Chinese regulators summon 11 ride-hailing firms over illegal operation
Chinese regulators on Wednesday summoned DiDi Chuxing and 10 other ride-hailing firms to talk about recent "illegal operation problems and actions disrupting the market order."
The Ministry of Transport, the Cyberspace Administration of China and three other agencies said some companies have engaged in illegal activities involving a variety of marketing methods and "vicious" competition. Their actions have disrupted the market order, affected the safety and stability of the industry, and damaged the legitimate rights and interests of drivers and passengers, the regulators said.
China's ride-hailing giant DiDi Chuxing and Meituan's ride-hailing unit were previously summoned in May to rectify their pricing rules and order dispatching mechanisms.
They were joined by Caocao, Shouqi, Dida, Xiangdao, T3, Gaode, Ruqi, Yangguang and Wanshun in this latest regulatory directive.
The 11 should adhere to the bottom line of operating in compliance with laws and regulations, the regulators said, and must strictly implement the "three licenses" for platforms, vehicles and drivers.
The regulators will expedite the removal of existing non-compliant vehicles and drivers on the platform. They will require qualified drivers and vehicles to apply for permits for online ride-hailing as soon as possible.