Diesel prices in Romania are scheduled to increase from 1 July after a temporary reduction in fuel excise duties expires. Average pump prices are expected to move above 1.81 euros per liter, reversing the relief introduced earlier this year. On 29 June, the average retail diesel price was around 1.76 euros per liter.
Early April excise duty and solidarity contribution cuts
The tax cut was introduced in early April by the government led by Ilie Bolojan. It was implemented in response to rising oil prices linked to geopolitical tensions involving Iran. Alongside the reduced excise duty, authorities lowered the solidarity contribution paid by energy companies.
Together, the measures reduced fuel prices by approximately 0.068 euros per liter, including VAT. The support package is set to expire on 30 June, after which excise duties would return automatically to their previous levels unless new policy action is taken. Romania’s current caretaker government does not have the authority to extend or modify the measure.
Diesel price outlook amid government formation talks
Analysts expect reinstatement of full excise duties to lift diesel prices above 1.81 euros per liter at the start of July. The change is expected to affect consumers and transport operators as the temporary reduction ends. Negotiations on forming a new government are still underway.
Discussions between parliamentary parties and President Nicușor Dan have not yet produced a fully empowered cabinet able to adopt fiscal adjustments. This political uncertainty coincides with the planned diesel price increase tied to the excise duty timeline.
Crude oil easing and relative fuel costs in the EU
The expected price rise is occurring as international crude oil prices have recently eased following diplomatic efforts aimed at reducing tensions between the United States and Iran. Despite that easing, Romania’s fuel market is becoming relatively more expensive within the European Union. Petrol prices are already above the EU average, while diesel prices are close to the mid-range of the bloc.
In previous years, Romania, together with Bulgaria, was frequently among the lowest-cost fuel markets in Europe.
