China has announced that it will move towards fully covering all policy-approved medical expenses related to childbirth by 2026, marking one of its most expansive efforts yet to arrest the country’s rapidly declining birth rate.
According to the National Healthcare Security Administration, the plan aims to ensure “no out-of-pocket expenses” for childbirth-related medical care, including prenatal checkups, delivery services, and postnatal treatment. The policy will be implemented nationwide and builds on pilot measures already rolled out in several provinces.
The move comes as China faces a prolonged demographic slowdown. The country has recorded a population decline for three consecutive years, with births falling to about 9.5 million in 2024, a sharp drop from nearly 15 million births in 2019.
From Population Control To Population Revival
China implemented some of the toughest family planning regulations in the world under the one-child policy, which was strictly followed from 1980 until 2015. Although it increased the birth limit to two children back in 2015 and later three in 2021, this policy reversal has failed to deliver a sustained recovery in fertility.
Rising living costs, expensive education, job insecurity, and delayed marriages have discouraged young couples from starting families. According to a recent demographic study, major cities like Beijing and Shanghai have an estimated cost of over one million yuan in raising a child into adulthood. The officials say the removal of medical expenses linked to childbirth is a critical step toward eliminating the financial anxiety encountered by prospective parents.
Condom Tax Draws Mixed Reactions
The childbirth reimbursement announcement comes alongside another policy shift that has drawn widespread attention on Chinese social media. From January 2026, China will impose a 13 per cent value-added tax on condoms and other contraceptive products, ending a tax exemption that has been in place since 1993.
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Authorities say the change reflects China’s transition away from population control toward encouraging childbirth. However, experts argue the measure is largely symbolic and unlikely to significantly influence fertility decisions. Public reaction has been mixed. While some users mocked the idea that taxing condoms could boost births, others raised concerns about public health, warning that higher contraceptive costs could increase unplanned pregnancies and sexually transmitted infections.
Data from China’s disease control authorities show HIV infection rates have risen steadily over the past two decades, largely linked to unprotected sexual activity.
Despite the debate, Beijing has signalled it will continue expanding pro-family policies. These include childcare subsidies, extended parental leave, tax benefits and efforts to make preschool education more affordable.
With inputs from agency.