"Transformation" means that a company has gone in a completely different direction. As the risk will be high if the transformation is carried out in one step, most petrochemical operators implement the concept of circular economy and focus on the development of functions or special materials related to the industry. The industry is developing new products which are usually measured at the value-added rate with an calculation formula: "added value equals pre-tax business benefits plus user fees plus depreciation". However, the R&D expenses of petrochemical industry in Taiwan only account for less than 0.5% of the turnover, and the added value rate is still low. It will be essential that the petrochemical industry maintains its core business and establishes a solid foundation for it if the industry intends to survive any transformtion.