The people of ancient China believed that celestial spirits could be seen flying about in the light of the first full moon of the new lunar year. Over time, their torch-lit search for spirits evolved into the Lantern Festival, now celebrated in temples and parks with colorful lanterns.
Traditionally, Chinese parents prepared lanterns for their children to carry on the school day of the new year to symbolize the hope that the children would have bright futures. In modern Taiwan, small children carrying lanterns roam the streets on the evening of the festival.

The Taipei Lantern Festival, held at the Chiang Kai-shek Memorial Hall, features thousands of elaborate lanterns, dragon and lion dances, folk arts demonstrations, acrobatic performances, and ceremonial temple processions. This grand, three-day celebration B Chinese culture attracts millions of revelers every year.

The week-long Tourism Festival is held during the same week as the Lantern Festival, and is an excellent time to tour the island since many tourist hotels offer room discounts and major scenic spots have reduced admission.

One of the world's most unique festivals, coinciding with the Lantern festival, is the famous 'rocket hives' fireworks show at Yenshui. For nearly 200 years the town has fired off these 'hives,' each of which launches of large, unaimed bottle rockets, to commemorate a successful fight against a plague. But beware , even with protective clothing, eye injuries and burns occur.