Taiwanese flag on coat in "Girl Interrupted"

So I was watching this, it ended at 5am. The two girls in the movie end up hitch hiking and they get in a VW with a group of hippies. They passed around a joint, and Lisa notices a coat on the back of the driver seat chair. She sais 'nice coat' and it was a brown cuordaroy I think with a taiwanese flag sewed on it. What is the relevance? Why would a hippie have that on the back of his coat.



Maybe a history lesson is in order.

 

I think it's an activist thing

Like for example I found this:

We are a group of people working to move the US government’s official position on Taiwan to be fully supportive of the Taiwanese right of self determination via referendum by all Taiwanese.

What we stand for:
1. To promote international recognition for the right of the people of Taiwan to establish an independent and democratic country and to join the international community.

2. To advance the rights and interests of Taiwanese communities throughout the world.

3. To promote peace and security for Taiwan.

 

It’s a U.S. pilot’s C.B.I. (China, Burma, India) “blood chit” patch on the back of the jacket. It also shows up later in a scene at Daisy’s house. It looks like it’s hanging on the wall, but may be the jacket on a hook, which would mean that Lisa managed to procure the jacket somehow.