Russia Reportedly Eyes Sharp Tariff Hike on Alcohol From ‘Unfriendly’ Countries

Bottles of the Five Lakes vodka and the Husky vodka are on display at the Omskvinprom distillery in Omsk, Russia. (Photo: Alexey Malgavko / Sputnik via AP)

Russia is considering sharply increasing import duties on beer and spirits from countries it designates as “unfriendly,” according to a report from The Moscow Times.

The proposed changes could raise the minimum import duty on spirits to €5 per liter beginning Jan. 1, up from the current minimum of €3 per liter, according to documents accompanying Russia’s draft three-year budget. The proposal has not been finalized.

The proposed increase could generate an additional 10 billion rubles annually for Russia’s budget from 2027 through 2029, according to the budget documents cited by The Moscow Times.

Russia currently charges a 20% import duty on spirits from “unfriendly countries,” with a minimum of €3 per liter. Authorities had discussed increasing that minimum to €5 in May, but no decision was made at the time, according to the report.

Beer imports have already faced multiple rounds of higher duties. Russia raised the tariff on beer from “unfriendly countries” from €0.10 to €1 per liter in January 2025 and then to €1.50 per liter in September 2025. The Moscow Times reported that some suppliers responded by rerouting shipments through Belarus and Kazakhstan.

The proposed tariff changes come as Russia’s alcohol market has contracted. Nielsen data cited by The New Voice of Ukraine showed the market declined 1.2% in the 12 months through April 2026.

Beer accounted for 85.2% of alcohol sales by volume during that period, while spirits and vodka accounted for 11.2%. Imported beer represented an estimated 3.1% of the Russian beer market in the first quarter.

Russia has also been raising domestic alcohol taxes. A separate proposal reported by The Moscow Times would increase excise taxes on beer, vodka, cognac and other alcoholic products beyond previously approved levels beginning in 2027.

The latest import-duty proposal could also affect demand for foreign spirits. The Moscow Times reported that officials previously viewed a €5 minimum duty as potentially supporting demand for domestically produced cognac and whiskey.

Meanwhile, retail vodka prices in Russia have continued to rise. According to The New Voice of Ukraine, the average retail price is up 12.2% since the start of 2026 and 14.9% above the same period a year earlier.

For now, the proposed €5 minimum remains under consideration rather than a finalized tariff change.