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CPDC Pivots to AI: Toufen Plant to be Repurposed as Data Center
Process Industries · Chemicals: Major Diversified · economic_daily · 2026-09-18
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Facing persistent losses in its core petrochemical business, CPDC plans to transform its Toufen plant into an AI data center to drive future growth.
What Happened
Strategic Pivot: CPDC Chairman Ge Shu-ren announced a major shift toward AI data centers and renewable energy as the company struggles with ongoing losses in its core caprolactam (CPL) business. The company is currently in final negotiations with partners like Xitell to repurpose its Toufen facility.
Development Roadmap: The Toufen site, spanning 87,000 ping, will be developed in three phases, starting with a 5MW capacity and scaling up to 155MW. The project aims to leverage existing infrastructure, including power supply and cooling systems, to support AI computing needs.
Operational Adjustments: With the global petrochemical market remaining sluggish, the company's CPL operations are losing approximately NT$2 billion annually. Management plans to reduce production and control sales to mitigate losses while exploring the sale of its fine chemical manufacturing units.
Asset Management: Regarding the Core Pacific City site held by subsidiary Ding Yue Development, the company confirmed it will follow strict corporate governance and legal procedures for future land disposal following the High Court's decision to revoke the fourth seizure order.