In almost one and a half years，Taiwan’s management departments at all levels continue to implement the Project Vanguard for Excellence in Tourism，optimize the quality of the island’s tourism internally. Furthermore，they strengthen both tourism marketing and the brand of the beautiful island. Relevant authorities pay close attention to funding，policy support and marketing，coupled with the deepening of cross-strait cooperation in tourism interaction；there is new development in the tourism industry. Each element of the tourism industry normally has developed，the environment of tourism development has been further improved，and three major markets including into the island，out of the island and the island tourism have been further expanded. In 2013，the number of tourists into the island exceeds eight million，tourists from the mainland，Hong Kong and Macao totaled more than half. Significant economic benefits has been brought by tourism，tourism in Taiwan continues to maintain balance of payments surplus since 2011. Growth on both sides of a two-way market changed significantly，the gap rate of travelers between the mainland and Taiwan exchanges and the shift in the balance of payments deficit changes. This paper reviews the development of Taiwan’s tourism industry from 2013 to the first half of 2014，and forecasts for the coming year of development.