The place name Peikang 北港 occurred in Chinese documents during the late Ming dynasty, although Chinese officials and scholars of the time didn’t seem to know its precise position. Later, some European documents describing the Island of Formosa used a new toponym “Pacan (Paccan)”. Is Peikang the same as Pacan? This paper attempts to clarify our understanding of these two terms by gathering and analyzing related documents from China, Spain, Holland (VOC), England (EIC) and Japan. I argue that with the boom in overseas trade around the waters of Taiwan during the second half of the sixteenth century, and especially after 1570, two trading centers, or regions, formed on the island. One, located in northern Taiwan, was called Guelang-Tamsui (雞籠, 淡水), while the other, which faced the Taiwan Strait, was situated on the southwest coast. Chinese fisherman named this center Peikang. In the early seventeenth century, Chinese and Japanese traders came to Peikang to buy deerskins. Chinese traders also carried many kinds of silk to sell to the Japanese. As a result, Peikang became a prosperous port and began to draw the attention of European powers. A Spanish priest appealed for the conquering of Peikang and the VOC later dominated it.