Friday’s attack took place at about 17:20 local time (09:20 GMT) during the city’s evening rush hour.
Videos shared on social media show people fleeing the scene in panic as an individual wearing a baseball cap and black clothing lobs smoke bombs across a busy road.
He can then be seen carrying a large knife as he walks past several cars.
Cho said the suspect had detonated smoke bombs and Molotov cocktails at Taipei’s Main Station, which is connected to a busy underground shopping street.
A man reportedly tried to stop the attacker but was struck with a blunt object and later died in hospital.
The suspect then fled through an underground shopping centre to the nearby Zhongshan Station, about a 800m walk away.
After a detour to his hotel, where he picked up a weapon, he ran back to the street outside Zhongshan Station and set off further smoke bombs. He also stabbed more people.
The attacker went into a nearby bookshop and department store, but fell from the building after police surrounded him. He died shortly after in hospital.