China will launch a nationwide childcare subsidy program starting in late August 2025, according to a press conference held by the State Council Information Office on Wednesday.

Families will receive an annual subsidy of 3,600 yuan (approximately $500) per child until age three for children born on or after January 1, 2025. The scheme also applies retroactively to children born before January 1, 2025, provided they are still under the age of three. In such cases, subsidies will be calculated on a prorated basis, depending on the remaining months.

Either parent or a legal guardian may apply to receive the funds. Applications can be submitted online via the national childcare subsidy information system or through designated offline channels.

The policy is expected to benefit more than 20 million families. The country's birth rate and total number of newborns was in decline for seven consecutive years before experiencing a modest rebound in 2024. The new childcare subsidy program is part of broader efforts to ease the burden on working parents and encourage higher birth rates.