Tax revenues slumped sharply in first half of 2022

The Chinese government’s efforts to revive the economy are restrained by high debt levels and decreasing tax revenues. In the first half of 2022, the top 10 tax revenues totaled ¥9.7 trillion, 12 percent lower than the tax revenues in the first half of 2021. Value Added Tax (VAT), vehicle purchase tax and taxes related to real estate show the largest decrease. This raises the question of how much further stimulus the government can provide to revitalize the Chinese economy weakened by covid disruptions.​

Last updated: 24. July 2025