Formosa Plastics plans AI data center: what it means for Formosa Plastics stock
Published on 10/16/2026 at 11:25 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWSAI expansion and earnings recovery
- Formosa Smart Energy signed an AI data-center letter of intent with CHUANG-XI on October 7, 2026.
- Formosa Plastics revenue reached TWD 47.20 billion in the second quarter of 2026, up 4.10 percent year over year.
- Formosa Plastics had a TWD 522.6 billion market capitalization as of October 16, 2026.
Formosa Plastics (TW0001301000) reported TWD 47.20 billion in revenue for the second quarter of 2026, up 4.10 percent from the same quarter a year earlier. The latest corporate move adds an AI infrastructure angle to the chemicals group's growth story.
AI plan adds a new growth path
Formosa Smart Energy, an affiliate of Formosa Plastics Group, signed a letter of intent with CHUANG-XI on October 7, 2026, to develop an AI data center at the Mailiao Industrial Park, according to Island Frequency. The initial project is planned at megawatt scale, with a proposed cloud-service-provider joint venture covering operations and compute services.
Focus Taiwan reported on October 16, 2026, that the partners intend to combine site resources, power supply, utilities and data-center equipment. For Formosa Plastics, the plan extends existing industrial infrastructure into a service business rather than relying only on petrochemical volumes.
What does the turnaround mean?
The earnings base improved sharply in the first half of 2026. Net income reached TWD 13.92 billion for the six months ended June 30, compared with a TWD 6.58 billion loss in the same period of 2025, while six-month revenue fell to TWD 89.24 billion from TWD 92.59 billion, according to Quartr. The contrast points to profitability recovery despite lower first-half sales.
Three dates shape the story
On September 21, 2026, the second-quarter summary showed TWD 47.20 billion in revenue and TWD 10.86 billion in pre-tax income, according to Quartr. On October 12, 2026, a Reuters report carried by TradingView said September revenue rose 7.14 percent year over year. On October 16, 2026, the AI data-center partnership brought the newest strategic figure, with the first project planned at megawatt scale.
Stock range spans TWD 36.50 to 89.40
Formosa Plastics stood at TWD 82.10 on the Taiwan Stock Exchange on October 16, 2026 at 1:30 p.m. TST. Its market capitalization was TWD 522.6 billion, while the 52-week range was TWD 36.50 to TWD 89.40. The valuation leaves the stock close to its yearly high, making execution of the AI plan and the durability of earnings recovery the central figures for investors.
Formosa Plastics stock facts
- Company: Formosa Plastics Corporation
- ISIN: TW0001301000
- Ticker: 1301.TW
- Primary exchange: Taiwan Stock Exchange
- Price on Taiwan Stock Exchange (as of October 16, 2026, 1:30 p.m. TST): TWD 82.10
- Market capitalization: TWD 522.6 billion (as of October 16, 2026)
- 52-week range: TWD 36.50-89.40 (as of October 16, 2026)
- Sector / Industry: Basic Materials / Chemicals - Specialty
Market context: Market report TAIEX.
