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The name Teufen appears for the first time in a document of 1272 as “Tiuffen” (in the deep). Before 1300 this place consisted of only five farms.


In 1377 people of Appenzell, Urnäsch, Teufen and Gais were united with the allowance of the abbot into the “Swabian City League”. Teufen, which still had no own seal for signing important documents, got the support of the bailiff of Appenzell. The heraldic animal on the seal was a bear going on all fours, which later appeared on the flag of Teufen and even today it is an emblem of its municipality.


The reformation came very early to the land with the name Appenzell. In 1525 the assembly ruled that each parish could decide weather or not to maintain Catholicism. Till the end of the century the contrasts aggravated and led to the division of Appenzell in 1597.

Teufen was the principal place of the district with the same name in canton Saentis during the existence of Helvetic Republic. In 1841 Teufen offered their new school building as a present to attract the government of the canton. The assembly refused the present and acquired the palace from Jakob Zellweger in Trogen instead. Therefore, Teufen received the cantonal artillery armory some years later, which belongs today to the municipality. The economic upturn owed Teufen to the linen and cotton weaving.


In 1779, during the bloom of the fine cotton weaving (muslin), local constructor Hans Ulrich Grubenmann built up a new and greater church. Around 1820 Johann Conrad Altherr from Teufen invented a new loom. This loom was allowing to weave and to embroider in one process.


The first embroidery machines were installed in the 1850s. Between 1880 and 1890 were the “golden years” of the embroidery. In the 90s the textile industry experienced a hard crisis from which it recovered for a short period of time and then it broke down completely after the First World War.


The stately business premises in Eggli and many buildings along the streets remind of the good times of the embroidery in Teufen.