In recent years, governments have substantially changed financial policy to affect economies all over the world. Exchange rate effect on import prices the literature called exchange rate pass-through (ERPT). This paper based on cost-plus pricing model and used the threshold autoregressive model (TAR). The empirical results provide evidence that Taiwan does exist non-linear exchange rate pass-through .We focus on money supply growth rate, inflation rate, margin of exchange rate will result in exchange rate pass-through of different degrees effect.