China has implemented a 13% Value Added Tax (VAT) on condoms and contraceptive drugs, removing a long-standing tax exemption. This measure, effective January 1, 2026, coincides with Beijing's efforts to reverse declining birth rates and a shrinking population, which has fallen for three consecutive years. While the government also offers tax exemptions for childcare and marriage services, the contraceptive tax has drawn criticism and mockery, with experts warning of potential public health consequences and questioning its effectiveness in boosting birth rates.