TAIPEI (TVBS News) — Taiwan Railway Corporation (台鐵), the island's primary rail service provider, will implement an average fare increase of 26.8% beginning June 23, the Ministry of Transportation and Communications (MOTC, 交通部) announced on Monday (April 7). The price adjustment will significantly impact popular routes, with fares for the premier Tze-Chiang Ltd. Express (自強號) service connecting the capital Taipei to southern metropolis Kaohsiung rising from NT$824 (about US$24.82) to NT$975 (about US$29.37).
During a legislative session scrutinizing the transportation budget, MOTC Political Deputy Minister Wu Sheng-yuan (伍勝園) provided legislators with specifics on the impending fare restructuring. Wu explained that the per-kilometer rate would increase from the current NT$1.42 (about US$0.043) to NT$1.82 (about US$0.055), representing the first significant adjustment to the railway's pricing structure in several years.
The Taiwan Railway Corporation board had previously approved the controversial fare hike during their February meeting, justifying the increase as necessary to maintain service quality and operational sustainability in Taiwan's fluctuating economic environment. During his testimony, Wu emphasized that the Executive Yuan (Taiwan's cabinet) had already given its approval for the fare adjustment, while noting that even with the substantial increase, the passenger transport division would achieve a modest profit margin of only approximately 0.3%.
However, Opposition KMT Legislator Liao Hsien-hsiang (廖先翔) expressed concerns regarding the timing of the fare increase, pointing to potential economic volatility influenced by U.S. President Donald Trump's policies as a reason for caution. Liao advocated for a more gradual, phased implementation of the new fare structure rather than a single substantial increase.
Defending the plan, Deputy Minister Wu countered that affordability measures were already built into the new pricing scheme, noting that commuters on short-distance routes could utilize discounted TPASS monthly tickets to mitigate financial impact. Wu further emphasized that even with the adjustments, the fare between Taipei and neighboring Banqiao would remain competitively priced compared to alternative transportation options such as buses and the metro system.