Page 24 - 2024 CPC Corporation,Taiwan

Marketing
CPC’s marketing of refined petroleum products in its domestic market primarily focuses on the transportation sector—specifically gasoline, diesel, fuel oil, and aviation fuel. In 2023, its sales of those products in Taiwan totaled 16.79 million kiloliters in volume and generated approximately NT$413.7 billion in revenue. Automotive gasoline accounted for the largest share at around 51.7%, followed by diesel at about 27.3%, fuel oil at about 10.5%, and aviation fuel at approximately 10.5%.
The refined petroleum products market within Taiwan is primarily dominated by CPC and the Formosa Plastics Group, with competition intensifying. CPC has diligently capitalized on its marketing network advantage and safeguarded its market share by strengthening its gas station network. As of the end of 2023, there were 2,517 operational stations in Taiwan, with CPC and other entities directly managing 626, while 1,300 were privately owned by CPC franchisees, totaling 1,926. Their sales, as a portion of the total market volume, are as follows: gasoline 80.4%, diesel 77.5%, fuel oil 97.2%, and aviation fuel 57.2%, resulting in an overall market share of 77.5%.
Storage and transportation network meets the requirements of all areas
In terms of storage and transportation, CPC not only runs its own gas stations, but also operates aviation fueling stations at Taiwan’s major airports: Songshan, Taoyuan, Kaohsiung, Taichung, Hualien, Taitung, Kinmen, and Penghu. Around the coast, it has marine bunkering stations for vessels at Keelung, Suao, Taichung, Kaohsiung, and Hualien international commercial ports.
As of the end of 2023, CPC operated 13 product distribution centers located country-wide at Keelung, Shimen, Taichung, Taichung Harbor, Wangtian, Minxiong, Tainan, Fengde, Qiaotou, Suao, Hualien, Huxi, Kinmen and Matsu. They supplied a total of 17,632,000 kiloliters of products to gas stations in their surrounding areas over the year. CPC has three chemical analysis centers/petroleum laboratories in Keelung, Taichung, and Kaohsiung, plus six testing laboratories, which test products for quality control, and altogether these handled 30,628 samples in 2023. The transportation department transported 11,935,000 kiloliters of oil in 2023, at a total distance of 41,588,000 kilometers.
Optimizing services with diverse and mobile payment
In terms of gas station operations, CPC leads the market in terms of differentiated services and service advantages. The company has fully implemented refined services, creating a culture of clean restrooms and promoting customer experience management. CPC actively promotes VIP membership cards, introduces new businesses and services in line with trends, and enhances customer relationship management. To reduce operating costs and to address staff shortages at gas stations, CPC has pioneered card-based self-service
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