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The U.S. subsidiary of Formosa Plastics Corp (1301.TW) has agreed to pay $7.5 million and to cooperate with plaintiffs to settle an antitrust lawsuit alleging the company and others curbed the supply of a widely used chemical in a scheme to inflate prices. (Scarcella, August 16, 2023)

“When the government of Taiwan planned for the future of Taiwan several decades ago, it focused exclusively on industrially stimulating the economy. It has been promoting that kind of economic growth and development since the 1970s, making it appear as if industrial growth is the only factor to consider with regard to the country’s future. In the name of progress and economic revitalization, state-led industrialization walks hand in hand with private corporations. Together, they compete for the world’s largest petrochemical plants. The industrial development policy of Taiwan is one of the factors in the loss of Taiwan’s coastal wetlands, the subsiding of land from industrial water withdrawal and sand mining, and the increase of toxic air emissions, contaminated water, and toxic buildup of metals in soils (Wu and Wu 171–2). This “macroeconomy” policy ruins bioregions.” (Chang, 2023, p. 171)” 

The Taiwanese Formosa Plastics Corporation (FPC) is the tenth largest petrochemical company in the world. Focused primarily on the production of polyvinyl chloride (PCV) resins (Wu 2022), the FPC is the main subsidiary of the larger Formosa Plastics Group (FPG), a vertically integrated, global conglomerate that owns businesses in biotechnology, electronics, and logistics, among others (Wikipedia 2020). Formosa’s four main subsidiaries (all petrochemical companies) account for an estimated 10 percent of Taiwan’s gross domestic product (Wu 2022). The most important sites for production are Formosa plants in Yunlin County (Central Taiwan), Point Comfort (Texas), and Baton Rouge (Louisiana). Enabled by the shale gas boom discussed above, plants at all three sites are subject to ongoing expansions, including a proposed $200 million plant in Texas, and the $12 billion industrial complex in Louisiana. Formosa also operates a steel plant in Central Vietnam that is the focal point of much local and transnational activism.

Formosa’s current economic and cultural standing is deeply connected to Taiwan's history of industrialization. The Formosa Plastics Corporation and Group were founded by Wang Yung-ching and his brother Wang Yung-Tsai in Kaohsiung in 1954. Born under Japanese occupation, Wang Yung-ching made a living selling and delivering rice as a young boy, and later operated his own rice shop as a teenager. Eventually, Wang transitioned into the lumber business and benefited from market liberalization following the end of Japanese colonial rule (Lin 2016). However, since US military forces destroyed one of his mills during WWII, Wang received $800,000 from USAID, which he used as capital to found Formosa Plastics (Shah 2012). Until his death in 2008, Wang became one of Taiwan’s richest persons and remains widely known as the “god of management” (Huang 2008).

In Taiwan, conglomerates like the Formosa Plastics Group are called guanxiqiye (“related enterprises''), a colloquial term for tightly-controlled, family-owned businesses. According to anthropologist Ichiro Numazaki (1993), the expression emerged from 1970s business discourse and quickly became a self-identifying status symbol for many corporations (Numazaki 1993, 485). Numazaki argues that Chinese trading tradition (emphasizing partnerships) and Taiwan’s vexed relationship to Japan and China contributed to the rise of family-owned enterprises. Daughter Cher Wang has co-founded important businesses outside of the petrochemical sector, including consumer electronics company HTC. However, the Formosa family has also experienced a series of conflicts: in 1996, Wang Yung-Ching expelled his son Winston for extramarital affairs, who later became involved in ongoing efforts to disclose his father’s substantial tax evasion (Offshore Alert 2018). Today, the Formosa Group is in the process of transitioning key positions away from family members (Taipei Times 2021).

Formosa’s operations have further been shaped by Taiwanese politics and cross-strait relations with China. Considered a moderate liberalizer, Wang held close ties to Taiwan’s democratic party, but also continued to push for expansion in the Chinese mainland during his lifetime, often leading to conflicts between Taiwanese and Chinese administrations (Lin 2016, 81). In 1973, Wang’s plans to build a large petrochemical complex in Taiwan were halted by the authoritarian Kuomintang (KMT) government, but following the lifting of martial law in the mid-1980s, Formosa made a second attempt, suggesting to build the complex in the scenic Yilan County (Ho 2014). Rising concerns over petrochemical development and pollution, however, led to mass protests by local residents and fisher people, creating a landmark moment for Taiwan's larger democracy movement (Ho 2014). In face of this opposition, Wang arranged secret trips to mainland China, and later announced that the plant would be built on the island of Haitsang in Xiamen province. Yet, economic sanctions between China and Taiwan, combined with pressure by the nationalist KMT government, eventually led to construction of the vast petrochemical complex in the rural and impoverished Yunlin County in Central Taiwan (Lin 2016, 82).

Strategic plans generated every four years include and highlight FERC motivations, goals, and emphasize key priorities the organization plans on focusing on. The newest FERC Strategic plan FY 2022-2026 demonstrates the organizations shifting focus on environmental implications and environmental justice. Compared to the previous Strategic plans from 2009 till 2022, there have been zero mentions of “environmental justice” or “environmental justice communities”. In the newest 2022-2026 strategic plan there were 24 mentions of “environmental justice” and 11 mentions of “environmental justice communities”. The newest strategic plan focuses on better examining greenhouse gas emissions by revising the analytical framework for evaluating effects of natural gas infrastructure. The newest strategic plan includes an outline to address energy security and reliability given extreme weather events, climate change and new cyber security threats. An additional priority includes improving participation in proceedings, including landowners, environmental justice communities, tribal nations, and members of the public. Their report also includes an emphasis on regulation and compliance with industry. 

The structure in which the FERC is funded is one of particular controversy, which was brought to court in 2016 by the Delaware Riverkeeper Network. The DRN alleged that the way in which the FERC was funded was inherently biased in favor of industry and violated the public's 5th amendment right. The FERC has an appropriated budget set by congress. The FERC raises revenue through the industry it regulates to reimburse and generate funding.  The lawsuit legally sided with the FERC giving the following reasons: the FERC budget has remained consistently the same, the FERC is statutorily required to eliminate under and over recovery of money, and the opposition failed ot prove it's case.

This organization works with the EPA, US Army Corps of Engineers, US Coast Guard, US Department of Energy, US Fish and Wildlife Services and other agencies on Environmental Impact Statements for new Infrastructure.

As of April 2022 the commissioners include, Commissioner James Danly, Commissioner Allison Clements, Commissioner Mark C. Christie, and Commissioner Willie L. Phillips, and Chairman, Richard Glick. Chairman and Commissioners are appointed by the President and confirmed by the Senate. Commissioners and Chair serve staggered five year terms and not more than three of the five commissioners, including the chair, can be from the same political party. Additional staffers include ~1500 employees (based on FY 2019). Staffers fulfill supplemental positions such as lawyers, engineers, economists, biologist, ecologist etc. The chairman and commissioners are at the top of the organizational structure. Administrative, Regulatory, and Litigation functions all follow. There are 13 specific departments such as the Office of Administrative Litigation, Office of Energy Policy and Innovation, Office of the External Affairs etc. all fall into one of the three functions.