Romania plans economic relaunch centered on automotive industry

Prime Minister Luca Niculescu has announced a strategic economic relaunch plan focused on the automotive industry, which contributes over 13% to Romania's GDP and generates more than 30 billion euros in turnover. During the 9th Automotive Industry Forum, the Prime Minister highlighted that Romania became the seventh largest car manufacturer in the European Union in 2025.

To support the sector, the government plans to eliminate the minimum turnover tax (IMCA) starting January 1, 2027. Additionally, companies investing in new assets in 2026 can benefit from super-accelerated depreciation, allowing them to deduct 65% of the fiscal value of technological equipment and machinery in the first year. Other measures include a 10% refundable tax credit for research and development expenses and the TECAP Romania scheme, a multi-annual program with a budget exceeding 5.3 billion lei aimed at strategic technological investments.

The government also intends to encourage the development of local suppliers to reduce reliance on imported components and seeks to strengthen human resources through dual education partnerships between schools and private companies.