Success achieved: Taiwan’s Formosa Petrochemical Corporation (FPCC) agrees not to purchase Russian naphtha after report reveals tremendous import surge

Earlier this month, the Environmental Rights Foundation (ERF), the Centre for Research on Energy and Clean Air (CREA), Ecodefense, and Urgewald jointly published the report “Dangerous dependence: Taiwan becomes world’s largest importer of Russian naphtha as coal imports persist”. 

The report revealed that Taiwan became the world’s largest importer of Russian naphtha in the first half of 2025, and has sent USD 1.7 billion in tax revenue to Putin’s war chest. The report further analysed Taiwan’s continued heavy reliance on Russian fossil fuels and the risks this poses to its foreign relations, national security, and supply chain stability, especially the semiconductor industry.

Following extensive coverage by international media and strong coordination and support from legislators Puma Shen and Chen Kuan-Ting, on 9 October, Taiwan’s Minister of Economic Affairs Kung Ming-hsin told the press that “FPCC’s relevant contracts are about to expire, and after communication, FPCC has agreed not to purchase Russian naphtha in the future.”

ERF, CREA, Ecodefense and Urgewald welcome FPCC’s decision to cease purchasing Russian naphtha, and we also thank the Ministry of Economic Affairs for its proactive and effective engagement. This is an important and responsible decision, bringing Taiwan’s trade and economic practices closer to its democratic values and international commitments.

However, FPCC remains one of Taiwan’s largest importers of Russian coal, and Taiwan continues to rank as the world’s eighth-largest importer of Russian coal in the first half of 2025.

Despite ERF, CREA and Ecodefense publishing a report last year on Taiwan’s imports of coal from Russia and actively engaging with stakeholders, and despite Taiwan Cement Corporation — previously one of the largest buyers — having ceased imports following our advocacy, FPCC has chosen to continue purchasing Russian coal. 

We urge FPCC to take the next responsible step by ceasing its purchases of Russian coal, especially from sanctioned entities.

At the same time, we also call on the government to move from reactive measures to proactive oversight in order to prevent similar situations in the future, and to take at least the following immediate actions:

• Review and publicly disclose Taiwan’s overall procurement of Russian fossil fuel, regularly publish findings and follow-up measures, and actively assist enterprises in ending such purchases; and
• Investigate and publicly disclose whether Taiwanese companies maintain commercial relationships with Russian entities sanctioned by the US, UK and the EU, and implement a ban on any such transactions.
• Scrutinise companies that purchase Russian naphtha during the phase out process to ensure that purchases comply with the Russian oil price cap policy and are paid below USD 45 per barrel.

This demonstrates that public scrutiny can indeed drive change — but it should not have to rely solely on pressure from civil society. Taiwan must establish clearer, transparent, and accountable systems to ensure that economic activities do not fund the Kremlin’s war chest or undermine the country’s international standing.

Taiwan’s government, companies, and civil society now have an opportunity to show leadership — ensuring that our economic practices reflect the values of democracy, human rights, and international solidarity.

Related media coverage:

• CNN, How Taiwan quietly became the world's top buyer of a Russian oil product
• Reuters, Taiwan says it will cooperate with further restrictions on Russian energy imports
• The Guardian, Taiwan now biggest importer of Russian naphtha despite being Ukraine ally

The Financial Times, Taiwan becomes largest importer of Russian naphtha