Sugar tax proposed to curb Taiwan’s sugary drink habit

TAIPEI (TVBS News) — Health experts in Taiwan are raising alarms over the rising obesity and overweight rates among adults, which reached 50.8% in 2024, according to the Health Promotion Administration (HPA, 國健署). Experts attribute this trend to the widespread consumption of sugary beverages, such as bubble tea, a staple in Taiwan.

The Taiwan Health Alliance (THA, 台灣健康聯盟) reported that 39.9% of adults drink sugary beverages more than three times a week, with 28.2% preferring high sugar levels. Taiwanese Association of Diabetes Educators Chairman Ou Hung-yi (歐弘毅) highlighted a 700cc. Bubble tea contains over 60 grams of sugar, exceeding the World Health Organization's (WHO) daily recommendation of 25 grams for adults.

A sugar tax may help people in Taiwan move toward healthier lifestyles. According to a THA survey, if the price of sugary beverages increases by 5 to NT$10, 83.6% of consumers would reduce their purchases. If a discount of 3 to NT$5 is offered for choosing sugar-free drinks, 89.2% would be willing to switch to sugar-free options.

In June, legislators and civic groups urged the Ministry of Finance (MOF, 財政部) to amend the Commodity Tax Act (貨物稅條例) to exempt sugar-free drinks from taxes, similar to natural juices. Although the HPA does not plan to impose a sugar tax, it supports tax exemptions for sugar-free beverages.

The unique nature of Taiwan's beverage market, dominated by small private stores, poses challenges for implementing a sugar tax, unlike countries like the U.K., France, and Thailand, which tax large-brand bottled drinks. Meanwhile, the HPA has been promoting healthy eating in schools, limiting sugary drinks, and reducing sugar in meals.

The THA advocates for the Front-of-Package Nutrition Labeling (FoP) system to mark high-sugar products, which would help consumers make healthier choices.