Penghu County, comprised of a gorgeous collection of islands dotted around the Taiwan Strait, draws in thousands of visitors with its annual fireworks festival. Over a week in June, residents and tourists take their positions opposite the incredible Xiying Rainbow Bridge, ready to watch the displays against this unique backdrop.

Despite its name, the Dragon Boat (or Duanwu Festival) is not just about boats. Although you will find a whole host of adrenaline-filled races, there's much more to see and do. Other favorite activities on this one-day national holiday involve eating zongzi (sticky rice dumplings), drinking realgar wine and enjoying the big party.

The International Hot Air Balloon Festival on the Luye Plain in Taitung County is chance for both pilots and passengers to take to the skies over the course of two months in summer. Previous years have welcomed balloon pilots from across the world who come to enjoy the sweeping mountain landscape of northeastern Taiwan.

Kicking off in May and not ending until the following month, the Dragon Boat Festival in the old city of Lukang produces a carnival-like atmosphere, with cultural exhibitions, games, local food stalls, calligraphy performances, music, and of course, the fiercely contested dragon boat races that thousands cheer on by the river.