China Adds VAT to Condoms Amid Baby Boom Push

China has introduced a 13% value-added tax on contraceptive drugs and products, a significant policy shift ending a tax exemption that had been in place for over thirty years. This move comes as the government intensifies efforts to encourage citizens to have more children, following decades of strict population control measures and a recent decline in China's birth rate.

The imposition of this tax has met with public disapproval and ridicule on Chinese social media, with many questioning the logic of taxing birth control while facing high costs of raising children. Experts are voicing serious concerns that the increased cost of contraceptives could lead to a rise in unplanned pregnancies and sexually transmitted infections, potentially burdening the healthcare system.

With China's population having fallen and India surpassing it as the world's most populous nation, the government's pro-natalist policies are under scrutiny. While the tax is intended to normalize contraceptives as market commodities, its actual impact on fertility decisions is predicted to be minimal, as the costs and complexities of child-rearing far outweigh the price of condoms.