Taiwan, China Oil & Gas SWOT

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Taiwan, China Oil & Gas SWOT

• 15 Feb 2022
• Taiwan
• Oil & Gas

SWOT Analysis

Strengths	A large, sophisticated refining sector that can meet growing regional demand for refined products, notably low-sulphur marine fuel and petrochemicals products. A relatively transparent business environment. Constructive outlook for the economy, as reshoring of domestic companies and expansion of large tech firms set to boost employment and private consumption.
Weaknesses	Limited domestic hydrocarbon reserves render Taiwan, China reliant on oil and gas imports for nearly all of its energy requirements. The domestic fuel market is mature and thus offers limited scope for significant incremental growth opportunities.
Opportunities	The market's reorientation of its energy policies towards natural gas and renewables will boost the shares of both in the domestic energy mix. Successful privatisation of CPC Corporation could increase competition in the oil and gas sector and attract investor interest. Signing of more bilateral trade agreements should open up more markets for Taiwan, China's exports.
Threats	Growing competition in the regional refined fuels exports market could see refiners in Taiwan, China struggle to maintain market share. Gas consumption will be constrained if expansion of its LNG import capacity does not take place.

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