The Romanian Government will not let the automotive industry fail, it is an important pillar of the Romanian economy, with a turnover of over EUR 30 billion and a contribution of over 13% to the Gross Domestic Product, Prime Minister Luca Niculescu said on Tuesday, at the official opening of the 9th edition of the Automotive Industry Forum & Awards Gala for Excellence.

'The automotive industry is an important pillar of the Romanian economy with a turnover of over EUR 30 billion, a contribution of over 13% to the Gross Domestic Product. It is very, very significant. And Romania, in 2025, became the seventh car manufacturer in the European automotive industry, an important performance, achieved in an important market that is under pressure and in a context in which competitiveness can no longer be considered a given. Socially, it is the productive sector in Romania with the largest number of employees,' said Niculescu.

The prime minister added that, beyond the 'grim figures' he presented, there is also the public perception of this industry built 'through professionalism, competence and especially through work, through the involvement of people who have shown that Romania is a competitive partner and a relevant actor in international value chains'.

The head of the Executive assured the representatives of the automotive industry that the government supports the measures to increase the competitiveness of the national automotive segment.

'We all see that the automotive industry is in a period of important transformations. We take an active part in the debates on European initiatives aimed at modernising and supporting the development of the automotive industry. And a series of government initiatives are rallied to them. I am considering, first of all, the Automotive Action Plan. The government supports the measures to increase the competitiveness of the national automotive industry amidst difficulties on the European market and the risk of losing some jobs.'

Niculescu also brought up the importance of ensuring energy resources for the proper functioning of the automotive industry.

'Through investment projects and consumer-oriented public policies, Romania is getting closer and closer to energy independence. In other words, our country will provide the necessary energy for industrial and household consumers from domestic production.'

He also highlighted the need for a closer link between the education system and the real demands of the economy, emphasising technical and dual education.

'Another important factor for the automotive industry remains the training of human resources. We need a much closer connection between the education system and the real requirements of the economy, and vocational and technical education in dual system is an important tool in this direction.

We discussed with the minister of education and we encourage partnerships between educational establishments and companies, so that young people can acquire practical skills attuned to new technologies and the needs of the industry.'

According to the prime minister, the economic recovery plan envisaged by the government also includes components dedicated to the industry, respectively to the automotive industry.

'We cannot think of an economic recovery without taking into account the automotive industry, which is a key sector of the national and European economy. We want to encourage the development of local suppliers and the production in Romania of some components that we import today. Through the measures taken at government level, we aim to build a more predictable fiscal and economic framework that encourages investments and long-term development. You are already aware of the government's commitment to eliminate the minimum turnover tax (IMCA) from January 1, 2027. We also have, for new assets put into operation in 2026, the possibility of super-accelerated depreciation: with 65% of the tax value deducted in the first year, for technological equipment, machines, tools and work facilities. It is a concrete support for companies that modernise their production lines and invest in new technologies.'

At the same time, the prime minister mentioned that for research and development, companies can opt, starting this year, for a refundable tax credit of 10% of the eligible expenses.

'We want to keep in Romania not only production facilities, but also engineering, design and innovation centres. In the same logic, the TechUp Romania scheme, with a multiannual budget of over RON 5.3 billion, can support investments in mobility and autonomous systems, green energy and storage, microelectronics and artificial intelligence. All these are essential areas for the future of the automotive industry.'

The head of the government expressed his confidence in the potential of the Romanian automotive industry and in its ability to remain an engine of development for the national economy and a spearhead for innovation and competitiveness.

'And I am convinced that, together, we can soon see the results of these steps.'

The prime minister also told the representatives of the automotive industry that the government will continue its dialogue with them in a structured way and assured them that 'the Government will not let the automotive industry fail.'

'Let me assure all of you here that, although there are complicated situations - both domestic and international - the Romanian government will not let the automotive industry fail,' Niculescu said. AGERPRES (RO - editing by: Daniel Florea; EN - writing by: Corneliu-Aurelian)