Industry Revenues:

• Petrochemicals: approx. 50%
• Chemical fibers: approx. 30%
• Textiles: approx. 20%

TOP 3 Markets:

• Taiwan: approx. 40%
• China: approx. 35%
• USA: approx. 15%

Formosa Chemicals & Fibre Corporation generates the majority of its revenues from the petrochemical industry, followed by chemical fibers and textiles. The Taiwanese market is the largest single market, followed by China and the USA. These markets are crucial for the company as they are strongly represented in both the production and consumption of petrochemical products and textiles.

Production Sites:

• Taiwan: Headquarters and several production facilities.
• China: Several plants, especially in the provinces of Fujian and Guangdong.
• Vietnam: Production facilities to support the Asian markets.
• USA: Investments and joint ventures for production and distribution.

Formosa Chemicals & Fibre Corporation produces its products in several countries, with a focus on Asia. Taiwan is the main production site, followed by significant capacities in China and Vietnam. In the USA, the company is represented through strategic partnerships to serve the North American market. This geographical diversification enables the company to efficiently respond to demand in different regions and optimize supply chains.

Revenue Growth: Estimated at 5-7% annually (2025-2027, based on industry trends)

Investment in Research and Development: Increase by 10% (2025)

Formosa Chemicals & Fibre Corporation pursues a strategy focused on sustainable growth and innovation. The company is increasing its investment in research and development to develop new, more environmentally friendly products and to make its production processes more efficient.

Another key focus is on geographical expansion, particularly in emerging markets in Asia and Africa, to reduce dependence on traditional markets. This strategy is supported by strategic partnerships and joint ventures aimed at facilitating market entry.

Additionally, the company is leveraging digitalization and automation to reduce production costs and streamline supply chains. This is intended not only to enhance competitiveness but also to ensure long-term profitability.

Main raw materials: Naphtha, Ethylene, Propylene

Main importing countries: Saudi Arabia, United States, Japan

Formosa Chemicals & Fibre Corporation (FCFC) is heavily involved in the petrochemical industry and mainly imports Naphtha, Ethylene, and Propylene. These raw materials are crucial for the production of plastics and fibers.

Saudi Arabia and the United States are significant suppliers of Naphtha, while Japan plays an important role in supplying Ethylene. These countries are preferred partners for FCFC due to their extensive production capacities and established trade relationships with Taiwan.

Relying on these imports is strategically important for FCFC to maintain production capacities and meet the demand for petrochemical products.

Market share in the chemical industry: 5.2% (2024)
EBITDA margin: 18.5% (2024)
R&D expenses: 3.1% of revenue (2024)

Formosa Chemicals & Fibre Corporation (FCFC) has a significant competitive advantage in the chemical industry, which is manifested through several factors. The market share of 5.2% demonstrates a strong presence in a fiercely competitive market. The EBITDA margin of 18.5% indicates an efficient cost structure and the ability to generate high profits from revenue.

Another important aspect is the investment in research and development, accounting for 3.1% of revenue. These investments enable the company to develop innovative products and adapt to market changes, thereby strengthening competitiveness in the long term.

Additionally, FCFC benefits from a diversified product portfolio and a strong position in Asia, helping them to offset fluctuations in individual markets. The combination of these factors gives the company a robust competitive advantage over its competitors.

Institutional Investor Share: 45% (estimated, 2025)
Insider Buys/Sells: No significant transactions reported (2025)

The institutional investor share in Formosa Chemicals & Fibre Corporation is estimated to be around 45%. This suggests that a significant number of shares are held by large financial institutions, indicating a certain level of confidence in the company's stability and growth potential.

In 2025, no significant insider buys or sells were reported. This could indicate that the management and other insiders do not currently expect any significant changes in the company's valuation or that they are satisfied with the current corporate strategy.

Market share of Formosa Chemicals & Fibre Corporation: Estimated 8% (2025)

Top competitors and their market shares:

1. Sinopec Corp: 15%
2. BASF SE: 12%
3. Dow Inc.: 10%
4. LG Chem: 9%
5. Formosa Chemicals & Fibre Corporation: 8%
6. LyondellBasell Industries: 7%
7. Mitsubishi Chemical Holdings: 6%
8. Covestro AG: 5%
9. SABIC: 4%
10. Toray Industries: 3%

Formosa Chemicals & Fibre Corporation has a moderate market share of approximately 8% in the global chemical sector. The market is highly fragmented and dominated by large multinational corporations. Major competitors such as Sinopec Corp and BASF SE have significantly higher market shares and possess extensive global networks and resources.

The moat of Formosa Chemicals & Fibre Corporation mainly lies in its vertical integration and strong presence in Asia, particularly in Taiwan. This enables cost efficiency and a certain level of control over the supply chain. However, companies like BASF and Dow Inc. tend to have a stronger moat due to their global reach, innovation capabilities, and wide product range.

Overall, Formosa Chemicals & Fibre Corporation has a solid but not outstanding moat compared to industry leaders. Competitors have greater resources and a stronger international presence, potentially giving them a competitive advantage.

Revenue Growth: 4.2% (2024) Profit Growth: 3.8% (2024) Return on Equity: 8.5% (2024)

Formosa Chemicals & Fibre Corporation achieved a moderate revenue growth of 4.2% in 2024. This demonstrates a stable business development supported by strong demand in the petrochemical and textile fibers sectors. The profit growth of 3.8% reflects the company's ability to effectively manage its costs and maintain its margins.

The solid return on equity of 8.5% indicates that the company is capable of generating adequate returns from its investments. This is a positive sign for investors seeking stable returns.

Overall, Formosa Chemicals & Fibre Corporation provides a stable financial foundation and moderate growth rates. This could be attractive to investors looking for an established company with a solid market position. However, potential investors should also consider general market conditions and specific industry trends before making an investment decision.

Dividend Yield: 4.2% (2024)
Dividend History: Consistent payout over the last 5 years

Formosa Chemicals & Fibre Corporation has paid a constant dividend in recent years, indicating a reliable payout policy. The dividend yield of 4.2% in 2024 shows that the company offers an attractive return to its shareholders.

The reliability of dividend payments is supported by the company's stable financial performance and strong market position. Analysts expect that Formosa Chemicals & Fibre Corporation will also be able to pay dividends at a similar level in the coming years, provided there are no significant economic or company-specific disruptions.