Currently, China is facing one of the most complex challenges in its recent history: the rapid aging of its population. According to official data cited by The New York Times, the Asian nation recorded its fourth consecutive year of population decline in 2025, driven by falling birth rates and a steadily growing elderly population.
This trend is beginning to put pressure on China’s economy, as a smaller workforce makes growth harder, increases social costs, and threatens pension and healthcare systems. Although the government has relaxed family-planning policies and introduced incentives to encourage childbirth, high living costs, housing prices, and education expenses continue to discourage many young couples.
Why is China’s declining birth rate such a major concern?
Because fewer births today mean fewer workers in the future, which could slow economic growth and increase the burden on the working population.
The demographic challenge has already become a strategic priority for the Asian giant.