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Romania's planned increase in VAT and excise duties, including on beer, is expected to fuel inflation and negatively impact consumption, according to a PwC analysis. The country is on track to raise its fiscal burden towards the EU average, with its labor tax rate already higher than that of Poland, Hungary, Czech Republic, or Slovakia. The beer market could shrink by up to 10% this year due to these tax hikes, warns the Romanian Beer Association.

Premier Bolojan announced a 10% increase in excise duties for alcohol, fuel, and tobacco, effective January 1, 2026, and August 1, 2023. This will lead to a 40 bani/liter increase in fuel prices, with the state budget receiving over 50% of the pump price. The TVA will be readjusted to two rates, 11% and 21%, and the dividend tax will be set at 16%.