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Fleet strength doesn't matter for piracy suppression. The only thing that does is the ships size, with smaller ships being better than larger ones. A single battleship requires 8 command points, but only provides 4 piracy suppression. A corvette requires 1 command point, but provides 10 piracy suppression. So in place of 1 battleship you could have 8 corvettes with a combined 80 piracy suppression instead of 4 from the single battleship. Anti-piracy fleets should be made up entirety of corvettes and frigates.
Your Fleet 2 has 118 command points used, and if they were all corvettes/frigates their total piracy suppression would be 1180 instead of the 248 it currently is.
Your numbers aren't even that high though, 400 Protection can be provided by 5 star fortresses with 6 hangar bays each if somehow necessary because you can't funnel your trade to go through a line of starbases.
Regardless, I don't think there should be an upper limit on piracy.
Some more effects that one can invest into to push the amount of trade protection to breach that gap until gateways come in might be a good compromise though. Maybe a Hyper Relay edict. Seems to fit nicely in terms of flavor.
But ye, as above, gateways are king for trade, or make another starbase there.
Corvettes and frigates only, thank you, I will do that.
As for your fleet, corvettes are by far the best at combating piracy, a fleet of corvettes could easily have that under control.
Unless they have changed it, both gun and hanger modules have the same protection range (1 hyperlane/module). The only difference is that hanger modules provide double the protection within that range.