In this paper I start from the exploration of the change of industrial structure during the economic development in Taiwan after World War II. Through the document analysis, I find out the reasons why the manufacture and service industries move outside to mainland China and other areas around the world are because of the extension of market and the cut down of cost. Since China is the most important trade partner of Taiwan, I focus the study on the economic zones in China, especially the economic zone of West Coast of Taiwan Strait (West Coast economic zone). The argument of this paper is that Taiwan should take advantage of the favor policy of economic zones in China and build the supply chain in the certain economic zones with local comparative advantage industries. And the evaluation of Taiwan¡¦s economic strategy depends on which economic zone in China can offer the supply chain advantage industries with the need of Taiwan¡¦s industries. After the comparison of the current trends of the investment of Taiwanese businessmen in West Coast economic zone and other economic zones in mainland China, I find out West Coast economic zone is not Taiwanese businessmen¡¦s best choice to invest. To attract more investments from Taiwan, the authority of West Coast economic zone should alter its favor policy according to co-opettion strategy and to meet the need of Taiwan industries. In conclusion, I suggest the authorities on both side of Taiwan strait should offer the need of local comparative advantage industries according to the supply chain theory, by this way, we can get a win-win result for the both side of Taiwan Strait.