Dawn Breaks for CPC's NT$100 Billion New Fourth Naphtha Cracker Project; New Third Cracker Upgrades Concurrently to Reduce Carbon
CPC is advancing its New Fourth Naphtha Cracker project in Kaohsiung to produce 1 million tons of ethylene annually while significantly reducing carbon emissions through new technology.
📋 Article Processing Timeline
- 📰 Published: April 19, 2026 at 11:21
- 🔍 Collected: April 19, 2026 at 12:00 (39 min after Published)
- 🤖 AI Analyzed: April 19, 2026 at 12:11 (11 min after Collected)
Taiwan's petrochemical industry is divided into two main systems: the Pan-CPC system and the Formosa Plastics system. CPC currently operates two naphtha crackers, the New Third and the Fourth, with a combined annual ethylene capacity of 1.07 million tons, which is still insufficient to meet downstream demand.
The Fourth Cracker, located at the Linyuan Plant in Kaohsiung, has been operating for over 40 years. Regarding the New Fourth Cracker project, CPC Chairman Fang Chen-jen recently pointed out that CPC has reached a preliminary consensus with the Kaohsiung City Government on a carbon reduction plan.
Sources revealed that to achieve carbon reduction goals, the New Third Cracker will simultaneously implement reduction planning. Once all upgrades are completed in the future, the combined carbon emissions will be lower than the sum of the current "Fourth + New Third" crackers. However, the introduction of new technologies also affects financial costs. The Executive Yuan approved a budget of NT$106.2 billion for the New Fourth Cracker project in 2024.
Looking back, the New Third Cracker project began promotion in 2005 with a total investment budget of NT$46.9 billion and a design capacity of 720,000 tons of ethylene annually. It started construction on August 11, 2009, achieved mechanical completion, and officially began commercial operations in June 2014. However, after production began, Taiwan still faced an annual ethylene shortfall of 300,000 to 500,000 tons.
The New Fourth Cracker has an ethylene capacity of 1 million tons and is expected to introduce the latest energy-saving process designs, utilize partial ethane feedstocks, and employ low-carbon fuels (self-produced hydrogen). Coupled with carbon reduction measures for the New Third Cracker and energy-saving plans for other facilities, the total carbon emissions of the Linyuan Petrochemical Plant will meet the Kaohsiung City Government's reduction targets after the New Fourth Cracker comes online.
As for actual carbon emissions, which are affected by annual production volume and major facility overhauls, taking the normal operational year of 2021 as an example, total carbon emissions were 2.208 million tons. After the New Fourth Cracker begins operations, total emissions from the Linyuan Plant are projected not to exceed 1.907 million tons.
Industry insiders point out that CPC's Fourth Cracker primarily supplies the Pan-CPC system. It currently produces 350,000 metric tons of ethylene annually, requiring imports every year to satisfy downstream use. The cost of refrigerated import vessels is high, and sources are unstable. On the other hand, unlike buying canned drinks at a convenience store, petrochemical products require special transport and storage systems. Considering the difficulties in laying pipelines, the New Fourth Cracker can directly utilize CPC's existing pipeline network for transportation, offering definite cost-effectiveness. (Editor: Pan Yi-ching) 1150419
The Fourth Cracker, located at the Linyuan Plant in Kaohsiung, has been operating for over 40 years. Regarding the New Fourth Cracker project, CPC Chairman Fang Chen-jen recently pointed out that CPC has reached a preliminary consensus with the Kaohsiung City Government on a carbon reduction plan.
Sources revealed that to achieve carbon reduction goals, the New Third Cracker will simultaneously implement reduction planning. Once all upgrades are completed in the future, the combined carbon emissions will be lower than the sum of the current "Fourth + New Third" crackers. However, the introduction of new technologies also affects financial costs. The Executive Yuan approved a budget of NT$106.2 billion for the New Fourth Cracker project in 2024.
Looking back, the New Third Cracker project began promotion in 2005 with a total investment budget of NT$46.9 billion and a design capacity of 720,000 tons of ethylene annually. It started construction on August 11, 2009, achieved mechanical completion, and officially began commercial operations in June 2014. However, after production began, Taiwan still faced an annual ethylene shortfall of 300,000 to 500,000 tons.
The New Fourth Cracker has an ethylene capacity of 1 million tons and is expected to introduce the latest energy-saving process designs, utilize partial ethane feedstocks, and employ low-carbon fuels (self-produced hydrogen). Coupled with carbon reduction measures for the New Third Cracker and energy-saving plans for other facilities, the total carbon emissions of the Linyuan Petrochemical Plant will meet the Kaohsiung City Government's reduction targets after the New Fourth Cracker comes online.
As for actual carbon emissions, which are affected by annual production volume and major facility overhauls, taking the normal operational year of 2021 as an example, total carbon emissions were 2.208 million tons. After the New Fourth Cracker begins operations, total emissions from the Linyuan Plant are projected not to exceed 1.907 million tons.
Industry insiders point out that CPC's Fourth Cracker primarily supplies the Pan-CPC system. It currently produces 350,000 metric tons of ethylene annually, requiring imports every year to satisfy downstream use. The cost of refrigerated import vessels is high, and sources are unstable. On the other hand, unlike buying canned drinks at a convenience store, petrochemical products require special transport and storage systems. Considering the difficulties in laying pipelines, the New Fourth Cracker can directly utilize CPC's existing pipeline network for transportation, offering definite cost-effectiveness. (Editor: Pan Yi-ching) 1150419