Skip to main content

Didi And Other 10 Ride-Hailing Firms Summoned by China Over 'Irregular Practices'

Author:
Publish date:
Video Rating:
TV-G
Video Duration:
1

Didi  (DIDI) , T3 and Meituan are three major ride-hailing firms that are summoned by Chinese regulators over "irregular practices." 

The regulators, including China's Ministry of Transport, have alleged that the companies are hiring unlicensed drivers.

“It’s required that these platforms should check their own problems, rectify illegal behavior, safeguard market orders of fair competition, and create a sound environment for the healthy development of the ride-hailing industry,” said the Ministry of Transport.

Chinese news agency Xinhua also reported that the firms were “ordered to cease recruiting non-compliant cars and drivers, stop vicious competition and disorderly expansion, and ban practices that exclude or restrict competition.”

The firms were also ordered to immediately rectify non-compliant behavior.

Earlier in July, the Cyberspace Administration of China banned the country's biggest-ride hailing company, Didi, citing "serious violation of relevant laws and regulations." 

Related: Didi Says China's Ban of Its Apps Will Hurt Revenue

Beijing has been hostile to Chinese tech giants since 2020. In November 2020, Shanghai and Hong Kong stock exchanges suspended Ant Group’s IPO, which would have been the world’s biggest IPO. Also, in April, Beijing fined Alibaba  (BABA)  $2.75 billion for violating its anti-monopoly law.

Related: How China's Treatment of Its Tech Giants Has Evolved: Video Timeline

Related Videos