News · Business · RNZ Pacific · Updated
Taiwan closes its PNG office, ends aid and stops buying LNG from PNG
Taiwan's Foreign Ministry has confirmed it is closing its office in Port Moresby, withdrawing staff and ending all aid and technical cooperation with PNG. Taiwan has also stopped buying liquefied natural gas from PNG, according to the ministry's statement.
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The move follows a July announcement by Foreign Minister Justin Tkatchenko that PNG would honour and uphold the One-China Policy. PNG has since renewed its demands that Taipei Economic Office staff leave and that the mission close. Taiwan's Foreign Ministry said the decision followed a comprehensive assessment of national dignity, diplomatic autonomy and national interests.
Taiwan said it was blindsided by PNG's decision and would reassess its economic ties with PNG. It described its past support in economy, agriculture, health care and talent development as concrete, and said mutual trust had been seriously undermined. It also argued that China is using political pressure and economic influence to interfere in other nations' diplomatic decisions.
Taiwan has long been a key market for PNG natural gas, accounting for roughly one-third of LNG exports. Its projected spot volume for the first half of 2026 was about 500,000 tons, and no new spot contracts will be signed. Taiwan says its own energy supply will not be affected, but expects a substantial impact on PNG's gas exports and foreign exchange earnings.
Key points
- Taiwan closes its Port Moresby office and withdraws all personnel
- All aid and technical cooperation programs in PNG are terminated
- No new LNG spot contracts with PNG will be signed
Why it matters for PNG: Changes to LNG sales and aid bear on PNG's gas export earnings and foreign exchange, which affect the wider economy.
Read the full story at RNZ Pacific
Published 8 November 2026 by RNZ Pacific. Summary by W7PNG. More Business news.
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