As default (without you changing anything), in TWoS TC is limited to 64 as long as you see any nearby ship, once it disappears on your map you should be able to increase over that up to 512 (higher is not recommended).
In vanilla game, I don't know, I think TC is also limited if ships are visible nearby.
Have you run the *TDW Generic Patcher* before playing stock 1.2.0 or installing TWoS ? If not you may get this and other game bugs.
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