Taipei: Taiwan Railway Corp. (TRC) reported its highest ridership in history in 2024, marking its first year as a state-owned business. Despite this achievement, the company posted losses that surpassed its financial shortfall in its final year as a government agency.
According to Focus Taiwan, Taiwan Railway had an average daily ridership of approximately 647,700 in 2024, reflecting a 7.8 percent increase from the previous year. Passenger revenue rose by NT$701 million (US$21.18 million), totaling NT$17.4 billion, as stated by Taiwan Railway President Feng Hui-sheng during a news conference. Additionally, the company generated NT$46.4 billion in revenue from non-core transportation services such as bento boxes, package tours, and property management, which experienced a 9.3 percent increase from 2023.
The ridership figure for 2024 surpassed the previous high of 646,990 recorded in 2019, prior to the negative impacts of the COVID-19 pandemic on railway services, as per company data. Despite the surge in ridership, TRC faced losses amounting to around NT$12 billion in 2024. This figure exceeded the losses incurred as the Taiwan Railways Administration in 2023.
Feng attributed the increased losses to several factors, including a strong earthquake on April 3, 2024, which resulted in significant damage to tracks and facilities in eastern Taiwan and led to the closure of a section in Hualien County. Other contributing factors included a 4-percent salary hike initiated at the beginning of 2024, two electricity rate hikes, financial obligations related to pension fund requirements, and the occurrence of three typhoons.
TRC Chairman Du Wei expressed optimism about the company's financial future, stating that TRC aims to achieve a positive cash flow by 2026 and become profitable by 2028. One potential strategy for boosting revenues is increasing ticket prices, which have remained unchanged since 1995. Du indicated that the company's board of directors plans to convene after the Lunar New Year holiday to discuss a proposal to raise train ticket prices by an average of 3 percent.
