Taipei-- The U.S. state of Texas has been touting its natural resources in an effort to encourage Taiwan's Formosa Plastics Group (FPG) to expand its investments there, the Commercial Times reported Monday.
In a recent meeting with FPG president Wang Wen-yuan (???), Texas Governor Greg Abbott said his state has abundant shale oil, natural gas, water and power resources, which is an advantage for a petrochemical giant like FPG, according to the report.
FPG currently has two ethylene plants in Texas and is building a third one there. Its investments in the state during the period 1980-2011 totaled some US$6 billion, the report said.
During Wang's visit to Texas Feb. 3-8, he was briefed by the governor on the investment environment in Orange County, Victoria, Houston, Corpus Christi, which Abbot touted as advantageous for a petrochemical conglomerate like FPG, the Commercial Times reported.
According to the report, Wang said that two of FPG's affiliates -- Formosa Chemicals & Fibre Corp. (??) and Formosa Petrochemical Corp.(???) -- are studying the possibility of investing in the state of Louisiana but FPG will map out a broader U.S. investment plan to include increased investment in Texas.
He added, however, that FPG will have to take into consideration factors such as moving its workers overseas, the report said. Wang also said that while the U.S. has advantages such as sound rule of law and a huge domestic market, FPG has a better understanding of the China market, where Taiwan's petrochemical products remain very competitive, according to the report.
FPG currently has a production base in China in Ningbo, Zhejiang Province.
FPG's flagship enterprise Formosa Plastics Corp. (??) and its three affiliates -- Nan Ya Plastics Corp. (??), Formosa Chemicals & Fibre and Formosa Petrochemical -- are four of the top large cap companies listed on Taiwan's main board.
Source: Focus Taiwan News Channel