Taipei: Taiwan Sugar Corp. on Tuesday signed a memorandum of understanding with the U.S. Grains and Bioproducts Council to deepen cooperation on bioethanol production and expand its use in transportation fuels. Under the agreement, Taiwan Sugar will complete an initial assessment of potential feedstock sources by the second quarter of 2027, laying the groundwork for future development, representatives from the two sides said at the signing ceremony in Taipei.

According to Focus Taiwan, the move comes as Taiwan accelerates its efforts to develop sustainable aviation fuel (SAF) and achieve at least 5 percent SAF blending in international flights by 2030, Taiwan Sugar Chairman Wu Ming-chang said. Bioethanol is viewed as a key component in the fuel pathways needed to meet that target, he stated.

Wu highlighted that the partnership will focus on advancing production technologies, expanding applications, and strengthening exchanges on policy and market information, as Taiwan builds capacity in alternative fuels and low-carbon transportation. Company officials indicated that the initial phase will prioritize identifying viable raw materials beyond sugarcane and assessing how different technologies can be integrated into production.

The USGBC expressed that bioethanol has wide-ranging potential across land, sea, and air transportation, and can be supplied through a mix of imports and domestic output to stabilize supply and reduce fuel costs. USGBC Vice President Cary Sifferath noted that future cooperation will include technical exchanges and industry planning, with the goal of gradually building local biofuel capacity and enhancing Taiwan's energy resilience.