The Financial Times reported that Chinese authorities are putting a plan to tax drinks high in sugar on the policy discussion table. China is a rare nation without a nationwide sugar tax among major economies. According to the World Health Organization (WHO), 116 countries have already introduced state-level taxes on sugar drinks as of mid-2024.

Authorities are reportedly considering a differential taxation plan that applies a higher tax rate to products with high sugar content. It is observed that if the sugar tax is introduced, it can be incorporated into the existing consumption tax system and implemented relatively quickly. The specific timing of the introduction has yet to be determined.

"Many countries, including India, are already implementing such measures, and it will be difficult for China to avoid them," Yang Ziyong, director of the Chinese Academy of Finance and Science, told the FT. He also explained the background of the sugar tax discussion, saying, "It is fundamentally due to the serious health problems we face."

The WHO has recommended that governments impose taxes equivalent to at least 20% of the retail price of sugary drinks and aim to raise prices by 50% by 2035. Currently, the price of 500ml Coca-Cola in China is around 3.5 yuan and local brand products are around 3 yuan. If taxes are imposed, price increases are inevitable.

In its 2025 Food and Nutrition Guidelines, China has set a goal of lowering the average daily additional sugar intake per person to less than 25g by 2030. The current average intake is estimated to be about 30 g.