CPC Corporation, Taiwan Accumulates NT$79.2 Billion in Losses; Minister of Economic Affairs: Assistance from 3 Aspects Including Special Financing and Budget Allocation
CPC Corporation, Taiwan, has accumulated losses of NT$79.2 billion by the end of March. The government plans to assist through special financing, budget allocation, and capital increases. Minister of Economic Affairs, Kung Ming-hsin, stated that NT$168.7 billion for capital increase next year has been approved by the Executive Yuan. CPC Chairman Fang Jen-jen added that a financing facility of NT$300 billion is expected.
📋 Article Processing Timeline
- 📰 Published: April 8, 2026 at 13:45
- 🔍 Collected: April 8, 2026 at 14:00 (15 min after Published)
- 🤖 AI Analyzed: April 15, 2026 at 18:18 (172h 18m after Collected)
Democratic Progressive Party Legislator Chiu Chih-wei inquired about the details of the three directions. Kung Ming-hsin said that the NT$350 billion over four years is for capital increase, with NT$168.7 billion to be allocated next year, and subsequent budgets will be arranged. As for special budget allocation, the amount is currently uncertain. The special loan is to replenish CPC's cash flow. CPC Chairman Fang Jen-jen added that a financing facility of NT$300 billion is expected.
Minister of Economic Affairs Kung Ming-hsin today reported to the Legislative Yuan on "the evaluation, planning, and issues involved in the 'expanded procurement and purchase' (crude oil, natural gas, power generation equipment, etc.) items in the Taiwan-US Tariff Agreement (ART), and the capital increase case of CPC Corporation, Taiwan," and was questioned.
Since the outbreak of the Middle East war, international energy prices have remained high. CPC has absorbed international oil price increases for several consecutive weeks, absorbing over NT$9 billion to date. As of the end of March, accumulated losses have reached NT$79.2 billion, with net worth remaining at only NT$86.1 billion. Many legislators expressed concern about CPC's financial situation.
Kuomintang Legislator Yang Chiung-ying questioned that the Middle East conflict has pushed up international energy prices, and CPC estimates that import costs will increase by NT$176 billion from March to June, with the debt ratio climbing to 92%. She expressed concern whether CPC's plan for a NT$350 billion capital increase over four years and the priority allocation of approximately NT$168.7 billion next year would rely on borrowing and uncertain tax revenues. If uncertain financial resources are not in place as scheduled, it could trigger financial risks.
Kung Ming-hsin responded that the government will assist CPC from three major aspects: special financing, budget allocation, and capital increase. Among them, the approximately NT$168.7 billion allocated next year belongs to the capital increase item and has been submitted to and approved by the Executive Yuan.
In response to Kuomintang Legislator Wang Hung-wei's question, Kung Ming-hsin explained that CPC's NT$300 billion financing is mainly for "borrowing new to repay old," and new borrowing can reduce interest costs and reduce the burden on CPC.
Regarding the allocation part, Kung Ming-hsin stated in an interview with the media during a break that the allocation is to offset losses, and as for how much to allocate, "it depends on how much CPC absorbs." When asked about the source of the budget, he only said that the Executive Yuan is still discussing it.
The Ministry of Economic Affairs' written report pointed out that CPC, in cooperation with the government's price stabilization policy, has absorbed approximately NT$612.9 billion in insufficient adjustments for major oil and gas products from 2020 to the end of March 2026. To achieve the energy transition policy, CPC has continuously promoted 10 projects, including the natural gas stable supply construction plan, with a total cost of NT$484.5 billion. Therefore, in early 2026, it submitted a four-year capital increase plan of NT$350 billion from 2027 to 2030 to the Ministry of Economic Affairs.
The Ministry of Economic Affairs, after reviewing CPC's funding needs, coupled with the impact of the Middle East situation at the end of February 2026, which required CPC to urgently procure and dispatch with huge operating funds, reported to the Executive Yuan to actively strive for capital increase and other financial assistance for CPC Corporation from three directions: "handling special financing with financial institutions, allocating surplus from the 'Special Act for Strengthening Economic, Social, and Livelihood National Resilience in Response to International Situations' special budget, and planning capital increase." (Editor: Lin Shu-yuan) 20260408
Minister of Economic Affairs Kung Ming-hsin today reported to the Legislative Yuan on "the evaluation, planning, and issues involved in the 'expanded procurement and purchase' (crude oil, natural gas, power generation equipment, etc.) items in the Taiwan-US Tariff Agreement (ART), and the capital increase case of CPC Corporation, Taiwan," and was questioned.
Since the outbreak of the Middle East war, international energy prices have remained high. CPC has absorbed international oil price increases for several consecutive weeks, absorbing over NT$9 billion to date. As of the end of March, accumulated losses have reached NT$79.2 billion, with net worth remaining at only NT$86.1 billion. Many legislators expressed concern about CPC's financial situation.
Kuomintang Legislator Yang Chiung-ying questioned that the Middle East conflict has pushed up international energy prices, and CPC estimates that import costs will increase by NT$176 billion from March to June, with the debt ratio climbing to 92%. She expressed concern whether CPC's plan for a NT$350 billion capital increase over four years and the priority allocation of approximately NT$168.7 billion next year would rely on borrowing and uncertain tax revenues. If uncertain financial resources are not in place as scheduled, it could trigger financial risks.
Kung Ming-hsin responded that the government will assist CPC from three major aspects: special financing, budget allocation, and capital increase. Among them, the approximately NT$168.7 billion allocated next year belongs to the capital increase item and has been submitted to and approved by the Executive Yuan.
In response to Kuomintang Legislator Wang Hung-wei's question, Kung Ming-hsin explained that CPC's NT$300 billion financing is mainly for "borrowing new to repay old," and new borrowing can reduce interest costs and reduce the burden on CPC.
Regarding the allocation part, Kung Ming-hsin stated in an interview with the media during a break that the allocation is to offset losses, and as for how much to allocate, "it depends on how much CPC absorbs." When asked about the source of the budget, he only said that the Executive Yuan is still discussing it.
The Ministry of Economic Affairs' written report pointed out that CPC, in cooperation with the government's price stabilization policy, has absorbed approximately NT$612.9 billion in insufficient adjustments for major oil and gas products from 2020 to the end of March 2026. To achieve the energy transition policy, CPC has continuously promoted 10 projects, including the natural gas stable supply construction plan, with a total cost of NT$484.5 billion. Therefore, in early 2026, it submitted a four-year capital increase plan of NT$350 billion from 2027 to 2030 to the Ministry of Economic Affairs.
The Ministry of Economic Affairs, after reviewing CPC's funding needs, coupled with the impact of the Middle East situation at the end of February 2026, which required CPC to urgently procure and dispatch with huge operating funds, reported to the Executive Yuan to actively strive for capital increase and other financial assistance for CPC Corporation from three directions: "handling special financing with financial institutions, allocating surplus from the 'Special Act for Strengthening Economic, Social, and Livelihood National Resilience in Response to International Situations' special budget, and planning capital increase." (Editor: Lin Shu-yuan) 20260408
FAQ
What is CPC Corporation, Taiwan's accumulated loss?
As of the end of March, it is NT$79.2 billion.
How will the government assist CPC Corporation, Taiwan?
The government will assist through special financing, budget allocation, and capital increases.