Taiwan: Taiwan Wood Pellets Market Update

This report is an update of TW2023-0048 Taiwan Wood Pellets Market Brief - New Environmental and Energy Priorities Realize Opportunity for $300 Million in U.S. Wood Pellets, published in 2023. In 2022, Taiwan published "Taiwan’s Pathway to Net-Zero Emissions in 2050," outlining the island's strategy to achieve net-zero carbon emissions by 2050. Developing renewable energy is a crucial component of this plan, and wood pellets were considered by Taiwan to generate additional green energy. However, Taiwan has postponed the conversion of one of its largest coal boilers to burn wood pellets. Instead, Taiwan opted to use natural gas for power generation and purchase an additional $200 billion worth of liquefied natural gas (LNG) from the U.S. U.S. wood pellets export opportunities remain for paper and petrochemical industries with fluidized bed systems, which required to adopt carbon reduction targets to cut their emissions.