Since the Sun Yat-sen Freeway was opened in 1978, the railway has lost its market superiority. To make matters worse, in 1987 the government allowed the entry of private airlines into the travel market, having a serious impact upon Taiwan Railway's business.
檢視台鐵體質，從民國六十七年中山高速公路通車以來，鐵路運輸市場優勢不再，民國七十六年政府開放天空，航空公司百家爭鳴，更嚴重衝擊台鐵的競爭力。