Taiwan secures alternative LNG supply as Hormuz blockade enters second month

Monday 06 April 2026 - 10:05

By: Dakir Madiha

Taiwan secures alternative LNG supply as Hormuz blockade enters second month

Taiwan has received supply guarantees from an unidentified major energy-producing country and secured alternative liquefied natural gas deliveries, while the United Arab Emirates has moved to reassure its population on food and commodity stability, as the Strait of Hormuz blockade enters its second month with no resolution in sight.

Taiwan's Economy Minister Kung Ming-hsin said on Saturday that the energy minister of a "major energy-producing country" had contacted him on his own initiative roughly two weeks ago to pledge full support for Taiwan's natural gas needs, according to Reuters. "This person explained that they would fully support our natural gas needs. If we have any demand, we can let them know," Kung told reporters in Taipei.

Taiwan, whose semiconductor industry makes its energy security a matter of global concern, relied on Qatar for roughly a third of its LNG imports before the conflict. With Qatari export facilities struck repeatedly and the strait effectively closed since early March, the island secured alternative supplies from Australia and the United States. State refiner CPC Corporation announced a new long-term contract with the United States covering 1.2 million metric tons of LNG per year, with potential expansion to include future deliveries from Alaska. CPC spokeswoman Angela Lin added that crude oil stocks are being maintained at pre-conflict levels and that petrochemical feedstocks remain stable.

The UAE Ministry of Economy and Tourism confirmed it had conducted 12,284 inspection campaigns across markets nationwide, identifying 249 violations linked to unjustified price increases, according to Gulf News. Economy Minister Abdulla bin Touq Al Marri said daily food imports are operating normally, with sufficient quantities available in warehouses and on store shelves. The UAE holds strategic reserves of essential goods sufficient to cover four to six months of market needs.

The crackdown on price speculation has been under way since the conflict began on February 28. By mid-March, more than 8,000 inspection rounds had already resulted in 216 fines ranging from 2,000 to 200,000 dirhams, along with 729 warnings, according to The National. The ministry urged consumers to avoid panic buying, noting that responsible consumption helps maintain price stability.

The blockade, triggered by the American-Israeli strikes against Iran that killed Supreme Leader Ali Khamenei on February 28, has removed approximately 19 percent of global LNG exports from the market, according to Wood Mackenzie. Iran's Revolutionary Guard has permitted passage only to allied vessels and has threatened to attack all others. Some 3,000 ships remain stranded in and around the Persian Gulf, and Iran has signaled its intention to supervise strait traffic even after the war ends. The UAE has called on the UN Security Council to authorize measures, including the use of force, to reopen the waterway.