From fashion product industries to fashion: upgrading trends in traditional industry in Taiwan

In the 1990s, China opened its economic markets and replaced the New Institutional Economics (NIEs) of East Asia as the global centre for sourcing labour. This event changed the spatial and economic structure in Asia, especially in Taiwan. Based on the historical evolution of the textile and clothing industry in Taiwan, this study examined how traditional textile and apparel manufacturing was upgraded in Taipei, the capital of Taiwan, and in Tainan, the most historical city of Taiwan, under varying resource availability and under different city policies. While referring to both second-hand information and the literature, the results of interviews with fashion industry professionals were also considered. This study revealed that the potential to upgrade the fashion industry was highly associated with regional background characteristics. Additionally, lack of talent and the limited market for domestic brands create the largest bottleneck in the current fashion industry in Taiwan. Accordingly, the optimal solution for the fashion industry in Taiwan is to promote affordable Taiwanese brands and to use e-commerce. Such integration may enhance the position of the Taiwanese fashion industry in global networks.