china announces three child policy, page-33

Absolutely right. There will be no change in the birth rate even with this policy in place.

The middle-class and upper-class populations in China are not replenishing itself by means of new births. Meaning that every couple belonging to those cohorts is having less than two babies each. So the change in policy from two to three babies wouldn't have any effect on those cohorts, and I believe the CCP knows this.

The three child policy is geared more towards the bottom half of the socioeconomic groups. To allow the people belonging to those groups to have more babies, who would in turn grow into adults who would migrate to the cities, and replenish the number of workers needed to keep the economy going. The process is the main reason how the population numbers in Chinese cities keep growing despite decreasing birth rate overall.

Without constant migration into the cities from lower tier areas, the population numbers in those cities would dwindle year on year. Because like I said, middle-class and above Chinese couples are not producing enough babies to replenish their own population. Which is the same exact pattern observable anywhere else documented throughout human history.

Unfortunately for international premium infant formula brands, they need middle-class babies to sell their formula to. And the number of those babies are dropping fast.