Taiwan Sugar, U.S. group ink MOU on biofuel cooperation

Taipei, May 5 (CNA) Taiwan Sugar Corp. on Tuesday signed a memorandum of understanding with the U.S. Grains & Bioproducts Council to deepen cooperation on bioethanol production and expand its use in transportation fuels.

Under the agreement, Taiwan Sugar will complete an initial assessment of potential feedstock sources by the second quarter of 2027, laying the groundwork for future development, representatives from the two sides said at the signing ceremony in Taipei.

The move comes as Taiwan accelerates its efforts to develop sustainable aviation fuel (SAF) and achieve at least 5 percent SAF blending in international flights by 2030, Taiwan Sugar Chairman Wu Ming-chang (吳明昌) said.

Bioethanol is viewed as a key component in the fuel pathways needed to meet that target, he said.

Wu said the partnership will focus on advancing production technologies, expanding applications and strengthening exchanges on policy and market information, as Taiwan builds capacity in alternative fuels and low-carbon transportation.

Company officials said the initial phase will prioritize identifying viable raw materials beyond sugarcane and assessing how different technologies can be integrated into production.

The USGBC said bioethanol has wide-ranging potential across land, sea and air transportation, and can be supplied through a mix of imports and domestic output to stabilize supply and reduce fuel costs.

USGBC Vice President Cary Sifferath said future cooperation will include technical exchanges and industry planning, with the goal of gradually building local biofuel capacity and enhancing Taiwan's energy resilience.