In order to understand the species composition and distribution of fish larvae assemblages in relation to environmental factors in the surrounding waters of Taiwan, sampling cruise was carried out at 62 stations around waters of Taiwan in July 2007. A total of 3614 larvae representing 190 taxa in 93 families were identified. The mean abundance was 240.86 ± 217.48 ind./1000 m3. Ten dominant taxa included Sciaenidae (10.44%), Auxis spp.(8.58%), Diaphus B (5.45%), Bothidae (3.87%), Bregmaceros spp. (3.85%), Gobiidae (3.46%), Carangidae (2.88%), Gobiidae type 1 (2.83%), Labridae (2.68%) and Ammodytidae (2.03%) which occupied 46.07% of the total larvae collected. The differences in geographical distribution of fish larvae abundance and species diversity around waters of Taiwan were observed. High abundance of fish larvae was found in the northwestern and northern waters off Taiwan, and low abundance was found in the eastern and southwestern waters off Taiwan. However, the distribution pattern of species diversity was on the opposite. BIO-ENV analysis indicated that the species composition in the northwestern and northern waters off Taiwan was mainly affected by salinity, but in the eastern and southwestern waters off Taiwan it was affected by temperature.