Taiwan's Crude Oil Imports from US Hit Record High in Jan-Apr: MOF

(CNA, Taipei, May 21, by reporter Lu Yen-tzu) With the conflict in the Middle East impacting global crude oil supply, the latest statistics from Taiwan's Ministry of Finance (MOF) show that in the first four months of this year, Taiwan's crude oil imports from the United States reached US$2.5 billion, a record high for the same period. The share of US imports increased by 7.3% year-on-year, and in April, the proportion reached 43.2%, a 1.1-fold increase year-on-year. The MOF's Department of Statistics today released a fiscal statistics report, reviewing Taiwan's crude oil import situation from 2020 to April this year. The department stated that under the ongoing energy transition policy, Taiwan's energy import structure is gradually adjusting towards 'increasing gas, reducing coal, and expanding green energy.' The volume of crude oil imports has gradually decreased from over 300 million barrels before 2019 to a level of 260 to 300 million barrels in recent years, with import values converging accordingly. The department reviewed that since 2023, international crude oil prices have been weak due to oversupply and weak demand from China. However, from March to April this year, escalating geopolitical conflicts between the US and Iran not only hindered shipping but also caused international oil prices to rapidly surpass US$100 per barrel, oscillating in a high range of US$100 to US$120. During the same period, Taiwan's crude oil import volume dropped sharply, resulting in an import value of US$64 billion for the first four months, a year-on-year decrease of 14.6% in value and 12.9% in volume, both marking the largest declines for the same period in nearly 11 years. Observing the import regions, the department explained that due to conflicts and supply adjustments, crude oil imports from the United States (mainly shale oil) surged by 1.1 times in April and increased by 7.3% over the first four months. In contrast, imports from Middle Eastern countries mostly declined, causing their overall share to drop sharply from 66.7% in the same period last year to 57.9%. Regarding natural gas, the department stated that with the increasing demand for gas-fired power generation, liquefied natural gas (LNG) imports have shown a long-term upward trend. The import value for the first four months of this year was US$4.5 billion, an 8.3% increase year-on-year. Australia was the top supplier, accounting for 32%. The second-largest supplier, Qatar, saw its import value plummet by 38.5% due to the blockade of the Strait of Hormuz and disruptions to shipping routes. Meanwhile, imports from the United States surged 3.7 times to a record high of US$1.2 billion for the same period. The department noted that coal imports have shown a clear decline over the past three years. In the first four months of this year, imports amounted to US$2 billion, a decrease of 0.4%. Australia and Indonesia were the top two sources, accounting for over 80% combined, but their trends diverged, with import values increasing by 22.1% and decreasing by 33.7%, respectively.