StarLux Airlines posted a modest first-half profit increase as Taiwan’s premium carrier navigates uncertainty over US trade policies that threaten to dent cross-Pacific demand.
The Taipei-based airline reported net income of NT$9.23 billion ($307 million) for the six months ended June, representing a 2.54% year-over-year gain that falls short of the broader industry’s robust recovery pace. Earnings per share reached NT$0.31 ($0.01).
July revenue climbed 16% annually to NT$40.12 billion ($1.34 billion), marking the second-highest monthly figure on record. Cargo operations drove much of the momentum, with freight revenue surging 59% year-over-year to NT$4.78 billion ($159 million) as shippers rushed to beat tariff deadlines.
The revenue boost comes as StarLux grapples with Washington’s 20% tariff on Taiwan goods, implemented August 7 following failed trade negotiations. Company executives acknowledged the policy uncertainty has already dampened booking patterns since April, with travelers postponing reservations pending clarity on US-Taiwan commercial relations.
StarLux plans to launch Taipei-Phoenix service in January 2026, expanding its North American footprint to five destinations despite trade tensions. The carrier currently operates daily flights to San Francisco and Seattle, plus ten weekly Los Angeles services.
The expansion strategy appears optimistic given mounting pressure on Taiwan’s export-dependent economy from escalating US trade restrictions that could constrain business travel demand between the two markets.
