Taipei: James Jeng, previously the chairman of Taiwan High Speed Rail Corp. (THSRC), has officially taken over as the chairman of Taiwan Railway Corp. (TRC), a state-owned entity. This leadership change comes at a critical time as TRC aims to address its financial challenges through a significant fare increase.
According to Focus Taiwan, Jeng's appointment was confirmed during a special board meeting of TRC held on Monday, following an announcement last week by Transportation Minister Chen Shih-kai. Jeng succeeds Wu Sheng-yuan, the acting chairman and deputy transportation minister, in this pivotal role.
In his communication with TRA employees, Jeng emphasized his extensive experience across marine, air, and ground transportation sectors. His primary focus will be on ensuring safety, punctuality, and efficient services. Jeng also underscored the importance of employee welfare and working conditions, asserting that the satisfaction of employees is essential for meeting customer needs.
Taiwan Railway Corp. transitioned to a state-owned company under the Ministry of Transportation and Communications in January 2024, moving away from its previous status as a government agency. Despite recording its highest ridership in 2024, TRC incurred a financial loss of around NT$12 billion, slightly higher than the NT$11.43 billion loss in 2023 when it was managed by the Taiwan Railways Administration (TRA).
The company anticipates financial relief with an average fare increase of 26.8 percent scheduled for June 23, 2025. This will be the first fare adjustment since 1995. However, the TRA workers union has expressed concerns regarding high employee turnover and inflexible scheduling, which could impact operations unless wage structures and subsidies are revised.
Jeng's previous role at THSRC, which he joined in 2014, followed a distinguished career within the Evergreen Group. His successor at THSRC is former Culture Minister Shih Che, whose appointment was approved during a board meeting last Friday.
The transition of TRA into Taiwan Railway Corp. Ltd. was initiated by the Taiwan Railway Corporation Act passed in May 2022 by the Legislative Yuan. This move aimed to reform the financially struggling agency in response to fatal train accidents in 2018 and 2021.