This article explores the development of local religious traditions in post-war Taiwan, particularly since the ending of martial law in 1987. It focuses on the factors underlying the ongoing popularity of temple cults to local deities such as Mazu (originally the goddess of the sea, now worshipped as an all-powerful protective deity) and the Royal Lords (Wangye; plague deities now invoked to counter all manner of calamities). Special attention is devoted to the complex relationship between local community-based religious traditions and the state, including the loosening of restrictions on festivals, the use of temples as sites for political rallies during local elections, and the recent controversy over attempts to stage direct pilgrimages to mainland China. Other issues include debates over the “indigenization” of religious traditions in Taiwan and the growth of academic organizations devoted to the study of Taiwanese religion.