Taiwan is the world's 6th largest LNG market. The key medium-term demand uncertainty relates to whether the construction of the Lungmen nuclear reactor will be completed. The issue is expected to be decided by a referendum. Otherwise, Taiwan has decided to eventually phase out its operational nuclear reactors and this drives longer-term LNG demand growth. CPC's monopoly on LNG imports looks set to be maintained and the company is planning to construct a third regasification terminal.