China will introduce free pre-school education starting in the autumn of 2025, as part of efforts to address its declining birth rate and looming demographic crisis. The State Council announced that childcare and education fees will be waived for children attending public kindergartens in the year before school, with fee reductions also available for approved private kindergartens.
The policy aims to reduce the financial burden of child-rearing, improve public education services, and encourage families to have more children. Funding will be shared between central and local authorities. This follows last week’s announcement of a $500 annual subsidy for parents of children under three.
China’s population has declined for three consecutive years, with only 9.54 million births recorded in 2024—half the number in 2016, when the one-child policy ended. The country, now surpassed by India as the world’s most populous, faces a shrinking and rapidly ageing population, with nearly 310 million people aged 60 and over in 2024. United Nations projections suggest China’s population could drop from 1.4 billion to 800 million by 2100.
Low marriage rates, high childcare costs, and economic pressures, including a prolonged property crisis, have deterred young couples from starting families. The National Health Commission acknowledged the shift to population decline, with officials highlighting that childcare subsidies and free education are critical steps to support families and ensure long-term development.

