a rewritten news article based on it:

Summary:

China has ended a 30-year tax exemption on contraceptive drugs and devices, implementing a 13% value-added tax on these items starting January 1, 2026. This move, reported by The Hindu, is seen as an effort to boost the country’s declining birth rate. Despite various “fertility-friendly” measures such as childcare subsidies and promotion of “love education,” China’s population continues to shrink due to factors like the one-child policy, urbanization, and high costs of raising children.

News Article:

China Ends Contraceptive Tax Exemption in Bid to Boost Birth Rate

Hong Kong – January 2, 2026 – China has removed a three-decade-old tax exemption on contraceptive drugs and devices, a move aimed at reversing the country’s declining birth rate. Starting January 1, 2026, condoms and contraceptive pills will now be subject to a 13% value-added tax, the standard rate for most consumer goods.

The decision comes as Beijing struggles to address a continuing population decline. China’s population fell for the third consecutive year in 2024, and experts predict the downward trend will persist.

In recent years, the government has implemented a series of “fertility-friendly” measures, including childcare subsidies, personal income tax exemptions for childcare, and even “love education” initiatives in universities. Top leaders reaffirmed their commitment to promoting “positive marriage and childbearing attitudes” at the recent Central Economic Work Conference.

However, these measures have so far failed to stem the tide. China’s birth rates have been falling for decades, a consequence of the one-child policy (in place from 1980 to 2015) and rapid urbanization. The high cost of childcare and education, coupled with job uncertainty and a slowing economy, are also deterring many young Chinese from starting families.

Read More