Since 1 January 2026, the United Arab Emirates (UAE) calculates excise tax on qualifying sweetened drinks by sugar tier and volume. Energy drinks remain under a separate percentage-based rule. Vietnamese beverage manufacturers should provide reliable formulation and sugar data, while the UAE importer determines the tax classification, obtains supporting documents and completes Federal Tax Authority (FTA) registration and declarations. Cabinet Decision 197/2025
1. Decide whether the drink falls within excise tax
A sweetened drink contains added sugar, artificial sweeteners or other sweetening ingredients. The definition includes ready-to-drink beverages and concentrates or powders. Carbonation and fruit flavour alone do not decide classification. Decision, Article 7
Natural sugar alone does not create a sweetened drink. Unsweetened 100% juice may fall outside that definition. When sugar or another non-artificial sweetener is added, natural sugar also counts towards the tier.
Drinks with at least 75% qualifying milk or substitutes and certain special-diet products have separate exclusions. Decision, Articles 7 and 10 and FTA guide, sections 5.5 and 7.2
An meeting both definitions follows the energy-drink rule instead. Marketing and packaging matter as well as ingredients.
