“Taiwan has suspended approximately 500,000 metric tons of liquefied natural gas purchases from Papua New Guinea every six months, removing roughly $800 million of spot-market demand after Port Moresby ordered the closure of Taipei’s representative office.”
“The decision leaves Taiwan’s long-term LNG supply contract untouched. Taipei will continue importing 1.2 million metric tons of PNG LNG annually through 2030, preserving a supply agreement that accounts for roughly one-third of Papua New Guinea’s LNG exports.”
“Papua New Guinea announced earlier this month that it would close Taiwan’s trade office in recognition of its One China policy. Chinese Foreign Minister Wang Yi welcomed the decision and said it could serve as an example for other countries considering similar moves.”
“LNG generates roughly half of Papua New Guinea’s export earnings. Taiwan purchases about one-third of those exports, although only about 8% of Taiwan’s total LNG imports originate from Papua New Guinea.”