Taiwan Tops Global Russian Naphtha Imports Amid Sanctions in 2025

Taiwan has become the world's largest importer of Russian naphtha, a petroleum derivative essential for the semiconductor industry, importing $1.3 billion worth in the first half of 2025 alone. Despite its official stance supporting Ukraine and joining international sanctions on Russia, Taiwan's imports of Russian naphtha surged by 44% compared to 2024 and represent 20% of Russia's total naphtha exports. This trade has generated significant revenue for Russia, including $1.7 billion in mineral extraction taxes, which could support its military efforts in Ukraine. The increased imports are driven largely by private companies like Formosa Petrochemical, even as state-owned enterprises have reduced their purchases. Taiwan's dependence on Russian fossil fuels, particularly naphtha, poses strategic and diplomatic risks, especially given the U.S. administration under President Trump’s imposition of tariffs on other countries importing Russian energy. The paradox between Taiwan's political support for Ukraine and its economic ties to Russia highlights the complexities of global energy markets and geopolitical alliances.