TAIWAN is weighing possible economic steps against Papua New Guinea after Port Moresby ordered the closure of Taipei’s representative office, a move that could spill over into LNG trade and deepen an already sensitive diplomatic dispute.
Focus Taiwan CNA reported that Foreign Minister Lin Chia-lung said the government had convened a meeting to review Taiwan’s economic exchanges with Papua New Guinea after the Pacific nation unexpectedly ordered the immediate closure of the Taipei Economic Office in Port Moresby.
“Among potential responses, Taiwan is reviewing its liquefied natural gas purchases from PNG,” Lin said, noting that imports of about 1.2 million tons a year account for roughly one-third of PNG’s LNG exports and are a major source of revenue for the country.
Papua New Guinea exported $USD 5.36 billion worth of LNG in 2024, making it the world’s ninth-largest LNG exporter, with Japan, China, Taiwan, South Korea and Malaysia among its top markets, according to the Observatory of Economic Complexity.
LNG makes up more than 40 per cent of PNG’s total exports, according to the country’s National Statistical Office.
Lin said Taiwan’s technical missions in PNG, focused on agriculture and fisheries, have created jobs and contributed to economic development.
Taiwan rejected PNG’s decision, lodged a protest and said its office would continue operating normally.
Papua New Guinea Foreign Minister Justin Tkatchenko said that the government had ordered the closure of Taiwan’s office, saying the move underscored its commitment to the “one China” policy.
Lin blamed Beijing for political and economic coercion and thanked the United States for voicing support for Taiwan.
A US State Department spokesperson told CNA on Friday that PNG’s move was another example of Beijing’s efforts to intimidate Taiwan.
Taiwan opened its representative office in Papua New Guinea in 1990 after a trade agreement signed the previous year, despite the absence of formal diplomatic ties.
