Laputa Castle in the Sky is the second Studio Ghibli release although many consider Nausicaä of the Valley of the Wind to be a pre Studio Ghibli film so often class Laputa as the first but neither less it is one the finest examples from the Studio Ghibli Collection.
According to legend, humans once lived amongst the clouds in flying cities and fortresses but eventually the cities began to fall from the sky, crashing to the earth leaving survivors with the only option of living on the ground as they once did. During that time one city Laputa remained in the sky protected and hidden within clouds of violent thunderstorms. Over time the legend and stories of Laputa were considered fiction but there were those who believed in the tales and sought to find the city of Laputa. Set during a fictional period on Earth some time between 1890 and 1900 humans still live on the ground with airships in common use.
The story begins high in the clouds with a small group of pirates lead by Dola a vicious leader. The sky pirates locate and attack an airship that has onboard a young girl named Sheeta who is been closely guarded and escorted by agents from an unknown party. The sinister agents are been lead by a Colonel Muska.
During the attack Dola and her pirates look for Sheeta and her blue pendant that she takes back from Muska as she tries to escape from the agents and oncoming pirates. Her escape results in her falling from the airship but the pendant reacts and emits a blue light and slows her dissent so that she now floats back to Earth.
A young boy named Pazu sees her floating down and catches her. Pazu takes the girl back to his home as she rests over night from the previous ordeal. When she awakes she sees a picture of the floating city Laputa on Pazu’s wall. The picture was taken by Pazu’s father when he was swept into a violent storm onboard his airship. After he remerged from the clouds into what appeared to be the eye of the storm with Laputa floating in the middle as he took the opportunity to take a picture. Pazu explains his ambition is to find Laputa so he can prove his father was right as before he died many did not believe him.
At that point the gang of pirates lead by Dola show up, most of the pirates are actually sons of Dola. The two children are chased by the pirates and eventually run into the agents who originally kept Sheeta in custody onboard the airship seen at the beginning of the film. The two parties are both pursing Sheeta and Pazu who fall from the rail track but are saved by Sheeta’s pendant just like before by floating them down a mine below the town.
Safely hidden in the mine they find Uncle Pom who shows them the crystals volucite in the mine that are similar to the ones used to power Laputa. The pendant worn by Sheeta contains a pure sample of the crystal.
After remerging from the mine Sheeta tells Pazu of her ancient secret name "Lucita Toel El Ul Laputa" which translated means "Lucita, True Ruler of Laputa" but before they can continue their journey government agents capture them and take them to an army fortress. While Pazu is been help captive in a cell Sheeta is confronted by Muska. He knows of her secret name and tell hers she is heir to the throne of Laputa.
Sheeta is then taken to the depths of the fortress to be shown a broken android that fell from the sky which is believed to be from Laputa that upon its discovery was the reason for the government’s sponsor and search of Laputa. Muska informs Sheeta unless she cooperates by using the crystal that can locate Laputa then Pazu will come to harm.
She agrees to aid Muska so Pazu can be freed and tells him to give up Laputa and herself.
When Pazu returns home he is distraught at Sheeta’s rejection and advice to stop looking for Laputa. When he enters his home he finds the Dola and her pirate sons waiting for him. They tell him they Sheeta saved his life by co-operating and they intend to get the crystal as they believe it will guide to vast amounts of treasure. Pazu insists he wants to travel with them to save her as the pirates need Sheeta’s pendant. The pirates with Pazu set off for the fortress as the military airship Goliath will escort Sheeta and Muska away from the base.
Sheeta begins to recall a moment when she was a child with her grandmother who tells the young Sheeta about spells to use when she is in trouble. Remembering one of those spells Sheeta repeats it out loud. The result of this causes a reaction with the pendant as it illuminates the way to Laputa and awakens the dormant Laputa robot.
The robot helps Sheeta escape while destroying the fortress showing its destructive power until it is destroyed by Goliath. Pazu with the aid of the pirates rescues Sheeta while Muska recovers the pendant still showing the way to Laputa and makes his own journey to find it with Goliath and the army.
On board the pirate airship Tiger Moth the group intend to find Laputa before Muska with the help of Sheeta. During the night Pazu and Sheeta in the crow’s nest of the ship discuss what they will do if they succeed in finding Laputa. Sheeta also mentions one of the spells learnt from her Grandmother which is the spell of destruction. While still in the crow’s nest they see Goliath sneaking up from underneath them. The Tiger Moth evades the Goliaths attack but loses track of the destroyer. Extending the crows nest into a flying kite Pazu and Sheeta notice a large storm cloud approaching from behind that actually conceals Laputa. Goliath returns and separates the kite from the Tiger Moth and cripples the pirate ship. Pazu and Sheeta are pulled into the storm.
When they remerge from the storm they land on Laputa. They find it devoid of human life almost like a ghost town apart from the single active robot who maintains the gardens and wildlife of Laputa. The Goliath arrives at Laputa with the battered Tiger Moth and her crew as prisoners. The soldiers of the Goliath begin to plunder all the treasures of Laputa while Muska searches for the real power behind Laputa.
Pazu decides to rescue Dola and the pirates as they will surely be executed by the armed forces. While the army is preoccupied with the looting Muska has discovered the entrance to the core of Laputa and also captures Sheeta as well. Pazu successfully frees Dola and her crew and attempts to make his way to the core to rescue Sheeta.
The General of Goliath’s army has discovered Muska secret motive and orders his men to find him. Meanwhile in the core of Laputa Muska finds the giant crystal the source of Laputa’s power. Muska also confesses to Sheeta that he is also an heir to the throne of Laputa and wants to return Laputa back to the feared power it was once with his ancestors.
Muska demonstrates the power of Laputa to the General of the armed forces before killing them and activating Laputa’s robots to finish the rest. Sheeta quickly retakes the pendant which results in Muska pursing her. Pazu has made his way to find Sheeta after great difficulty, Sheeta gives him the pendant. Muska corners Sheeta and wants the pendant from Pazu in return for her safety. He allows Pazu to discuss with Sheeta for a moment about the exchange. They agree to use the spell of destruction to prevent the city from falling into Muska hands which would most certainly sacrifice themselves as well as Laputa.
With one word for the spell the city crumbles resulting in Muska falling to his death and the children saved by the roots of the tree that runs deep into the core. They use the glider to leave the remains of Laputa that is slowly rising further into the atmosphere.
They rejoin Dola and her boys who have also survived and are overjoyed to see them. Pazu and Sheeta part ways with Dola and her pirates while the remains of Laputa held together with the giant tree continues to rise until it reaches an orbit around the Earth.